Reserve Bank of Zimbabwe (RBZ) Governor, Dr. John Mushayavanhu, has reported an increase in the use of Zimbabwe Gold (ZWG) currency, though foreign currencies, particularly the US dollar, still dominate transactions in the country.
Speaking on a ZTN podcast, Dr. Mushayavanhu revealed that ZWG now accounts for 30% of transactions, marking significant progress since its introduction.
However, he acknowledged that foreign currency remains the preferred medium of exchange, making up 70% of transactions in the formal economy.
“The use of ZWG is steadily growing as both businesses and consumers become more accustomed to it.
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We anticipate this trend to continue as confidence in the currency strengthens,” he stated.
Despite this increase, Dr. Mushayavanhu noted that Zimbabwe’s informal sector is still largely cash-dependent, posing a challenge to the broader adoption of digital currency.
“The informal market heavily relies on cash transactions, making it more difficult to integrate digital payment systems,” he explained.
The RBZ has been actively promoting the use of ZWG as part of a broader strategy to stabilise the national currency and reduce reliance on foreign money.
The government introduced the gold-backed digital currency as a safeguard against inflation and exchange rate volatility, aiming to rebuild confidence in Zimbabwe’s financial system.
