HARARE (Reuters) – Zimbabwe will fine businesses using inflated exchange rates as the government struggles to maintain the value of its newly introduced gold-backed currency, Zimbabwe Gold (ZiG).
Any business using an exchange rate higher than the official rate of 13.5 zig to the US dollar will be liable for a fine of 200,000 zig ($14,815), according to a government notice seen by Reuters.
Anyone offering “goods or services at an exchange rate higher than the prevailing interbank foreign exchange sales rate” would be guilty of a civil offence, the notice issued late Thursday said.
The government has been struggling to keep ZiG afloat since its launch in early April, and last month authorities launched a campaign against illegal foreign exchange traders.
Some businesses, such as supermarkets, charge above-market premiums to customers paying in the new currency, while informal traders reject ZiG.
On Tuesday, the Zimbabwe Treasury took steps to ensure that ZiG is used as the official unit of exchange for transactions.
This is Zimbabwe’s fourth attempt to introduce a local currency in a decade, with the southern African country ditching the Zimdollar last month after it lost 70% of its value since the start of the year.