By 
Zimbabwe’s foreign reserves have seen a substantial increase, more than doubling in the second quarter of 2025, reaching 3.5 tonnes of gold and US$830 million in foreign currency as of June 2025.
This growth, according to the Reserve Bank of Zimbabwe’s (RBZ) Q2 Monetary and Financial Highlights, is expected to bolster the stability and value of the country’s local currency, the Zimbabwe Gold (ZiG).
The RBZ attributes this rise to its robust monetary and fiscal policy stances, aimed at consumer value preservation and the overall stability of the ZiG.
A key factor in this reserve growth is the substantial backing of the ZiG by foreign currency and gold.
The RBZ emphasizes that foreign currency in circulation within the local market is fully supported by corresponding foreign currency reserves.
The central bank also highlighted that general currency stability across Africa is increasingly adopting a model of mixed reserves, comprising both cash and physical gold.
Zimbabwe’s approach aligns with this trend, providing a more resilient foundation for its currency.
The RBZ outlined the importance of strong foreign currency reserves for national financial viability, ensuring the country can readily finance essential imports and maintain a healthy balance of payments.
Comments