Reserve Bank of Zimbabwe governor John Mangudya said that the bond note did not fail.
When Mangudya introduced the surrogate currency in 2016, he promised to resign if it failed.
Speaking before the Tendai Biti-chaired Parliamentary Public Accounts Committee hearing on Monday to discuss Zimbabwe Assurance Management company (ZAMCO) debts, government overdraft facility with RBZ and value of bond notes, Mangudya insisted that the fiat currency did not fail. He said:
The bond note did not fail, it was an export incentive and it pushed exports.
What failed is the economy, due to excess government expenditure. We now had excess funds in the economy and couldn’t maintain parity between the bond note and the United States dollar.
Mangudya revealed that the Central bank was left with only US$500 million in its coffers.