Africa-Press – Zimbabwe. The Reserve Bank of Zimbabwe (RBZ) will release the Mosi-oa-Tunya gold coins onto the market today and will be sold in local currency, US$ and other foreign currencies.
The central bank has announced plans to sell gold coins to tame runaway inflation that has weakened the local currency considerably.
Their price is based on the prevailing international price of gold plus five per cent to cover the cost of production and distribution of the coin on a payment versus delivery basis.
The apex bank’s chief, John Mangudya, said the gold coins will likely reduce demand for the US dollar as a store of value and stop the depreciation of the local currency.
Speaking in an interview with State media, Mangudya said the gold coins, which are known as Mosi-oa-Tunya, can only be redeemed for cash after 180 days.
Meanwhile, exporters earning less than US$1 million will be allowed to use the surrender portion of their receipts to purchase the coins in foreign currency.
In a recent statement, RBZ said once payment has been received by the selling agent, the buyer of the gold coin shall take physical possession of the gold coin or opt to keep the gold coin through bankers of own choice (custodial services) on terms and conditions of the custodial service provider.
For More News And Analysis About Zimbabwe Follow Africa-Press
