Reserve Bank of Zimbabwe (RBZ) Governor John Mangudya said de-dollarisation is a process and the central bank will not reveal the timelines of when the whole process will be achieved.
Mangudya said this while responding to questions from journalists on the RBZ’s perceived inconsistencies regarding the de-dollarisation. He said:
When we talk about de-dollarisation, it does not mean everything else stops. We need to look at the benefits of dollarisation and de-dollarisation.
We have gold producers who are paid 50 per cent in forex and 50 per cent in the local currency, how do you expect them to use their foreign currency?
What we have not done is give timelines on what we did on day 1 day 2 day 3 day 4 for everyone to see the process.
There is no inconsistency in that regard, some companies are trading in foreign currency, some are being taxed in foreign currency, it is a process. What is left is having timelines.
We are all aware that 60 per cent of the economy is informal and 40 per cent is formal and there is too much money in the informal economy. So, this is a way of taking foreign currency to the formal economy when they buy fuel in foreign currency.
Zimbabwe ditched the use of multi-currencies in June last year and re-introduced the Zimbabwe dollar.