Zimbabwe’s President Speaks on Attempt to Adopt SA Rand

President of Zimbabwe Emmerson Mnangagwa has revealed how during the Government of former president Robert Mugabe plans to adopt the South African rand as the currency of Zimbabwe were dropped.

His comments follow a statement earlier this month that Zimbabwe would adopt a new currency by the end of 2019.

As it stands Zimbabwe is using a basket of currencies, including the local RTGS dollar, the US dollar and the South African rand. The announcement comes amid continued pressure on prices and high inflation. Annual inflation stood at 75.8% in April and the RTGS has lost 50% of its value since its introduction in February 2019.

Commenting on past proposals to adopt the South African rand, President Mnangagwa said that he had been part of a committee that approached the South African Reserve Bank (SARB) to discuss the prospect. However, the SARB’s conditions were considered too onerous and so Zimbabwe adopted a basket of currencies instead. The country previously abandoned its currency the Zimbabwean Dollar following a period of hyperinflation.