Zimbabwe introduced a new currency three weeks ago, on the 5th of April 2024 called the Zimbabwe Gold, ZiG which is said to be backed by 2.5 tons of gold and about $100 million in foreign currency reserves held by the central bank. 

The ZiG was trading at 13.56 against the US dollar initially when it was introduced and it fell by 0.8% on Monday to ZiG13.67 against the US dollar. Currently the black market rate is trading at ZiG 17 against the US dollar. New measures were introduced by the Finance Minister, Mthuli Ncube to avoid the ZiG from depreciating in value :

• Prior to today businesses were allowed to set prices up by 10% above the official market rate, but currently it has been declared that it is going to be a crime if businesses charge prices above the fixed government exchange rate as of that week. This will attract a penalty fee of ZiG200,000 or an amount equivalent to the goods sold(Statutory Instrument 81A of 2024).
• Aditionally, delayed payments will incur extra penalties of 5% per day of the civil penalties.
• All ministries, departments, agencies and private sector to start accepting and recognizing the ZiG as the official currency for all financial transactions and payments of goods and services(Statutory Instrument 60 of 2024 – ZERA introduced fuel prices in ZiG a move taken after this SI was introduced. According to ZERA diesel will be sold at ZiG22.24 while petrol will be charged at ZiG21.15 per litre.
• Companies to pay at least 50% of their tax obligations in ZiG.

 These measures are assumed to stabilize the ZiG currency from depreciation against the US dollar in the forthcoming time.