Zimbabwe’s central bank is preparing to issue updated ZWG banknotes, aiming to clean up circulation by removing the damaged old notes.
Despite being gold-backed and launched in April 2024 with much optimism, the ZWG has not fared well.
Its value dropped sharply—by 43% in just five months—raising concerns about its long-term strength.
The shortage of ZWG notes remains a problem, especially in Zimbabwe’s rural regions, where the local currency is rarely available despite high demand. Some areas have now defaulted to using the South African rand for day-to-day purchases, particularly for smaller amounts.
Following public anxiety over Zimbabwe’s decision to make ZWG the sole currency by 2030, RBZ Governor Dr. John Mushayavanhu told a state publication, “The Reserve Bank is working on the modernisation of the ZiG banknote series as advised in the recent mid-term Monetary Policy Statement.” He added, “The new ZiG banknotes will be redesigned, including improved quality and durability for the convenience of the transacting public.”
Production of the new notes is already “at an advanced stage,” with rollout details expected soon. But on social media, many questioned the timing and purpose, calling it a quiet retraction of the currency’s flawed launch. Industry observers, speaking anonymously, said RBZ’s announcements often “create more headaches than solutions” and should come with clearer breakdowns to avoid panic.
Mushayavanhu stressed that the redesign “must not be misconstrued as a new currency” but rather part of regular updates in line with global norms.
