Zimbabwe Spends $400 Million Backing ZiG Less Than Year After Debut
- Lenders buy 70% of forex due to tight liquidity, governor says
- Analysts warn over ZiG stability, which they see as artificial
Photographer: Cynthia R Matonhodze/Bloomberg
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Zimbabwe’s central bank said it has spent more than $400 million supporting the country’s new gold-backed currency in the 10 months since its April launch.
The Reserve Bank of Zimbabwe is strategically intervening in the foreign-exchange market to ensure liquidity to meet demand, Governor John Mushayavanhu said Thursday after the monetary policy committee held its benchmark rate at 35%.