RBZ targets US$1bn reserves
PHILLIMON MHLANGA IN VICTORIA FALLS
The Reserve Bank of Zimbabwe (RBZ) expects the country’s foreign currency reserves to surpass the US$1bn mark by year-end, a critical milestone in the path toward a stable, local currency-driven economy, Acting Governor Dr Jesimen Chipika has revealed.
Speaking at the 11th Annual CEO Africa Roundtable in Victoria Falls on Friday, Dr Chipika said the RBZ had been “aggressively accumulating reserves,” which rose from US$276m in April 2024 to over US$900m by September 2025.
“Foreign currency reserves have increased from US$276m in April 2024 to over US$900m as of September 2025,” she said.
“At US$900m, foreign currency covers the ZiG reserve money more than four times. We are now targeting to US$1bn by year-end.”
She noted that the build-up is central to strengthening confidence in the Zimbabwe Gold (ZiG) currency and empowering the central bank to maintain exchange rate stability.
“With sufficient reserves, the RBZ has enough leverage to intervene in the foreign exchange market to smooth emerging volatile market conditions and guarantee sustained exchange rate stability,” Dr Chipika told business leaders.
On inflation, she projected a sharp decline in the annual rate, saying the current 82.7% was largely driven by a once-off price spike in late 2024.
“The annual inflation is expected to decline to between 20% and 30% by the end of 2025 and further fall to a single digit in the short term,” she said.
Dr Chipika added that the journey toward a mono-currency system — where the ZiG becomes the dominant medium of exchange — will be gradual and market-led, underpinned by macroeconomic stability and policy discipline.
“These include adequate foreign currency reserves of at least three to six months of import cover and low, stable inflation within the desired 3–7% band,” she explained.
She stressed that fiscal prudence, inflation control, and reserve accumulation remain the RBZ’s core priorities in laying the foundation for a resilient currency.
“Our focus is on building lasting stability, a strong ZiG backed by real value,” she said.
