Breaking news…Zim to introduce bond notes as cash shortages bite

Breaking news…Zim to introduce bond notes as cash shortages bite

HARARE, May 4 (The Source) – Zimbabwe says it will introduce local “bond notes” and has tightened daily withdrawals to ease an acute shortage of cash, central bank governor, John Mangudya said on Wednesday.

The public will now only be able to withdraw a maximum of $1000, Euro 1000 and R20,000 from their accounts daily.

Mangudya has also announced that, with effect from May 5, 40 percent of all new US dollar receipts will be converted to rand, “in order to restore and promote the wide usage of currencies in the multicurrency basket”.

The RBZ governor did not give a specific date for the introduction of the bond notes, but only said this will be in “over two months’ time”.

Earlier, Finance Minister Patrick Chinamasa had told Parliament that the circulation of the Rand in Zimbabwe had “been declining to a point where last year it came to zero.”

More details to follow…..

  • Drogo12

    Aaah, vatinyanyira. Mwari pindirai.

  • Michael

    These measures are just going to exacerbate the present cash crisis. At worst RBZ should have just stayed silent on this matter. No rational individual is going to deposit his US dollars so he can in turn get a combination of bond coins and rand at an inferior rate. A new cycle of madness is about to begin.

  • Michael

    Mwari akakupa zvese zvaunoda kuti ubudirire past pano. Look to yourself and not the heavens for a solution.

  • Michael

    A government that cannot account for 15B now wants to involve itself in managing our monetary affairs. The same government that reduced our life savings to a dung heap. There comes a time in a man’s life where he must confront the real source of his problems whatever the danger. Just when you think you are making headway these people bring up another brain far to impede your progress. Always Zealand.

  • Michael

    The real cause of the cash crisis lies in those treasury bills government has been forcing down people’s throat. Now its wants the whole population to pay for its excesses. Privatising the benefits to indulge a few while socialising the costs.

  • Pedro Gorosviba

    Back into the past, first stop 2008!

    • Pedro Gorosviba

      I think Zim needs a revolution

  • Teryfik

    i might as well relate this situation.. you can watch

  • Booker

    WTF ???…..these people have really run out of ideas. they even now want to take a cut from school development money…..Really ??? WTF???…these people need to wake up.

  • Benjy Eliav

    This bond note exercise will be another exercise to loot USD accounts. USD Balances will be replaced with bond notes, while usd paper will be bought off the street at stupid rates as billions of dollars of bond notes will be printed. There will be NO fiscal control on money supply. 2008 revisited. Same disasterous results to come.

  • This is too much

    With effect from today, the central bank will convert 40 percent of new USD foreign exchange receipts and 10 percent to Euros…… Please can someone explain what this means? Does this mean any USD I transfer to my account today will be converted? How can they convert my hard earned USD to rands without my permission? This is becoming a bitter pill to swallow, is there no security that these banks offer their clients from this kind of abuse, next thing they will say is all of your account balances have been converted to Zim$. We will never have faith in the banking sector without customers having security of their deposits. This will surely collapse the banking sector. If banks cannot protect their clients it would be best for them to shut their doors as this will be the end result if Zimbabweans are tested again with their hard earned funds.