28.2 C
Accra
Tuesday, February 18, 2025
Independent AfricaZimbabwe introduces gold-backed digital currency

Date:

Zimbabwe introduces gold-backed digital currency

On Monday May 8 2023, the Central Bank of Zimbabwe issued a digital token that is backed by gold as legal tender.

The aim is to help stabilize the Zimbabwean dollar and protect citizens from currency fluctuations.

The gold-backed digital tokens will be a form of electronic money backed by Zimbabwe’s gold reserves, held by the Central Bank. 

The Bank’s intention is to allow Zimbabwean dollar holders to exchange their currency for the gold-backed tokens, offering protection against the volatility of the local currency.

Over the past year, the value of the Zimbabwean dollar has declined significantly, with one US dollar now worth approximately 1,000 Zimbabwean dollars, compared to 150 Zimbabwean dollars a year ago. 

Zimbabwe currently operates with the Zimbabwean dollar and the US dollar.

Zimbabwe has been drowning in double and sometimes triple digit inflation for over a decade. 

President Emmerson Mnangagwa promised to turn his country into a middle-income economy by 2030. But since taking office, he has been unable to restore confidence in the local currency.

[forminator_poll id="710479"]

Latest stories

VIDEOS: Breakdown of gargantuan looting at NSA in latest NSS scandal

The Fourth Estate reports that officials at the National...

Barcelona climbs back to top of La Liga after narrowly defeating Rayo Vallecano

Barcelona managed to scrape through a tense game against...

Catholic Bishops, Christian Council bemoan absence from National Education Forum

The Ghana Catholic Bishops’ Conference (GCBC) and the Christian...

Parliament, GSS review draft Memorandum of Understanding

The Parliamentary Service of Ghana, through its Data Management...

DDEP: Finance Ministry disburses GHC6bn to bondholders

President John Mahama has instructed the Ministry of Finance...

Related stories

South Africa’s HIV crisis deepens amid US aid freeze

A 19-year-old unemployed woman, Nozuko Majola, from a rural...

Deadly mine collapse in Mali claims the lives of many

At least dozens of people, primarily women, have tragically...

Liberia: Over 450 govt officials suspended over failure to declare assets

Liberian President Joseph Boakai has suspended more than 450...

Congolese musician fatally shot while filming music video in conflict-hit Goma

Delphin Katembo Vinywasiki, widely known as Delcat Idengo, has...

Gunmen ambush bus in Upper East, kills 1 injures 5

A bus traveling from Bawku to Bolgatanga in the...

Ramaphosa defends land reform amid Trump and Musk criticism

South African President Cyril Ramaphosa has spoken with billionaire...