Zimbabwe has a complex currency history, marked by a period of hyperinflation and the adoption of multiple currencies.
In the early 2000s, Zimbabwe experienced a severe economic crisis, characterized by hyperinflation, food shortages, and collapsing infrastructure. The country's currency, the Zimbabwean dollar, rapidly lost value, and by 2008, the annual inflation rate had reached an estimated 79.6 billion percent.
As a result, the government began issuing "agro-cheques," which were meant to be used as a form of currency but were not backed by any assets. In 2009, the government officially abandoned the Zimbabwean dollar and adopted a basket of foreign currencies, including the US dollar, the South African rand, and the euro, as legal tender.
In 2015, the government re-introduced a local currency, the bond note, which was pegged to the US dollar at a rate of 1:1. However, the bond note was not well-received by the public, and there were widespread shortages of US dollars, leading to a black market for foreign currency.
In 2019, the government introduced a new currency, the RTGS dollar, which was not pegged to any specific foreign currency. The RTGS dollar has experienced significant depreciation, and as of 2021, the official exchange rate was much lower than the black market rate.
In summary, Zimbabwe has had a tumultuous currency history, marked by hyperinflation and the adoption of multiple currencies. The current currency, the RTGS dollar, is not backed by any specific foreign currency and has experienced significant depreciation.
