HomeLocalBond notes in October: RBZ

Bond notes in October: RBZ

Reserve Bank of Zimbabwe governor John Mangudya last night said the much-anticipated bond notes will only start circulating in October as he fended new rumours that the central bank was preparing to re-introduce the demonetised Zimbabwe dollar


Mangudya early this month announced that the RBZ would soon introduce bond notes to ease the cash shortages facing the country.

“The export vouchers are expected to be disbursed in October 2016,” he said in a statement.
Mangudya said the proposed introduction of bond notes should not be interpreted to mean the return of the Zimdollar.

CABS clients wait to make cash withdrawals at corner Fourth Street and Central Avenue in Harare. Picture: Aaron Ufumeli
CABS clients wait to make cash withdrawals at corner Fourth Street and Central Avenue in Harare. Picture: Aaron Ufumeli

“The public should not confuse the export incentive or bonus scheme to be paid to exporters in the form of export vouchers called bond notes to assist exporters to generate more foreign exchange as a return to the local currency,” he added.

“Payment of this bonus to exporters is very necessary to sustain and safeguard the multi-currency system in Zimbabwe.”

The central bank boss said the institution was worried about claims by unknown people that the hyperinflation-ravaged currency could be revived any time soon.

“It has come to the attention of the Reserve Bank of Zimbabwe that there are unscrupulous people that are peddling unfounded rumours about the return of the Zimbabwe dollar,” he said.

“The Reserve Bank would like to assure the public that such rumours are not founded. The multi-currency system is here to stay.

“The rumours should be dismissed with the contempt that they deserve.

“There is nothing like the return of the Zimbabwe dollar as the country shall continue to use the multi-currency system.

“We have assured the public before and we would like to continue to do so, that the country’s economic fundamentals do not support the return to the Zimbabwe dollar.”

He said the bank had also observed some panic withdrawals, which he said were not necessary.

“The unnecessary large withdrawals witnessed over the past two days are therefore unwarranted,” he said.

“The market should remain calm and conduct business in the normal manner.

“The Reserve Bank has imported sufficient US dollars to meet normal requirements for the banking public. Unnecessary withdrawals are therefore counterproductive to the bank’s cash importation programme.

“The Reserve Bank would also like to appeal to all businesses to bank their cash takings in line with the Bank Use Promotion Act to avoid incidences of money laundering and haemorrhaging the multi-currency system.”

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