For some, it needs to be broken into simpler terms or what they call layman’s terms in order to understand what it means in general, what it means for the people and the consequences or lack or them thereof.

‌The news that the Zim government had banned all forms of foreign currency was met with shock, outrage , despair and confusion for some.

For some, it needs to be broken into simpler terms or what they call layman’s terms in order to understand what it means in general, what it means for the people and the consequences or lack or them thereof.

In layman terms, this is what it means

✳️The end of the multicurrency regime

✳️The ZW$ is officially back

✳️All local transactions should be in ZW$

✳️Trading in currency other than ZW$ is illegal

✳️All pricing should be in ZW$In layman terms, this is what it means.

✳️All taxes are now being paid in ZW$ except for VAT and Customs Duty of “luxury items”

✳️The future of the interbank is now uncertain

✳️The RBZ can now print paper notes and coins

Possible Implications

✳️Sanity and uniformity in pricing – all prices now in ZW$ only

✳️@ReserveBankZIM can now use monetary policy effectively to manage economy #zimdollar #zimdollarisback #Zimbabwe

Possible Implications cont

✳️Possible increase in money supply

✳️If not managed well, will fuel inflation

✳️Parallel market rates are likely to shoot in the short term #zimdollar #zimdollarisback #Zimbabwe