New Currency: Zimbabwe’s Apex Bank Announces Date For Resumption of Online Payments
The Reserve Bank of Zimbabwe has announced a new date for the resumption of online payments in the country, following adjustments to the newly rolled out currency.
The Apex bank announced that it expects online payment platforms to start processing transactions on Friday, April 12, 2024.
The bank also noted that the banking sector and Payment Systems Providers (PSP) will continue to make significant progress in converting customers’ funds to the new gold-backed currency.
Recall that four days ago, the Central Bank of Zimbabwe announced the replacement of its collapsing local currency with a new one backed by gold and foreign currencies, with hopes that it will be more stable and help bring down inflation.
The new currency which will be called ZiG was introduced on April 8, 2024, with an initial exchange rate set at 13.56 per dollar. Also, the new currency will be backed by a diverse basket of foreign currencies, gold, and other precious metals.
Following the rollout of the new currency, banks were ordered to convert their current Zimbabwean dollar balances into ZiG with immediate effect, while citizens were given 21 days to exchange their old notes and coins for new ones.
According to Bloomberg, this latest move marks the sixth attempt by the Zimbabwean Central Bank to establish a sustainable currency since 2008, when IMF estimates put the country’s inflation at 500 billion percent, which rendered the country’s currency worthless.
A more than 70% slide in the Zimbabwean dollar since the start of the year pushed price rises beyond 55% in annual terms in March, evoking bitter memories of hyperinflation under former leader Robert Mugabe.
