Zimbabwe moves to cushion its economy with gold-backed tokens

mangudya

Zimbabwe Reserve Bank governor John Mangudya displays the country's new "Mosi-oa-Tunya" gold coin in Harare on July 25, 2022. PHOTO | AFP

Zimbabwe has introduced a new gold-backed digital currency as it battles to stop re-dollarisation, which President Emmerson Mnangagwa’s government fears will spell doom for the country’s fragile economy.

The country’s central bank said the digital tokens, also known as Zimbabwe Gold (ZiG), that are dominated in milligrams, can be used by both individuals and corporates to transact.