Reserve Bank of Zimbabwe (RBZ) Governor John Mushayavanhu says the current market environment, marked by low and stable inflation, a steady exchange rate, growing foreign currency reserves, and a stable banking sector, provides a solid foundation for a gradual move towards using only the local currency within the next five years.
Speaking to The Sunday Mail, Mushayavanhu said the country is following a carefully planned roadmap to achieve full mono-currency status, or exclusive use of the Zimbabwe Gold (ZiG), by 2030.
He added that the process is being carried out cautiously to maintain macroeconomic stability and to make sure the right economic conditions are in place before completing the transition. Said Mushayavanhu:
“Zimbabwe introduced a new currency in April 2024 and is currently in its adjustment phase on the road to full mono-currency by 2030.
“The transition process to mono-currency requires a cautious and gradual approach in the implementation of appropriate monetary and fiscal policies to create the desired conditions precedent… When the desired fundamentals are in place, the road to mono-currency will be market-driven.”
The central bank said the country’s stability is reflected in the better-than-expected inflation outlook and the narrowing gap between the parallel market exchange rate and general prices.
Mushayavanhu said it is crucial to maintain the lasting stability of the ZiG currency.
“The Reserve Bank has been deliberately accumulating foreign currency reserves to support the long-term stability of the economy.
“As a result, gross foreign reserves have risen steadily to over US$900 million, representing about 1.1 months of import cover on the back of record tobacco, gold output and other mineral exports.
“The current foreign currency reserves accumulation strategy, which is also a gradual process, will result in adequate build-up of foreign currency reserves to target levels of three to six months in the short to medium term, critical to promote durable ZiG stability.”
The ideal conditions for transitioning to a mono-currency system include sustained macroeconomic stability and sufficient foreign currency reserves to cover at least three months of imports.
Mushayavanhu also said the central bank is currently reviewing transaction costs and improving payment systems to make it more convenient and attractive to use the local currency.
According to the RBZ’s latest “ZiG Perception and Confidence Survey II”, public confidence in the currency has grown significantly — from 40 per cent in June 2024 to over 90 per cent by September 2025.
Mushayavanhu also noted that the share of ZiG transactions on the National Payment System has risen from 26 per cent in April 2024 to a peak of 43 per cent in May 2025.
