6 December 2016
   
US Envoy to Zim: Let’s wait for Trump's plan
‘Drunk’ Made banned forex spinning exports
Bob rejects China's bid for Kamativi favours
Phil: Banks wanted my ‘attractive’ mansion
Malema to Mugabe: You can’t live forever
Minister says clueless on bonus payments
Manyikas grab govt ministry, Parly told
Security guards rent premises to hookers
MORE NEWS
Zim's gold output seen below target
PG investor misses payments deadline
MORE BUSINESS
Man jailed over Winky D's Disappear replay
Michelle Obama set for Oprah sitdown
MORE SHOWBIZ
Sponsorship for Bosso, DeMbare in limbo
Billiat using Japan to plot next move
MORE SPORTS
Zim's population too small to woo investors
Fidel Castro was an evil dictator
MORE OPINION
 
Pastor Simbo: Jesus Christ our substitute
Seewell Mashizha: Go well Commandante Castro
MORE COLUMNISTS
 
 
RBZ urges gold-backed Zim dollar
15/05/2011 00:00:00
by Business Reporter
 
Ditched ... RBZ urges currency re-think
 
RELATED STORIES
Is Bitcoin the answer to Zim currency woes?
Chinamasa statement on Zim dollar
RBZ quashes Zim dollar speculation
Why it is difficult to bring Zim dollar back
No immediate Zim dollar return: Gono
Officials in new push for Chinese Yuan
Gono, Zanu PF push Zim-dollar return

THE central bank says the country must consider adopting a gold-backed Zimbabwean dollar warning that the US greenback’s days as the world’s reserve currency are numbered.

Government ditched the Zimbabwe dollar in 2009 after it had been rendered worthless by record inflation levels and adopted multiple foreign currencies with the US dollar, the South African Rand and the Botswana being the most widely used.

Finance minister Tendai Biti says the country needs at least six months import cover and a sustainable track-record of economic growth, inflation stability and above 60 percent capacity utilisation in industry before the Zim dollar can be brought back into circulation.

However central bank chief, Dr Gideon Gono said the country should consider adopting a gold-backed currency.

“There is a need for us to begin thinking seriously and urgently about introducing a Gold-backed Zimbabwe currency which will not only stable but internationally acceptable,” he said in an interview with state media.

“We need to re-think our gold-mining strategy, our gold-liberalisation and marketing strategies as a country. The world needs to and will most certainly move to a gold standard and Zimbabwe must lead the way.”

Gono said the inflationary effects of United States’ deficit financing of its budget was likely to impact other countries to leading to a resistance of the green back as a base currency.

“The events of the 2008 Global Financial Crisis demand a new approach to self reliance and a stable mineral-backed currency and to me, Gold has proven over the years that it is a stable and most desired precious metal,” Gono said.

“Zimbabwe is sitting on trillions worth of gold-reserves and it is time we start thinking outside the box, for our survival and prosperity.”



Advertisement


 
Email this to a friend Printable Version Discuss This Story
Share this article:

Digg it

Del.icio.us

Reddit

Newsvine

Nowpublic

Stumbleupon

Face Book

Myspace

Fark
 
 
 
comments powered by Disqus
 
RSS NewsTicker