via Zimbabwe coins to be operational December 18 December 6, 2014
THE new Zimbabwe coins were yesterday unveiled by the central bank, but will only start circulating in the country on December 18.
Reserve Bank of Zimbabwe governor John Mangudya said the country will receive $10 million worth of bond coins between now and March which translate to 2% of total banking deposits.
Speaking at the unveiling of the coins yesterday, Mangudya said the bond coins will be issued in 1c, 5c, 10c,25c and 50c.
“The 50c coins shall be released into the market in March 2015 due to the prerequisite security features needed in the design and manufacture of this coin. The initial amount to be made available is $10 million worth of bond coins to be released into the market between December and March 2015.This translates to just below 2% of total deposits,” he said.
“The bond coins shall be distributed to the public through normal banking channels and shall be in circulation starting December 18 2014.”
Mangudya said in an economy the proportion of coins to money in circulation is normally between 20-25%.
“However, due to the fact that Zimbabwe is using multiple currencies, we envisaged the bond coins to remain below 10% of total bank deposits,” he said.
Mangudya said the coins will be used together with United State dollars, rand, euros and other currencies. Their circulation will be limited to Zimbabwe.
The central bank chief said the coins have been introduced to buttress the multiple currency system through the provision of change especially for the US$ notes which have a smallest denomination in circulation in Zimbabwe of $1. Mangudya said so far banks were buying scales to measure the dimensions.
This is the first time that the country has bonded coins since the introduction of multicurrencies in the economy.
Customers have been crying foul due to the unavailability of coins in the market.
Retailers realised profits due to the unavailability of coins as most of them offered customers sweets or vouchers as they did not have in circulation change to give to customers.
COMMENTS
its too late. we are past the phase, coins are plenty honestly, this is totally lagging behind bt at least its a ray of hope
First Zanu printed dollar notes – hundreds, then thousands, then tens of thousands, then hundreds of thousands, then millions, then tens of millions, then hundreds of millions, and billions and then finally ama trillions!! I have a fifty trillion dollar note!! Each piece of paper cost 7 US cents.
Today – somebody in Zanu PF needs money and will print themselves
$10 million US dollars by printing coins!
Who will get it – or is it to pay for the Conference?
Is it the thin end of the wedge – again?
Will we see bearer cheques again when Zanu is needing to suck some millions of US dollars out of the diasporan’s remittance relatives’ pockets who they (Zanu) keep in poverty in their Little Zanu-Zvimbaville to legitimise themselves with a sham Mbeki election every five years?
I fear so. This is a Banana Republic.
The timing of this Zanu slight of hand is immaculate. The diasporans will return home for Christmas with family to be given little pieces of Zanu trinket (made in China?) instead of Rands as change. These little pieces of trinket – called Zimbabwe Coins – will become worthless because the RBZ Governor will mint millions and trillions of them as instructed by his Zanu masters. The Governor, like the previous one – will get his hefty commission! He will be paid in US dollars for his Chinese trinkets! Zanu has worked it all out.
Its the zimkwacha through the backdoor. I know the Fidelity printers bought a new press this year. I wonder why.
What is the difference between a coin and a bond coin?
What is there to actually back up of this coin currency? – The RBZ Guv or The Gushungo Dairy, or Lady Grace, Zanu or Bob?
Who is responsible for the old ama trillions? Gideon?
Have we forgotten what the RBZ did last time?