Zimbabwe Economy Hits Crisis Point

Economists say Zimbabwe’s multi-currency system, where some sales are in United States dollars and others in local currency, is posing significant supply chain management challenges for companies.
Zimbabwe Independent reports that this comes after Simbisa Brands wrote to its suppliers seeking a modification to payment terms.

The multi-currency system was implemented in 2009 and since then, the majority of transactions have been conducted in foreign currencies.

Recently, Zimbabwe has also introduced a new gold-backed currency called Zimbabwe Gold (ZiG), which co-circulates with other international currencies.

Economist Chenaimoyo, Mutambasere said suppliers now demanded payments in greenbacks due to the volatility of ZiG.