Government has gazetted statutory instrument 142 of 2019 (SI142/19) through the Reserve Bank Of Zimbabwe known as the ‘Legal Tender Regulations’ with immediate effect.
The statutory instrument outlaws the use of multiple currencies and compels that all forms of transactions be done in local currency.
Minister of Finance and Economic Development Professor Mthuli Ncube said it is now illegal to buy goods and services in foreign currency as they should be marked using the local currency.
The bond notes and the RTGS dollar are now the only currencies to be used for day-to-day transactions in Zimbabwe.
Monday, June 24 2019 will go into the country’s history books as the day that marked the end of the multicurrency regime which started in 2009 and had turned to be predominantly the United States dollar regime which was now interfering negatively with the country’s growth prospects through the uncompetitiveness of Zimbabwe’s exports.
World over countries rely and leverage heavily on their domestic currencies hence Zimbabwe has joined the bandwagon and the latest move, according to Finance and Economic Development Minister Professor Mthuli Ncube will bring monetary policy sovereignty on development issues.
“This move will certainly bring the country in line with international standards on monetary policy management,” said Professor Ncube.
The Finance and Economic Development Minister further clarified that foreign payments will be paid using foreign currency while imports will also be charged using foreign currencies used to acquire such goods and services.
“All foreign imports will be charged according with the currencies they would have been acquired. This is done to manage the inflow and outflow of foreign currency into the country,” Professor Ncube added.
Zimbabweans have been urged to support and accept the RTGS/ZWL$ dollar as the local currency and take it as a source of pride and identity which should be the foundation on sustainable economic development