Save the plummeting ZiG
Zimbabwe’s currency, the Zimbabwe Gold (ZiG), is facing serious pressure from all directions.
Consequently, its value is plummeting relative to all major currencies .
As such business leaders have yesterday urged the Government to ditch the plummeting ZiG as the situation is getting more intense by the day. They highlighted that there are the ones bearing the brunt of the weakening ZiG.
We urge the Government, which is under severe pressure than ever to stabilize the economy, stop currency instability, and address a host of other issues that are hurting Zimbabwe’s economy, to save the plummeting ZiG by allowing it to float freely.
The business executives yesterday warned that their businesses are becoming unsustainable as a result of ZiG’s failure to preserve value amid claims it did not meet required fundamentals to be a sustainable currency.
The Government is also cracking down harder on companies that violate its regulations on exchange rate.
Additionally, the administration has also threatened to revoke the licenses of offending businesses.
The value of ZiG fell by more than 40% to ZWG27.28 yesterday to the US dollar from ZWG13:US$1 in September of this year, demonstrating that currency distortions have continued despite measures put in place by the Government. ZiG is trading between ZWG40 and ZWG50: US$1 on the parallel market.
