Zimbabwe to Release More Bond Notes Worth $7 Million

  • Gibbs Dube

Zimbabwe released the first batch last week.

The Reserve Bank of Zimbabwe is planning to release $7 million worth of $2 dollar bond notes sometime this week.

According to the internet-based independent business news platform, The Source, the RBZ said, “In line with the strategy to release the Bond Notes on a measured or drip feed basis, the Bank would like to advise the public that it is releasing the second batch of $2 Bond Notes amounting to $7 million this week.”

“This brings the total amount of Bond Notes disbursed to $17 million against a value of $70 million payable to exporters of goods and services under the Export Incentive Scheme.”

The Source added that the central bank noted in a statement released today that it would release $5 bond notes denominations into the market in ‘due course.’

The notes, which the RBZ says are designed to boost exports, trade at par with the US dollar.

The bank released the first batch of bond notes worth $12 million last week. They have since been snatched from banks by clients struggling to get cash on a daily basis in Zimbabwe, hard-hit by liquidity constraints.

The central bank said it will release a total of $75 million worth of bond notes by the end of this year, out of a total of $200 million under an African Export and Import Bank facility.

Sceptics say the bond notes are not a permanent solution to Zimbabwe’s economic crisis.