- Reserve Bank of Zimbabwe Governor Dr John Panonetsa Mangudya today exclusively told TechnoMag that work on an e-Zimbabwe dollar is underway, by the central bank soon after the State recently paid U.S. dollar bonuses to workers to save the local unit.
Mangudya said the government had decided to pay annual bonuses to civil servants in U.S. dollars instead of the local currency as using the Zimbabwean dollar could have added to its recent depreciation.
The official rate for the Zimbabwean currency was last at Z$105, having weakened by 29% this year. It trades at Z$185-$Z$200 per U.S. dollar on the parallel market.
Zimbabwe’s Chancellor of the Exchequer Dr Mangudya is exploring the use of a digital currency rather than allowing cryptocurrencies as legal tender.
“As a central bank we don’t believe in cryptocurrencies,” said Mangudya recently in another interview with journalist Trevor Ncube which has gone viral on the internet.
“We believe in central bank digital currency which is basically trying to say ‘how do we have an e-Zimbabwe dollar as opposed to cryptocurrency’.”
The southern African nation plans to send a team to Nigeria to learn from their experiences in launching the first digital currency in Africa in October.
“We have got our fintech group and they are working very hard,” he said. “Most central banks in the world are working on this CBDC and we are definitely almost there.”