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Ashley Phiri/Amos Mpofu, Chronicle Writers

SINCE the Zimbabwe Gold (ZiG) notes and coins started circulating more than a week ago, most Bulawayo residents have said they are yet to transact using the new structured currency as it was not circulating in the city.

Market players have fully embraced the ZiG following its introduction by the Reserve Bank of Zimbabwe (RBZ) on April 5.

Key economic stakeholders have expressed optimism that the adoption of the ZiG is the panacea to the desired long-term stability and smooth business transactions.

The RBZ has pegged the withdrawal limits at ZiG3 000 for individuals and ZiG30 000 for corporates with denominations of 1 ZiG, 2 ZiG and 5 ZiG in coins, and notes of between 10 ZiG to ZiG200. 

A Chronicle news crew took to the streets and spoke to residents who said they were yet to transact using ZiG cash as the new notes and coins were not circulating.

In interviews, some residents said they were only transacting in ZiG electronically while others said they were transacting in United States dollars and South African rand. A vendor operating from the City Hall, Mrs Vandai Mhaka said since the new local currency started circulating, she had never transacted using the money.

“Since the ZiG started circulating, I’ve only seen a 10 ZiG note once when a friend passed by my stall and showed me. In Bulawayo, it seems the ZiG notes are not circulating and from the day the new currency started circulating, I am yet to see a customer buying using the ZiG,” she said.

“I believe banks are not issuing much of ZiG and we appeal to authorities to ensure that this is addressed because as citizens, we have embraced our new currency.”

Mrs Mhaka urged RBZ to release more notes and intensify the ZiG awareness campaigns in the city.

“Most people in Bulawayo have not seen the money. We are appealing to the Reserve Bank to release more notes and continue with the campaigns so that we familiarise ourselves with the money,” she said.

Local public transport operators said the fact that the ZiG is not circulating makes it difficult for them to come up with fares in local currency.

While major retail shops are accepting the ZiG mainly through electronic money transactions, several traders outside the city centre are yet to transact using the ZiG with consumers saying they have not seen the new notes.

“We only hear of the new currency release on news and social media but have not seen it here, no one has the cash and even in the kombis no one uses it,” said a resident from Old Magwegwe. 

“Transactions at both formal and informal shops are still dominated by forex and some are not even offering swipe.” 

A few airtime vendors have said they accept the ZiG but equally raised concern that the new bank notes and coins were not much visible in the market. Others suspected that the release of the cash into the banks came way after people had been paid and hoped to see more of it after civil servants get paid starting this week.

Tshova Mubaiwa Transport Association marketing director, Mr Ndabazabo Mabunda said due to the scarcity of the new currency, they were now in a state of dilemma.

“ZiG is still scarce in Bulawayo and because of this, we are undecided in terms of pegging the fares in local currency. We can only decide on the ZiG fares once the commuting public has the new currency,” he said.

Finance, Economic Development and Investment Promotion Minister, Professor Mthuli Ncube, has said as Government continues to configure the Public Finance Management System (PFMS) to facilitate revenue collection and payment for goods and services in local currency, all MDAs and the private sector must accept and recognise ZiG as the official currency that should be used for payment for goods and services.

He said the collective effort in embracing ZiG will contribute to the smooth transition towards a more stable economic environment.