Multi-Currency System To Stay Until We Can Introduce Local Currency: Mnangagwa

President Emmerson Mnangagwa has said that the current multi-currency system is here to stay, at least, until the government is able to address the negative economic fundamentals. The president said only when these have been addressed with the government look at reintroducing a local currency. While presenting the State of the Nationa Address, Mnangagwa said,

My Government shall, however, continue with the use of the multi-currency system up until the current negative economic fundamentals have been addressed to give credence to the introduction of the local currency. The economic fundamentals that need to be met are a sustainable fiscal position, foreign currency reserves of between 3 to 6 months of import cover and sustainable consumer and business confidence. These economic fundamentals are yet to be met to justify the introduction of our own currency.

In order to bring sanity in the foreign currency market, my Government through the Reserve Bank of Zimbabwe, has negotiated a number of foreign exchange facilities amounting to USD 500 million that are intended to meet the growing demand for foreign currency by business and the public in general. Some of these facilities shall be disbursed this week to meet the expanding demand for foreign currency that continues to be sustained by fiscal imbalances which my Government has made a great commitment to redress.

Read The Full Sona Speech Here

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