Zimbabwe Will Issue Gold Coins Amid High Inflation

Last updated on July 31st, 2022 at 07:33 am

Zimbabwe will begin to sell gold coins later this month to tame inflation, the country’s central bank announced this week. The inflation in Zimbabwe continues to send costs soaring for everything from fuel to groceries.

The country in southern Africa will begin issuing gold coins to its citizens as the local currency dramatically loses value. According to a statement by the central bank governor John Mangudya, the gold coins will be introduced as a “store of value,” which means Zimbabweans can exchange the coins in the future without worrying about the coins deteriorating in value. 

How will the coin be sold?

According to central bank governor John Mangudya, the coins will be sold based on the international price of gold and the cost of production. Zimbabweans can purchase the coins by using Zimbabwean dollars, US Dollars, and other currencies from July 25. The Zimbabwean dollar is the official currency in the country.

The gold coins will be called “Mosi-oa-tunya,” which means “The Smoke Which Thunders”. 

Related Posts

Inflation in Zimbabwe

Zimbabwe, a country of fewer than 15 million people, is struggling to tame inflation.  The Zimbabwean dollar has rapidly been declining in value. The currency has been devalued by over 40 per cent since the beginning of the year.

The annual inflation in Zimbabwe rose to 191.6 per cent in June because prices of cooking oil, fuel and bread increased rapidly as a result of Russia’s invasion of Ukraine. 

Read More: 10 African currencies with the highest exchange rates

Recently, Zimbabwe’s central bank announced to hike the interest rate to 190 per cent to control the soaring inflation. The plan to hike the interest rates was among the measures to curb inflation. 

This is not the first time the country has struggled with hyperinflation. In 2008, Zimbabwe’s inflation rate shot up to 89.7 sextillions per cent. The government then ditched the local currency and adopted the US dollar as legal tender.

Sagrika Giri

Recent Posts

Africa and GCC Trade Doubles to $121 Billion

Trade between African and GCC countries stands at $ 121 billion in 2023, double of what it was in 2016.…

December 21, 2024

Families in Mayotte rebuilding their homes complain of lack of help

Family members struggling after one week after  of Cyclone Chido ripped through the French island territory of Mayotte expressed helplessness…

December 21, 2024

Ethiopian PM Inaugurates UAE-Funded Orphanage in Oromia

The United Arab Emirates has launched its orphanage project in Ethiopia's Oromia region on the orders of President Sheikh Mohamed…

December 21, 2024

A Rising Femicide Threat, Kenya’s Call to End Gender Based Violence

In just four months, 100 women have been killed, the majority by males they knew including spouses. Prime Cabinet Secretary…

December 20, 2024

Actor C Confion has passed away

The Ghanaian entertainment industry is in deep mourning following the sudden death of Bright Owusu, better known as C Confion.…

December 20, 2024

South Africa: 512 Accident Deaths and 941 Arrested for Drunk Driving Just on December Month

Since the beginning of December more than five hundred people have lost their lives on the nation's highways. Barbara Creecy,…

December 19, 2024

This website uses cookies.