ZiG: The world’s newest currency from Zimbawe

Harare: Zimbabwe rolled out ZiG, a new currency on Tuesday to swap out the old one that’s been taking a beating from depreciation and just plain rejection by folks. The ZiG first hit the scene electronically back in early April, but now you can get your hands on some paper bills and coins.

This move is basically Zimbabwe’s latest shot at tackling their never-ending currency mess, showing how their economic struggles just won’t quit. Before this, the government had thrown around a bunch of ideas to replace the Zimbabwe dollar, like tossing in gold coins to fight off inflation or testing out digital money.

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The ZiG is Zimbabwe’s sixth currency since the big collapse of the Zimbabwe dollar in 2009, when hyperinflation hit a staggering 5 billion percent. It was one of the worst currency disasters ever seen worldwide. After that mess, there was a whole rollercoaster ride: first, the U.S. dollar became the official money, then it got banned, and then unbanned again.

Even though the ZiG – short for Zimbabwe Gold and backed by the country’s gold reserves — kicked off electronically on April 5, it’s still facing some serious trust issues, with certain government offices flat out refusing to accept it.

Some businesses, like gas stations, can say no to taking the ZiG and prefer U.S. dollars instead. Certain government offices, such as the one handling passports, only take U.S. dollars. Meanwhile, some businesses are being told they must use only the ZiG, and if they don’t, they could get in trouble.