Zimbabwe Adopts Gold-Backed Currency to Combat Inflation
Zimbabwe's central bank has introduced a new gold-backed currency called Zim Gold (ZiG) in an effort to combat high inflation and stabilize the country's struggling economy. The new currency will be backed by foreign currencies, gold, and precious minerals, and will circulate alongside a basket of other currencies. Zimbabweans have 21 days to convert their old cash into the new currency, and the central bank aims to foster simplicity and predictability in the country's financial affairs. However, concerns have been raised about whether Zimbabwe has sufficient reserves to back the new currency and potential volatility in gold prices.