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Tapiwanashe Mangwiro, Zimpapers Business Hub

THE Zimbabwe Gold (ZiG) is gaining significant traction, now accounting for over 40 percent of electronic payment transactions six months after the Reserve Bank of Zimbabwe (RBZ) implemented a series of targeted interventions.

According to the RBZ, the proportion of ZiG transactions in the national payment system rose from 26 percent in April 2024 to over 40 percent in June 2025, reflecting both policy success and increasing public confidence. Electronic channels include RTGS, cards, mobile money, mobile apps and online platforms.

Governor Dr John Mushayavanhu, in his latest Mid-Term Monetary Policy Statement, stated: “The increased usage of ZiG underscores our dual objective of fostering financial inclusion and dedollarisation. “We continue to ensure the wider availability of ZiG cash through the banking system, complementing digital efforts.”

To support cash usage, the central bank directed banks to maintain at least three percent of ZiG deposits in cash reserves, aligned with regional benchmarks. Banks were also mandated to increase ZiG availability through ATMs and banking halls, with full compliance expected by September 2025.

To further strengthen local currency adoption, several concrete measures were introduced at the beginning of the year, with the foreign currency retention ratio increased to 30 percent from 25 percent, to ensure companies have adequate ZiG for local raw material acquisition.

Additionally, to promote the circulation of ZiG within banking channels, the Government mandated that all presumptive taxes be paid in local currency, regardless of the currency used for business transactions.

Small and micro enterprises were encouraged to use point-of-sale machines and maintain bank accounts linked to the tax authority. 

Corporate taxation was adjusted so that companies earning more than half their revenue in foreign currency pay taxes on a 50/50 basis in local and foreign currency, while those earning predominantly in ZiG pay taxes proportionately to the currency of trade.

Moreover, fees for precious stone dealing registration, approved prospector registration, special mining lease registration, liquor licensing and vehicle licensing are now payable in local currency.

Payment system expert, Rudo Mutetwa, praised these initiatives. “Ensuring ample ZiG cash in ATMs and branches removes a key barrier to adoption, especially in rural areas where digital literacy remains limited. Coupled with these policy measures, it strengthens public trust in the local unit,” she said.

Despite the rise of electronic payments, cash remains vital. 

A recent survey highlighted that 60 percent of small businesses continue to prefer cash for daily transactions. Dr Mushayavanhu emphasised: “Our approach is not to supplant cash but to balance digital innovation with cash availability, catering to all segments of society.”

The RBZ’s policy interventions have also helped dampen inflation since January, tightening liquidity and supporting the ZiG’s purchasing power. The recalibration of Non-Negotiable Certificates of Deposit (NNCDs) to a fixed 30-day tenor curtailed early redemptions, restricting excess cash circulation and stabilising the currency.

This “Back-to-Basics” framework under reserve-money targeting has underpinned both rate stability and currency confidence.

Deputy Governor Dr Innocent Matshe, recently reiterated the 2030 dedollarisation target.

“This economy is affected by low liquidity, especially in the US dollar, which we cannot control at all,” he said. “Dedollarisation is the best route available to give us full control over our monetary policy and drive economic growth.”

Economist, Ms Gladys Shumbambiri-Mutsopotsi outlined the conditions necessary for a successful transition, emphasising that dedollarisation requires adequate ZiG availability, fiscal discipline, and a sustained increase in domestic production to reduce import dependence.

Alois Burutsa, Director of Buy Zimbabwe, an advocacy for the consumption of locally produced goods, linked the dedollarisation drive to a broader thrust under President Mnangagwa’s administration.

“Local procurement is a key factor in reducing imports and making it easier to dedollarise,” he said, noting that cabinet processes are increasingly favouring domestic suppliers.

Mr Malone Gwadu, an investment analyst, praised the RBZ’s disciplined approach, highlighting the role of the Macroeconomic Stability and Financial Deepening (MESFIND) framework under National Development Strategy II.

“The roadmap lays the groundwork for sustainable development. It must be gradual and consistent, with enablers such as tax settlement in ZiG and the removal of foreign-currency bases for tax determination.”

Mr Gwadu further stressed that boosting productive capacity is critical to defending the ZiG. 

“Alignment of currency availability with domestic production ensures the ZiG’s stability and reinforces public confidence,” he said.

This growing confidence is evident among citizens and entrepreneurs. “As a business owner, I have started accepting ZiG payments because it is showing signs of stability. I can now plan short-term operations like restocking and paying suppliers without worrying about sudden value loss,” said Mr Kelvin Mombe, an entrepreneur.

