Zimbabwe’s New Currency, the ZiG, Has Brought With It Deflation
- Zimbabwe introduced its new currency, the ZiG, on April 5
- It’s gained 1.9% against the dollar since trade began April 8
ZiG banknotes in Harare, Zimbabwe.
Photographer: Cynthia R Matonhodze/BloombergThis article is for subscribers only.
Zimbabwe, which has become synonymous with runaway inflation, is now contending with deflation following the introduction of its new currency.
In its first inflation reading computed using ZiG, launched on April 5, consumer prices fell 2.4% in May from a month earlier, the Zimbabwe National Statistics Agency said in an online briefing.