23 April 2017
   
New Zimbabwe Header
Prof Moyo province meets over Saviour
Opposition coalition takes shape for 2018
Land: Grace evicted villagers go to court
Water: Hre residents threaten protests
Man killed with pick over mother assault
Pro-Bob Commissioner torches gay storm
Falls: Funeral spider bite kills woman
SADC must act on Zambia: Biti’s party
MORE NEWS
Invest in irrigation, govt appeals
Econet Global controls 40pct of Zim unit
MORE BUSINESS
UK: Celebrating the Life of a Legend
Zim musicians paid 20c for airplay
MORE SHOWBIZ
Mash West beat Singapore side
France to introduce video refereeing
MORE SPORTS
Independence: Why we should celebrate
Zim @37: A time to free our minds
MORE OPINION
 
Spiritual fatherhood and human worship
Pastor Simbo: The Malefactors
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