Reserve Bank of Zimbabwe (RBZ) governor John Mangudya said that the central bank will continue to inject additional notes and coins on a gradual basis into the economy to ease the ongoing cash shortages.
In his 2019 Mid Term Monetary Policy Statement released on Friday, Mangudya said:
The re-introduction of the local currency and the subsequent withdrawal of the US Dollar as a transactional currency implies that the Bank should issue adequate notes and coins to support economic activity.
The increase in the demand for physical cash has worsened cash shortages, as reflected by unending queues at most banks in the country.
Besides, visitors to the country including tourists are failing to access cash for their domestic transactions, as they are supposed to buy local currency cash from banks or bureaux de change.
Failure to get cash in undermining the confidence in the local currency as well as forcing economic agents to resort to the illegal transactions in foreign currency and to selling cash at a premium.
… Accordingly, without prejudice to our cash-lite society drive which has served the country very well, the Bank will continue to inject additional notes and coins on a gradual basis, to support productive and lessen the inconvenience caused by physical cash shortages to the transacting public.
The cash injections will not increase the money supply as banks will use their existing RTGS balances to exchange for cash.
Mangudya – you have absolutely no idea on how to be a RBZ governor. You are a fake, just like Mnangagwa et al. The money has been in short supply for the last 2 years, so how many more years are you going to take before releasing more? People say that all the forex ends up on your desk everyday, you take what you want, then you let the vultures in. It is all shipped out the next day to Dubai – no wonder the ruler of Dubai lets Mnangagwa have a Boeing Business Jet for free.
The Reserve Bank Gov doesn’t have to access money from a bank. How would he know that my branch
has had minimal allocation – and I mean minimal – yesterday and today. I have been phoning my bank since Tuesday at 45 minute intervals when my work permits. I have not been successful in going to the bank and withdrawing my minuscule allocation.
Dai mwari vatonga mangudya na mtuli wake .mudzimba dzavo munotonhuwa nemari venguvo chena vachikanga waya.amen
Rbz and its intelkugence units know very well that banks have no cash for its customers, and that ecocash agents have all the cash selling it at unbeleivable rates. Why are we seeing action to stop this?