WE applaud measures taken last week by the central bank as it takes steps to curb inflation and bring currency stability in the economy.
While a number of measures were articulated, of particular interest and a favourite among social chatter is the issue of gold coins.
The tone, from a sizable contingent of analysts, has largely been positive.
However, crops of some unwarranted cynicism are quite evident, most being a manifestation of the seeds of self-loathe that have been sown by Western hegemony and perpetrated through its various funded groups for the last two decades.
It is sad that we have reduced our society to such immiscible political tribes, and any action is disregarded or accepted by virtue of the perceived tribe of the presenter.
Before we delve into the speculative, it is important to look at some of the undisputed facts at hand.
Gold has been a trusted store of wealth for centuries and is a critical part of the global financial fabric both as a commodity and as an investment.
The ongoing Russo-Ukrainian conflict has reinvigorated the notion of its impartiality in sovereign nations’ affairs.
This has been evidenced by the US and its geo-political manoeuvering, along with its European allies, leading to sanctions that inhibited the ability of Russia to transact in its US dollar reserves.
It has become more apparent to other nations that relying on fiat currency reserves of another nation exposes them to manipulation and inhibition of sovereign self-determination.
The fiat currency system, no longer the gold standard from which it emerged, is accepted as an inherently flawed and volatile system.
The cumulative effects of the US Federal Reserve increasing money supply during the height of the COVID-19 pandemic and the impact of the Russo-Ukrainian conflict has resulted in a record erosion of real value of the greenback, which is the de facto global reserve currency.
This is another stark warning to the over reliance on the US dollar as a store of wealth.
One does not discredit the global dominance and functionality of the US dollar but rather attempts to bring to light that worthwhile alternatives do exist and are indeed worth considering.
Instead of prematurely dismissing the move by the Government, it is worth giving this a closer look.
We believe gold coins provide a tried and tested alternative store of value for Zimbabweans that is safe from financial manipulation.
The gold coins, along with certificates, can be securely stored in any bank of one’s choice, thereby giving a sense of security non-existent when you have to keep hard currency under a mattress.
No wonder there has been an increase in brazen robbery incidences.
Mosi-oa-Tunya, as they are coined (pun intended) is a very liquid instrument capable of being converted into any international currency upon request at prevailing gold prices.
Whether this will ultimately resolve all of the issues plaguing our economy remains to be seen, bearing in mind that a large part of that is due to a war being waged by economic saboteurs and detractors.
The Third Republic, however, continues to valiantly fight for inclusivity and giving everyone an opportunity to participate in the great wealth that this blessed nation possesses.
And one such way is to allow its people to purchase a part of the mineral bounty, of which the gold coins will provide one such avenue.