The Reserve Bank of Zimbabwe (RBZ) has directed all commercial banks to fully deploy Zimbabwe Gold (ZiG) cash through automated teller machines (ATMs) by the end of September 2025. This move is part of a fresh government initiative to deepen the use of the local currency in everyday transactions, marking the latest chapter in Zimbabwe’s long and turbulent monetary saga.
Since the early 2000s, Zimbabweans have weathered a series of experimental currencies, each launched amid promises of economic stability but most failing due to public distrust, inflationary pressures, and inconsistent policy implementation. Beginning with bearer cheques in 2003, the country then witnessed the catastrophic hyperinflation of 2008 that rendered the Zimbabwean dollar worthless. Subsequently, a multi-currency system was introduced in 2009, relying heavily on foreign currencies such as the U.S. dollar and South African rand.
In subsequent years, the government rolled out bond notes in 2016, the RTGS dollar in 2019, and, most recently, the Zimbabwe Gold (ZiG) currency, launched in April 2024. Each attempt sought to restore monetary confidence, yet none have fully succeeded in supplanting the dominance of foreign currencies or stabilizing the local economy.
RBZ Orders Full Rollout of Zimbabwe Gold (ZiG) Cash via ATMs Amid Renewed Push for Local Currency
Despite this troubled past, RBZ Governor Dr John Mushayavanhu remains optimistic. In the RBZ’s 2025 Mid-Term Monetary Policy Statement released last week, Mushayavanhu highlighted encouraging trends for ZiG usage, noting that electronic transactions conducted with the currency increased from 26 percent in April 2024 to over 40 percent by June 2025 — a significant 14 percentage point rise.
“The improved macroeconomic stability has seen increased usage of ZiG as reflected by the rise in the proportion of electronic ZiG in the National Payments System from 26 percent in April 2024 to over 40 percent in June 2025,” said Mushayavanhu.
The central bank acknowledges initial volatility following the April 5, 2024 launch of ZiG, but asserts that acceptance of the currency has been “steadily growing.” This has prompted the RBZ to push for wider physical distribution of ZiG notes across the country, alongside electronic availability.
“The increase in the usage of ZiG has also been accompanied by an increase in the demand for ZiG cash,” Mushayavanhu added. “The Reserve Bank has been ensuring issuance of ZiG in line with optimal requirements in the market… banking institutions must hold at least three percent of their ZiG deposits as cash.”
To meet this goal, the RBZ has mandated all banks to make ZiG cash available via ATMs and banking halls. Institutions currently not providing ZiG withdrawals through ATMs are required to do so by the end of September 2025. Sources say that banks already have over ZiG200 million in physical notes ready to be circulated.
In addition, the RBZ revealed that a redesigned, “modernised” series of ZiG banknotes is in advanced development, with a rollout timetable to be announced soon.
Despite the official optimism, many Zimbabweans remain wary. Past monetary experiments—including bearer cheques, bond notes, and the RTGS dollar—were often introduced amid much fanfare and government assurances, only to quickly lose value and erode savings. This has entrenched a widespread preference for the U.S. dollar and South African rand, which are seen as more stable and reliable stores of value.
This skepticism is further intensified by the government’s announcement that the multi-currency system will officially end in 2030, raising concerns about the future of foreign currency deposits and contracts. During consultations for the Mid-Term Monetary Policy Review, stakeholders pressed the RBZ for a clear and transparent “de-dollarisation” roadmap.
Mushayavanhu responded by promising that the roadmap would seek to “maintain the current stability, preserve the foreign currency accounts and the existing USD-denominated contracts,” emphasizing the importance of “business continuity and certainty” as Zimbabwe transitions toward greater local currency use.
Source- ZimEye
