Category: Economy

The economic landscape of Zimbabwe is clouded with uncertainty as the informal sector, a key contributor to the nation’s economy, refuses to embrace the local RTGS dollar. Compounding the issue is the delayed introduction of the new gold-backed currency, ZiG, originally slated for April 8th but now postponed until April 30th. Representing approximately 75% of national employment, Zimbabwe’s informal traders have ceased accepting the RTGS dollar due to concerns over its dwindling value, leaving the US dollar as the predominant currency in circulation. Economist Happy Zengeni voices criticism over the… Read More Here

In a keynote speech delivered at the IMF-World Bank 2024 Spring Meetings, Managing Director Kristalina Georgieva emphasized the critical need for coordinated policy responses to address the current economic landscape and pave the way for a transformative future. Against the backdrop of geopolitical tensions and lingering pandemic scars, Georgieva painted a nuanced picture of the global economy. While acknowledging marginal improvements in growth, particularly in the United States and select emerging markets, she underscored persistent challenges and growing divergence, especially among low-income countries grappling with severe scarring. Central to Georgieva’s… Read More Here

On April 12, 2024, the Executive Board of the International Monetary Fund (IMF) reaffirmed its endorsement of Kristalina Georgieva as the sole candidate for the position of Managing Director for a second term, commencing on October 1, 2024. The decision, reached by consensus, followed extensive discussions, including dialogues with Georgieva herself. Coordinators of the Executive Council, Mr. Afonso S. Bevilaqua and Mr. Abdullah F. BinZarah, emphasized Georgieva’s exemplary leadership amidst global challenges. The Board commended Georgieva’s proactive response to major global shocks during her tenure, including facilitating over $360 billion… Read More Here

Zimbabwe’s latest attempt to stabilize its economy began on Monday with the introduction of the new gold-backed currency, ZiG, amidst skepticism and economic challenges. The Reserve Bank of Zimbabwe unveiled ZiG as a replacement for the struggling Real Time Gross Settlement Dollar (RTGS), which had experienced significant devaluation, trading at 28,720 to $1 before the transition. Bank balances were automatically converted into ZiG currency over the weekend, with customers given a 21-day window to complete the process. The new ZiG banknotes, available in denominations ranging from 1 to 200, are… Read More Here