All that glitters->Zimbabwe

As a proud owner of a $25,000,000,000 Zim banknote, I got a kick out of this story:

Zimbabwe says it will introduce gold coins later this month as it tries to curb soaring inflation amid a slump in its currency.

The country’s central bank also outlined plans to make the US dollar legal tender for the next five years.

The central bank’s main interest rate was more than doubled this month to 200%, after the annual rate of inflation rose above 190%.

Zimbabwe’s dollar has slumped in value against major currencies this year.

The gold coins, which will contain one troy ounce of 22-carat gold, will be available from 25 July, John P Mangudya, the governor of the Reserve Bank of Zimbabwe, said in a statement.

So, with the announcement of the “Smoke That Thunders” coins, gold dropped in price (though not necessarily cause and effect :slight_smile:


1 Like