Zimbabwe introduces 4,500 small denomination gold coins amidst soaring inflation

Zimbabwe introduces 4,500 small denomination gold coins amidst soaring inflation

/ bne IntelliNews

By bne IntelliNews November 10, 2022

Zimbabwe’s central bank is due on Friday and Monday (November 11 and 14) to distribute 4,500 small denomination gold coins to banks before the public can start buying them on Tuesday (November 15), a state-owned daily, The Herald reports.

It cited Reserve Bank of Zimbabwe (RBZ) governor, John Mangudya telling mining executives at a breakfast meeting in Harare, the capital on Thursday (November 10) saying that starting on November 15, “gold coins of lower denimonations of a tenth, a quarter and half an ounce will be on sale. We are going to be taking them to banks on Friday and Monday so that the public will start buying them on Tuesday.”

The southern African country introduced one oz gold coins on July 25, 2022 in an effort to mop up excess liquidity, shore up the local currency and curb inflation. The measure, working with others announced earlier, has helped stabilise the currency and inflation.

The price of the coins is determined by the international price of bullion plus 5% to cover the cost of production and distribution. On Thursday (November 10) a one oz unit was being sold for $1,801, but authorities feel that only a few people could buy them at that price, hence the decision to introduce smaller ones.

The latest issue of The Sunday Mail said 11, 475 one ounce gold coins had been sold since July, for ZWD11.4bn ($31.5mn).

#Zimbabwe #inflation #bneintellinews #currency #banking

Read in IntelliNews Pro

Get IntelliNews Pro

Related Content

This year to be warmest on record, says Copernicus

Critical minerals, tariffs, “sh*thole countries”: What Trump’s victory means for US policy on Africa

Planet-heating emissions reach new record in 2023, says WMO report

This year to be warmest on record, says Copernicus

Critical minerals, tariffs, “sh*thole countries”: What Trump’s victory means for US policy on Africa

Planet-heating emissions reach new record in 2023, says WMO report

News

Peru's Chancay megaport heralds a new era for Latin America’s trade

The inauguration of the Chancay Megaport in Peru marks a significant moment for regional trade, with the facility set to become South America’s largest commercial port.

Protesters attack parliament building in Abkhazia

Resistance to the disputed Russian-Abkhaz investment agreement is gaining momentum in the breakaway Georgian republic.

Former Slovak president Kiska stripped of state pension

Presidential Office stops paying Kiska’s pension following court ruling over the costs of his 2014 presidential campaign when he beat Prime Minister Robert Fico.

Iranian president expresses readiness for cooperation with IAEA to address ambiguities

Iranian President Masoud Pezeshkian said Iran is ready to cooperate with the International Atomic Energy Agency to address the “alleged ambiguities and doubts” about its nuclear activities, the presidential website reported.

European Parliament says Georgian elections “do not meet standards of an EU candidate country”

MEP Nathalie Loiseau told the European Parliament she "witnessed fraud and intimidation" during Georgia's October general election.

Peru's Chancay megaport heralds a new era for Latin America’s trade

Protesters attack parliament building in Abkhazia

Former Slovak president Kiska stripped of state pension

Iranian president expresses readiness for cooperation with IAEA to address ambiguities

European Parliament says Georgian elections “do not meet standards of an EU candidate country”

Dismiss

Chat with usLiveChat