Zimbabwe’s central bank announced that gold and foreign currency reserves backing the new ZiG currency surged to a record $731 million in June, up from $639 million in May. This marks a significant leap from the $276 million held in April 2023, when the ZiG—short for Zimbabwe Gold—was first introduced to replace the defunct Zimbabwean dollar. After years of failed currency experiments and chronic economic instability, authorities are betting on the ZiG’s gold backing to restore public confidence. Their ultimate goal: to phase out the US dollar, which has dominated transactions since 2009, and re-establish a stable, sovereign currency system. Whether this bold move succeeds remains a closely watched story.
Money Web
