Zimbabwe has banned use of the United States dollar and other foreign currencies for local transactions.
This is with immediate effect, and means the RTGS dollar is currently the sole medium of exchange.
Statutory Instrument 142 of 2019 reads, in part, “The British Pound, United States Dollar, South African Rand, Botswana Pula and other foreign currencies whatsoever shall no longer be legal tender.
“. . .bond notes and RTGS dollars are at par with the Zimbabwe dollar, that is to say each bond note unit and each RTGS dollar is equivalent to a Zimbabwe dollar, and each hundredth part of a RTGS dollar is equivalent to a Zimbabwean cent.”
Finance and Economic Development Minister Professor Mthuli Ncube speaks on the latest development.
Banker and senior ZTN business correspondent Andy Hodges said, “The new measures will have a direct impact on the lives of ordinary Zimbabweans. You find there were some landlords who were already asking for US dollars and the statutory instrument stops that.
“People have to know that it is not illegal to have US dollars or any other currency, but what will be illegal is transacting with them in shops and settling debts.”