Zimbabwe pushes bold de-dollarization plan

Zimbabwe is reigniting its ambitious plan to replace the US dollar with its own local currency, the ZiG, by 2030. This renewed push aligns with a political shift that extends President Emmerson Mnangagwa’s term, giving his administration more time to pursue this economic goal.

The government argues that a successful switch would grant the central bank greater control over monetary policy, help curb inflation, and make local manufacturing more competitive. However, this is the nation’s sixth attempt to de-dollarize since 2009, and public skepticism runs deep.

Despite being legally mandated, the ZiG is often shunned by locals and businesses, who prefer the more stable US dollar. While the IMF stresses that success depends entirely on building confidence through credible policies, analysts predict the US dollar will likely remain dominant for the foreseeable future, setting the stage for a challenging economic transformation.