The Tales Of ZiG: Zimbabwe New Currency

In a historic move on April 5th, Zimbabwe introduced a new currency called the ZiG, which stands for Zimbabwe Gold. Unlike its predecessors, the ZiG is backed by gold and forex reserves, marking a significant shift in the country's monetary landscape. Ranging from denominations of 1 to 200, the ZiG is an addition to Zimbabwe's multi-currency system, which includes currencies such as the USD, Zimbabwean Dollars (Bond notes and RTGS), and Rands.

The transition to the ZiG has already begun, with banks suspending transactions involving Zimbabwean Dollars (ZWL) as of the aforementioned date. Balances in ZWL are being seamlessly converted to the ZiG, although this process has caused some disruptions, notably at banks and with mobile money. Banks and EcoCash have actively communicated about these disruptions to keep the public informed. It is worth mentioning that the ZWL usage has been relatively limited compared to the widely preferred USD, which continues to dominate most transactions.

Unlike previous currency introductions, the ZiG is not pegged at parity with the USD. Instead, its initial exchange rate is set at 13.5616 ZiG to 1 USD. To assist individuals in navigating these changes, we have developed an online tool to facilitate effortless currency conversions in Zimbabwe. You can conveniently access this resource by visiting https://zig.technews.co.zw. With the current Zimbabwean Dollar (Bond notes) scheduled to cease circulation in just 21 days, the transition to the ZiG represents a hopeful step towards stability and economic resilience.