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Zimbabwe to mint gold coins, Central Reserve

by Filippo Rossi
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The African country of Zimbabwe is going to emit gold coins to tackle the skyrocketing inflation and the devaluation of the Zimbabwean dollar, the Reserve Bank of Zimbabwe’s Governor announced.

It could be a game changer. As it is always more expected by many around the globe, a gold backed economy could finally take place in not so long. On Monday 27th of June, John Mangudya, the Reserve Bank of Zimbabwe’s Governor announced that the government will emit gold coins in order to curb the inflation.

This is an historic move. Zimbabwe is famous for its inflation and currency’s devaluation. The year inflation in June 2022 has been calculated at 191%, expressing enormous concerns from the Monetary policy committee of the Central Reserve.

Zimbabwe company Fidelity Gold Refiners will mint the gold coin on Government’s behalf. In the meantime, the Central Reserve has allowed, for a period of 5 years to go back to multi-currency system, where the USD will also be introduced as a matter of exchange.

But a US Dollar that is losing value day by day is no secure solution. This is why the gold coins could be a real game changer since the gold has increased value in the past decades and the its value is independent from Government’s decision.

Some Zimbabweans said that if the coins will really be made out of gold, this will help to free the economy from Dollar and certainly improve the country’s economic conditions and give the ZW$ a stronger value.

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