Why Zanu PF’s local currency, anti-corruption resolutions matter

Innocent Mujeri, Herald Correspondent

Zimbabwe stands at a critical juncture in its economic history and the resolutions from the recent ZANU PF 21st Annual National People’s Conference reflect a proactive approach towards stabilising and strengthening the nation’s financial foundation.

At a time when the global and local economic climates are complex, with challenges ranging from inflationary pressures to currency instability, Government and ZANU PF’s bold steps towards establishing the Zimbabwe Gold (ZiG) as the country’s primary legal tender signal a commitment to economic sovereignty, resilience, and sustainability.

Zanu PF resolutions called for urgent, focused measures to enhance the stability and value of the ZiG, curb financial misconduct and fortify fiscal discipline.

By aiming to de-dollarise the economy, tackle corruption and harmonise monetary policies, Government has outlined a clear roadmap.

While some may see these moves as ambitious, they are grounded in Zimbabwe’s desire for self-reliance, fiscal independence and growth driven by local productivity.

A core resolution from the ZANU PF conference was to strengthen the purchasing power of the ZiG. Strengthening the ZiG is crucial because a stable currency acts as a cornerstone of economic confidence and purchasing power.

Zimbabwe’s past challenges with currency devaluation and inflation are well-known and a robust ZiG can help shield the country from the vulnerabilities of relying on foreign currencies.

By committing to fortify the ZiG’s purchasing power, ZANU PF is addressing a fundamental issue: the need for Zimbabweans to have trust in their currency.

A strong ZiG means that Zimbabwean citizens and businesses can conduct their daily transactions without fearing fluctuations that impact their financial stability.

Enhanced purchasing power ensures that Zimbabweans maintain control over their earnings and savings, directly impacting household financial security and encouraging a saving culture.

Moreover, the initiative to promote the wider circulation of the ZiG currency in all denominations is also essential.

A currency gains legitimacy and trust when it is accessible in a practical manner – whether for large business transactions or small, everyday purchases.

Ensuring the ZiG is readily available in all denominations will facilitate smoother transactions and broaden its acceptance.

It enables Zimbabweans to use their currency conveniently, helping entrench it as the nation’s sole legal tender. This move not only boosts economic sovereignty, but also reduces the demand for foreign currency, particularly the US dollar, in domestic transactions.

The resolution to expedite de-dollarisation speaks to Zimbabwe’s long-term economic goals.

For years, Zimbabwe has contended with a dollarised economy, where the US dollar, alongside other foreign currencies, dominates transactions.

While this arrangement has brought short-term stability, it has also limited the country’s monetary policy flexibility and weakened national control over its economy.

Transitioning away from the US dollar is essential for building a self-sufficient economy that can withstand external pressures.

By relying less on foreign currency, Zimbabwe can insulate itself from global market shifts that have little to do with domestic economic conditions.

De-dollarisation allows Zimbabwe’s Central Bank to exercise greater control over monetary policy, interest rates and inflation.

In the long run, it also supports the vision of creating an economy based on national strength rather than foreign dependency.

The move towards making the ZiG the sole currency is about building a resilient economy that is underpinned by a currency Zimbabweans can trust and value.

Financial stability requires more than a strong currency; it demands a fair and lawful economic environment where rules are respected.

ZANU PF’s resolution to curb money laundering, speculation, and arbitrage in the parallel market is a critical step in combating behaviours that undermine the national economy.

These activities distort market values, reduce confidence in the economy, and create unnecessary inflationary pressures.

For Zimbabweans, the cost of living becomes unpredictable, and the value of their earnings and savings is at the mercy of market manipulators and speculators.

By criminalising the actions of economic saboteurs and imposing stringent penalties, Government sends a clear message that such practices will not be tolerated. This zero-tolerance approach will help establish a more stable market environment, where both domestic and international investors can have confidence in fair business practices.

Enforcing these rules is also vital for protecting the average citizen, who often bears the brunt of economic instability caused by speculative activities.

For example, retailers and manufacturers who engage in arbitrage or speculative pricing hurt consumers by inflating prices beyond their true market value. By cracking down on these practices, Government is defending the purchasing power of Zimbabwean households, ensuring fair prices that reflect the true costs of goods and services.

Economic stability is a shared responsibility that requires coordination across all levels of financial governance.

The resolution to synchronise and harmonise fiscal and monetary policies reflects Government’s understanding that effective economic management cannot occur in silos.

When monetary and fiscal policies are aligned, they can work together to support balanced growth, reduce inflation, and encourage sustainable investment.

For Zimbabwe, harmonised policies mean spending, revenue collection, and interest rates are all calibrated to reinforce each other.

This coordination is essential for maintaining a stable economy and controlling inflation, which affects everything from the price of bread to the cost of building infrastructure.

By prioritising this synchronisation, Zimbabwe can foster a predictable economic environment that benefits both businesses and individuals.

The call for a zero-tolerance approach to corruption is a powerful move that underscores Government’s commitment to accountability and transparency.

Corruption has long been a hindrance to economic progress, diverting resources away from essential public services and projects. When funds intended for infrastructure, health, or education are misappropriated, the entire nation suffers.

A zero-tolerance legal framework against corruption is a clear commitment to restoring integrity in public offices and private transactions alike. By tackling corruption at all levels, Zimbabwe can create a fairer economy where merit, hard work, and honest practices are rewarded.

This approach also signals to foreign investors that Zimbabwe is serious about fostering a business-friendly environment where resources are directed towards genuine economic development rather than being syphoned off by corrupt individuals.

The ZANU PF resolutions from the 21st Annual National People’s Conference reflect a vision of a stable, resilient, and self-reliant Zimbabwe.

Enhancing the purchasing power and accessibility of the ZiG, Government is building a currency that Zimbabweans can rely on and be proud of.

De-dollarising the economy and making the ZiG the sole currency reinforces this vision, promoting economic independence that can withstand global shocks. These resolutions provide a clear framework for fostering economic growth, stability, and integrity.

As Zimbabwe moves forward with these initiatives, the country stands to benefit not only economically but also in terms of national pride and sovereignty.

The road to economic independence is never easy, but with bold steps like these, Zimbabwe is well on its way to building a stronger, more resilient economy for generations to come.