The introduction of ZiG currency debate has revealed serious chinks in the Zimbabwe governance system.
I have reluctantly concluded that the malefactors at the Reserve Bank of Zimbabwe (RBZ) and other institutions have an agenda to destroy the system. They are too bright not to know that a two-currency system is self-destructive.
The outbursts of Brother Chris Mutsvangwa conform to a pattern in Zanu PF where there is no intention of engaging opponents in debate.
Zanu PF defenders simply act out, cut up and curse those who have different opinions. Americans have an idiom for it.
With friends like Chris, your opponents sit opposite your bench, your enemies (like Chris) sit behind you, in support.
A report in 2013 said that the then RBZ governor Gideon Gono left nothing in the vaults. Below you will find the explanation given of such an action almost treasonable.
The story is dated April 16 2024.
“Our Reserve governor engaged outsiders in the Arab world…they said we can give you US dollars, but on condition that you support it with your gold. The story gets murky. The gold reserves are gone, and the US dollars didn’t come.”
- Awards target married couples
- Corruption Watch: Get scared, 2023 is coming
- Awards target married couples
- Corruption Watch: Get scared, 2023 is coming
Keep Reading
There is more.
The next paragraph is attributed to Mukuru. “A few months ago, I went outside (the country). I will not say where, but I went outside where I inspected the gold there and I am satisfied that my officer carried out my instructions correctly.”
The two scenarios are incredible. Is it possible that a governor of the reserve bank has the authority to dispose of national treasure as he sees fit. That man is still walking the streets of Harare a free man.
Yet Chris finds time to quarrel with the learned professor Gift Mugano who has explained why the ZiG currency is doomed to die the death of the Zee dollar, the bond note, the agro-bond note, the RTGS, the ZWL and the ZWD.
Chris does not bother to answer brother Gift’s propositions. Gift says that within two weeks of the introduction of ZiG “the black market has continued to run away — we hear that it is trading at Zig20 to US$1.”
Secondly, “dwindling foreign currency supply caused the double tragedy of declining export receipts (caused by falling commodity prices) and the draining of foreign currency as a result of food imports caused by drought.”
An action, which reveals that our brothers in Zanu PF listen to their own drum — they have been consulting Mbuya Nehanda on various economic issues recently.
One advice resulted in the freezing of nostro accounts by Finance Minister. The matter is more serious than I thought.
The financial directive advises that “all outstanding payments for freeing currency [purchased by Treasury under 25% surrender requirement will be converted into a two-year ZiG Treasury Bills at 7.5% interest.”
This implies that a quarter of a merchant’s money is tied up in Treasury Bills (TB’s) and he has no say in the matter.
Since there is a possibility of the ZiG depreciating, the 7.5% interest may not restore value to the merchant’s investment.
Mbuya Nehanda of course never heard of former British prime minister Margaret Thatcher (1979-1990).
Britain had a GBP150 allowance for travelers.
When Prince Phillip could not take more than that amount for a polo trip to Argentina, she thought that was the most stupid law in the world.
How, on earth, can London be the financial centre of the world if investors were told how much of their money they could take out, and when?
The dunderheads at the RBZ have not mastered the fact that depositors will keep their money under their pillows if they suspect that the banks will control their withdrawals.
The issue here is confidence in the system. Stupid!
The new governor says that he will drive the black market off the streets. He too, needs a lesson in freshman economics 101.
Thank God, John Mushayavanhu does not pretend to have a fake doctorate and he is willing to learn.
If there are two currencies, natural law says that if there is a demand for the US dollar, those privileged to its access will demand a premium from those whose needs are urgent.
These “doorkeepers” demand arbitrage fees.
The mother and father (and their uncles and nieces and nephews) of these arbitragers are located and embedded at the Reserve Bank of Zimbabwe. Why is that a mystery?
The bigger question, which is the raison deter for writing this letter is whether our failure is a result of faulty design or whether it is deliberate?
There are two reports from South Africa. The first is called the Zondo Commission Report which investigated “state capture.
” The second is called the South African Revenue Service Report.
The two reports taken together argue that when former president Jacob Zuma came into office (2008-2018) he appointed certain high officers, who actively sought to destroy the system.
One illustration is that the Electricity Commission, though ancient, if serviced and supplied with coal, was sufficient.
Sometime in 2004, all 22 jurisdictions failed to keep a 22-week coal supply reserve as required by regulation.
Former president Thabo Mbeki believes that these miscalculations were deliberate.
At Transnet (Railways) and at South African Airways, Zuma appointed his girlfriend Dudu Miyeni, an elementary school teacher to run a 135-plane outfit.
Miyeni turned the outfit into a fashion show house. She is in a jailhouse as we speak.
There are similarities with Zimbabwe’s Zesa, Air Zimbabwe and now Reserve Bank.
Robert Mugabe used Air Zimbabwe as his private taxi. We were “deplaned” at Victoria Falls because the plane was wanted by the president in Harare.
The fact that we were scheduled to fly to Harare did not weigh with the authorities.
There is no shortage of information and parliamentary reports about who is doing what with our national wealth.
Parliamentary statements say that US$100 million is laundered clandestinely through Dubai every month.
The apparatchiks at the Reserve Bank and their white hooligans in Dubai, know exactly what they are doing. They want the system to fail.
*Ken Mufuka is a Zimbabwean patriot. He writes from the US.
