Dr John Panonetsa Mangudya has in an effort to allay public fears over the new $2 and $5 notes to be introduced this Monday said that they will not have an adverse impact on price stability systems.
The new notes and coins come when some analysts hinted that oversupply of cash on the market will likely lead to inflation. Speaking to reporters after a monetary policy inaugural meeting, Mangudya said:
There won’t be inflationary because we have done our best to thwart any form of suspicion that might lead to inflation remember the main cause of inflation is to do with the current level of external factors.
The central bank is of the view that the new notes and coins will go a long way in addressing the cash crisis that has grounded the country for many years now.
As a result of the cash crisis, those in the money laundering business have been selling cash at exorbitant prices.
More: ZBC News
Just like last year at the same time, the new notes have been introduced to enable govt to ‘buy up’ all the Xmas and year-end Dispora forex that flows into the country at this time of the year. It is just to give you all a false sense of security against hyperinflation.