Tendai Biti Savages Mangudya For De-Dollarizing Through The Back Door, Warns Of Severe Pain Ahead

Former Minister of Finance and opposition politician Tendai Biti has slammed Reserve Bank of Zimbabwe (RBZ) governor John Mangudya for de-dollarizing the economy and virtually smuggling back the Zimbabwe Dollar. This comes after Mangudya introduced the “RTGS Dollar” currency today while presenting the Monetary Policy Statement. According to Biti, who has been described as the best Finance Minister as the Worst Finance Minister by different quarters, the new “RTGS Dollars” will result in pain and suffering. Writing on social media, Biti said

Modern functional States are founded on trust and transparency. That clearly is not part of the DNA of ZANU. The regime today disingenuously and mendaciously de – dollarized the economy by informally re-introducing the Zim dollar now called the RTGS dollar through the back door.

It is a disaster to embark on currency reform in the absence of key fundamentals to back that currency. These include market confidence, reserves, a decent Capital account, and a stable macroeconomic environment. This is elementary

Regrettably, the economy now enters another period of self-induced shocks that will see salaries and values being devalued, hyperinflation, shortages and queues. What a dog’s breakfast!!!

Last week, Biti warned that the government was going to introduce a new currency, claims that the government strenuously denied.

-Iharare  News

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