This
statement
follows
comments
from
prominent
lawyer
Advocate
Thabani
Mpofu,
who
said
on
Monday
that
the
ZiG
lost
its
legal
tender
status
on
October
4,
when
the
law
that
established
it
expired.
He
said:
As
of
October
4,
2024,
the
statutory
instrument
that
introduced
the
ZIG
currency
expired
without
extension.
Consequently,
from
October
5,
2024,
the
ZIG
ceased
to
be
a
valid
currency
in
Zimbabwe,
leaving
the
US
dollar
as
the
sole
currency.
In
a
belated
but
incompetent
attempt,
authorities
tried
to
revive
the
ZIG
through
the
Finance
Act
on
Sunday,
October
27,
2024
(This
had
been
hinted
on
in
the
Friday
Gazette
but
the
Act
had
not
been
published).
However,
this
effort
was
futile
since
the
ZIG
had
already
lost
its
validity.Moreover,
Section
21
of
the
Finance
Act’s
attempt
to
retroactively
validate
the
ZIG
is
unlawful,
as
it
contradicts
Section
6
of
the
Presidential
Powers
(Temporary
Measures)
Act.The
explicit
reference
to
the
expired
statutory
instrument
in
Section
21
only
reinforces
this
illegality
in
that
it
establishes
the
connection
between
the
S.I.
and
the
Act
(A
clever
person
would
have
avoided
that
connection).
However,
in
a
statement
issued
on
Monday
evening,
the
RBZ
said
the
ZiG
was
established
through
Presidential
Powers
(Temporary
Measures)
under
S.I.
60
of
2024,
representing
a
one-time
act
of
currency
reform.
The
Central
Bank
insisted
that
currency
reform
measures
do
not
expire
simply
because
the
legal
instrument
that
initiated
them
has
lapsed.
Reads
the
statement:
The
Reserve
Bank
of
Zimbabwe
wishes
to
advise
the
public
and
all
stakeholders
that
there
is
no
gap
at
law
regarding
the
Zimbabwe
Gold
currency.The
Zimbabwe
Gold
currency,
(ZiG)
was
established
through
Presidential
Powers
(Temporary
Measures)
proclaimed
under
S.I
60
of
2024,
which
constitutes
a
one-time
act
of
currency
reform.Currency
reform
measures
by
their
nature
do
not
lapse
simply
because
the
instrument
that
introduced
the
reforms
has
lapsed.The
lapsing
of
the
Presidential
Temporary
Powers
that
established
the
currency
does
not,
therefore,
create
a
gap
in
the
law.
Legally,
currency
reform
measures
are
only
revoked
by
another
legal
instrument.Meanwhile,
it
should
be
noted
that
The
Finance
Act
which
has
since
been
gazetted
into
law,
simply
declares
the
provisions
of
S.I
60
of
2024
and
is
not
meant
to
validate
them.Thus,
ZiG
remains
the
country’s
legal
tender,
and
the
Reserve
Bank
will
continue
to
consolidate
its
use
and
stability.
Meanwhile,
Corban
Madzivanyika,
the
Member
of
Parliament
for
Mbizo
and
a
member
of
the
CCC,
has
called
on
the
RBZ
to
clarify
the
basis
for
its
assertion
that
currency
reform
measures
can
only
be
revoked
by
another
legal
instrument. He
said:
Kindly
specify
the
law
that
allows
currency
reform
measures
to
remain
in
force
even
after
the
expiry
of
the
Presidential
powers
(Temporary
measure)
SI
60
of
2024.
Which
law
says
currency
reform
measures
can
only
be
revoked
by
another
legal
instrument?
Explain
well
to
us.
Post
published
in:
Business