Mr Tinashe Tsodzo added: “The rise in ZiG usage signals progress in our financial ecosystem. It is giving me options to buy goods in most shops now that previously did not accept the currency.”

With the National Development Strategy II expected to crystallise the dedollarisation roadmap, Governor Mushayavanhu affirmed: “Continued clarity on the transition will further bolster confidence, shape expectations, and cement the ZiG as the primary unit of account.”

These measures, already in effect, not only reinforce macroeconomic stability but also foster innovation in local payments and financial inclusion, marking a significant milestone in Zimbabwe’s path toward a fully functional domestic currency. 

The National Sports Stadium is a hive of activity, with hundreds of volunteers sprucing up the venue in readiness to host the first of two “special conventions” of Jehovah’s Witnesses to be held from Friday, 22 August to Sunday 24 August 2025.

The past weekend saw scores of volunteers from different congregations in Harare converging at the giant stadium to clean the seating bays and bucket seats. Water bowsers could be seen spraying the bays and volunteers with brooms and mops busy at work.

In a statement, Jehovah’s Witnesses local public information coordinator Kudakwashe Chikuvadze, said the second “special convention” will be held from September 5 to 7 and the expected attendance for both conventions is 40,000, including 4000 delegates from 16 countries.
Delegates from outside Zimbabwe have started arriving in the country, providing a boon for the local tourism industry through hotel occupancy and ancillary services.

Chikuvadze said a business meeting and official launch will be held at the National Sports Stadium on Wednesday to discuss the event.

This is the second time in recent years that the Witnesses are hosting an event of this magnitude in Zimbabwe. The first one was held in 2014 and was attended by over 80,000 people on the final day.

Wallace Ruzvidzo in ANTANANARIVO, Madagascar

AS he stepped onto the podium to hand over the SADC Chairmanship here yesterday, President Mnangagwa had a spring in his step.

Who would fault him?

He was handing over a better SADC to his Madagascan counterpart President Andry Rajoelina, one set and already primed for a much brighter future.

The President, who took over the reins on August 17 last year, urged the current crop of leaders in the region to defend and continuously improve the international order bequeathed by the region’s founding fathers.

“The future well-being, development and a higher quality of life of all peoples, particularly us in Africa and the global south, depends on a just, inclusive and rules-based multilateral system.

“For the good of both present and future generations, us, the current crop of leaders, have a duty to defend and continuously improve the international order bequeathed to us by our predecessors,” said President Mnangagwa in his keynote address during the opening ceremony of 45th SADC Summit of Heads of State and Government held here.

The Summit, held under the theme, “Advancing Industrialisation, Agricultural Transformation, and Energy Transition for a Resilient SADC”, was attended by other Heads of State and Government, including South Africa’s Cyril Ramaphosa, Botswana’s Duma Boko, Mozambique’s Daniel Chapo, Namibia’s Netumbo Nandi-Ndaitwah and Mauritius Prime Minister Navinchandra Ramgoolam.

Heads of State and Government who did not attend were represented at various levels.

President Mnangagwa said during his tenure, the regional bloc had collectively realised successes in developing institutions that underpin democracy and good governance.

As SADC Chair, the President was officially handed over the SADC Secretariat Headquarters in Gaborone, Botswana on behalf of the region, following its full acquisition.

Also in his capacity as Chairman of SADC, the President, accompanied by his Botswana counterpart, Boko, presided over the groundbreaking ceremony of the 19-hectare SADC Standby Force Regional Logistics Depot, which will play an important role in enhancing the region’s preparedness and response to conflict and humanitarian emergencies.

“Collectively, we realised successes in developing institutions that underpin democracy and good governance,” President Mnangagwa said.

“Together with His Excellency, Advocate Boko, President of the Republic of Botswana, we commissioned the construction of our Regional Logistics Depot in Botswana.

“Member states are urged to equally provide the requisite funding to ensure the timely completion of this critical infrastructure.”

SADC, said the outgoing Chairperson, remained steadfast in its commitment to ensuring peace in the Eastern parts of the DRC, hence the appointment of a panel of mediators earlier in this month.

The panel comprises former Nigerian President Olusegun Obasanjo, former Kenyan President Uhuru Kenyatta, former Central African Republic President Catherine Samba-Panza, former Ethiopian President Sahle-Work Zewde, and former Botswana President Dr Mokgweetsi Masisi.

“We appointed five Former Heads of State to facilitate inclusive dialogue, build trust and peacebuilding initiatives.

“We welcome the outcome of the Joint SADC-EAC Summit held earlier this week and the African-led Peace Process, which reinforces our philosophy of African solutions to African problems,” he said.

President Mnangagwa said the Peace Agreements brokered by the USA and Qatar were also welcome as they would complement the African-led processes underway towards peace, stability and development in Eastern DRC.

“The peace and stability prevailing in our region is worth applauding as reflective of our joint obligation to silencing the guns.

“I commend the outgoing Chairperson of the Organ, Her Excellency, Dr Samia Hassan, and the Organ Troika Member States, for their gallant work over the past year, for the realisation of durable consolidating peace and security in our region,” said the President.

In terms of the region’s integration efforts, he said the development of strategic corridors, one-stop border posts and digital infrastructure must remain top priority.

“The integration we envisage heavily depends on our ability to develop infrastructure, which facilitates the free movement of people, capital, goods and services across our borders.

“Major milestones have been recorded in implementing high-impact regional infrastructure projects.

“The full potential of our regional bloc has, regrettably, been largely inhibited by budgetary constraints,” he said.

In this respect, President Mnangagwa said it was imperative that SADC urgently comes up with inventive and sustainable sources of funding.

“In this regard, let us not shy away from tapping into partnerships with the private sector, our Diaspora, and other non-traditional sources.

“The SADC Regional Development Fund is a low-hanging fruit, which, when operationalised, will provide alternative financing for critical infrastructure projects. I am pleased to report that Zimbabwe has ratified the Protocol.

“However, the number of ratifications remains far below the threshold required. The need to expedite internal processes on this matter, within our respective jurisdiction, is essential to drive progress,” he said.

The outgoing SADC Chair said the region’s efforts towards food and nutrition security and the development of agro-based value chains had borne mixed results due to climate change-induced phenomena such as droughts.

He, however, encouraged member states not to be deterred but instead scale up investments in innovative strategies for climate change adaptation, mitigation and resilience.

“I applaud our Incoming Chairperson, His Excellency, Rajoelina, for the timely theme, Advancing Industrialisation, Agricultural Transformation and Energy Transition for a Resilient SADC,” said President Mnangagwa.

“This rallies us to accelerate our efforts towards an industrialised, resilient region, where citizens have food and nutrition security as well as energy self-sufficiency.”

On the region’s shared natural resources, he said the stewardship exhibited by member states had been encouraging.

“I am encouraged by the progress we have made in the stewardship of our shared natural resources,” President Mnangagwa said.

“The SADC Trans-Frontier Conservation Areas International Conference and Summit was held in Harare this May.

“The gathering provided us with an opportunity to reaffirm our combined commitment to the sustainable utilisation of our God-given resources for the benefit of local communities.”

The mid-point review of SADC’s Regional Indicative Strategic Plan, said President Mnangagwa, was coming at a time when the world is witnessing unprecedented geo-strategic tensions and global economic policy uncertainties.

Notwithstanding the uncertainties, SADC had managed to lay foundations in some areas, he added.

“We express gratitude to the Executive Secretary for his Report on the performance of our region over the past five years. which shows areas where we have laid a firm foundation in advancing our vision,” said the President.

“The Report also highlights the unprecedented threats facing our Region, and most importantly, suggests areas that require our introspection and concerted efforts. The Mid-Term Review, which is underway, must be leveraged for this purpose”.

Under his tenure, events such as the SADC Industrialisation Week have now become an annual occurrence, providing platforms for networking, towards enhanced industrialisation, trade and investment.

President Mnangagwa said it was alarming that intra-regional trade remained relatively low, nonetheless.

“Regrettably, our exports continue to be driven by primary products, and intra-regional trade remains far less than our business with other regions,” he said.

“Our prosperity is inevitably tied to the success of our neighbours and to that of our region as a whole, and the continent.”

President Mnangagwa expressed gratitude to member states, the SADC Secretariat, African union Commission, United Nations and International Cooperating Partners for the support they accorded him during his Chairmanship.

“This event marks the end of Zimbabwe’s Chairmanship. On behalf of the people and Government, I express our gratitude to you, my brothers and sisters, the African union Commission and the United Nations, and International Cooperating Partners, for the partnership and support you rendered to my Government and indeed to me, during the past year.

“It has truly been a privilege to serve our region, and to work with you all.

“I would also like to extend my heartfelt appreciation to the SADC Executive Secretary, His Excellency Mr Magosi, and his team for their dedication to the achievement of our shared objectives,” he said.

The President also singled out the Namibian President, who was attending the Summit for the first time as Head of State.

“It is my pleasure to welcome, Her Excellency, Dr Nandi-Ndaitwah, who is joining our Summit, as Head of State and Government of our sister Republic, Namibia.

“I am confident that her astute leadership and experience will provide valuable insights in shaping the strategic direction of our regional organisation,” he said.

President Mnangagwa also took time to pay tribute to former Presidents of Namibia and Zambia, Dr Sam Nujoma and Dr Edgar Lungu, who passed on this year.

“This year, we sadly lost one of our Founding Fathers, a revolutionary, His Excellency Dr. Samuel Nujoma, former President of the Republic of Namibia.

“We also lost a revered Statesman, His Excellency Dr Edgar Chagwa Lungu, former President of the Republic of Zambia.

“May their enduring legacies bring solace and inspiration to their families and the SADC region.

“May their souls continue to rest in peace,” said the President.

The outgoing SADC Chairperson also expressed gratitude to SADC for standing with Zimbabwe in calling for the unequivocal removal of Western imposed unilateral coercive measures.

“These are indeed a hindrance to the prosperity of the entire SADC region. Zimbabwe remains open and ready to engage and re-engage with all progressive members of the international community,” he said.

“As the SADC region, we firmly believe in the cardinal principles of the United Nations Charter with regard to sovereign equality and territorial integrity of nations being sacrosanct.

“Unilateralism and coercion, among other inexcusable violations of international law, cannot be allowed to become the norm within the comity of nations.”

President Mnangagwa wished his counterpart President Rajoelina a successful tenure as SADC Chair.

“As I hand over the mantle to my dear brother, His Excellency Rajoelina, I would like to wish him every success in the discharge of his responsibilities,” he said.

“I also wish His Excellency, Dr Lazarus Chakwera, success in the execution of this important mandate. I am confident in your leadership towards advancing our regional integration agenda.”

In his acceptance speech, President Rajoelina pledged to build on his predecessor’s successes.

“It is time to industrialise more, to better connect our economies and to strengthen our collective autonomy,” he said.

Also in attendance at the summit were Foreign Affairs and International Trade Minister Professor Amon Murwira, Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube, Minister of Industry and Commerce Mangaliso Ndlovu, Chief Secretary to the President and Cabinet Dr Martin Rushwaya, Deputy Chief Secretary (Presidential Communications) Mr George Charamba, Zimbabwean Ambassadors to Madagascar and Botswana David Hamadziripi and Henry Mukonoweshuro and Attorney General Virginia Mabiza, among other senior Government officials.

Zvamaida Murwira

Senior Reporter

GOVERNMENT has gazetted the Public Service Amendment Bill that compels civil servants to resign from public service upon assuming political office and also provides that female employees shall be granted ninety-eight (98) days of maternity leave on full pay.

The Bill will also compel Public Service Commissioners to declare their assets and ban industrial action by those providing health services.

All the provisions are meant to ensure compliance with the Constitution of Zimbabwe.

Clause 20 of the Bill emphasises the need to comply with the Constitution, which says a member of the civil service must resign within 30 days of assuming political office as a Member of Parliament or a councillor.

It reads as follows: “Any member seeking election to Parliament and Local Authorities shall be subjected to the provisions of section 129(h) and 278(1) of the Constitution, respectively.”

Section 129 (h) of the Constitution reads as follows: “The seat of a Member of Parliament becomes vacant (h) if the Member was a public officer or a member or employee of a statutory body, a government-controlled entity, a provincial or metropolitan council or a local authority on the date he or she was declared as a Member of Parliament, and he or she fails to relinquish that office, membership or employment within thirty (30) days after that date.”

Clause 22 precludes those providing essential services from embarking on industrial action.

It reads as follows: “Subject to this Act, members of the Public Service have the right to participate in collective job action unless they are employed in any department, service or section of the Public Service that has been declared to be an essential service.”

Clause Three defines essential services relating to public service as referring to any department, section or part of the Public Service, which, when interrupted, would endanger, immediately, the life, personal safety or health of any person.

The Clause is expected to put an end to perennial industrial action that was embarked upon in the past by health service providers in institutions that have resulted in the deaths of many patients and disruption of services.

Major referral hospitals have in the past been paralysed after health workers embarked on a collective job action, ignoring calls from the Government to pursue dialogue instead of endangering the lives of innocent patients who have a right in terms of the Constitution, to medical attention.

Clause 23 of the Bill stipulates that a female employee shall be granted ninety-eight (98) days maternity leave on full pay.

Before the Public Service Amendment Bill, Zimbabwean civil servants were entitled to 98 days of fully paid maternity leave, as per the Labour Act [Chapter 28:01], after serving for at least one year.

The new Bill, now approved by Cabinet and expected to be tabled in Parliament, seeks to enhance this further by removing the qualifying service period and the limit on the number of times maternity leave can be taken.