HARARE, ZIMBABWE — Zimbabwe has resumed the minting of gold coins to help stabilize its economy, amid soaring global bullion prices that have reached record highs
The Reserve Bank of Zimbabwe (RBZ) announced this week that it has authorized a fresh production of Mosi-oa-Tunya gold coins — first introduced in 2022 — as part of efforts to offer the public and institutional investors a stable store of value.
This move comes as international gold prices have surged past $2,400 per ounce, driven by heightened geopolitical tensions, inflationary fears, and strong investor demand for safe-haven assets.
A response to currency instability
Governor John Mangudya emphasized that the reintroduction of the gold coins aims to provide Zimbabweans with an alternative investment vehicle amidst persistent volatility in the local currency, the Zimbabwean dollar.
“With global gold prices reaching unprecedented levels, and in view of domestic inflationary pressures, the re-minting of the gold coins offers a credible hedge for the public,” Mangudya said during a press briefing.
Zimbabwe’s economy has long struggled with currency devaluation, hyperinflation, and a lack of public confidence in its financial system.
Gold, traditionally seen as a reliable store of value, provides an option for citizens seeking to preserve their wealth against the erosion of purchasing power.
How the gold coins work
Each Mosi-oa-Tunya coin contains one troy ounce of 22-carat gold and is fully backed by the RBZ.
The coins can be purchased in local currency, U.S. dollars, or other approved foreign currencies.
Buyers are required to hold the coins for a minimum vesting period of 180 days before they can sell them back to the central bank or authorized dealers.
In addition to individuals, institutional investors such as pension funds and insurance companies are eligible to invest in the coins.
Smaller denominations, introduced in later phases, have made gold ownership more accessible to ordinary Zimbabweans.
Strong demand expected
Analysts predict strong demand for the new batch of coins, not only because of rising gold prices but also due to growing skepticism toward Zimbabwe’s monetary policies.
The last issuance of gold coins in 2022 witnessed rapid uptake, prompting the RBZ to issue several tranches to meet demand.
“With the Zimbabwean dollar under continuous pressure and inflation ticking upward, the public is likely to flock to gold coins once again,” said economist Prosper Chitambara. “This gives people a tangible, trusted asset at a time when confidence in paper money is low.”
A broader African trend
Zimbabwe is not alone in turning to gold as a financial stabilizer.
Several African nations are boosting their gold reserves and encouraging citizen participation in gold investments, amid concerns over the strength of global currencies and economic uncertainty.
However, some critics argue that while the gold coins offer temporary relief for wealth preservation, they do little to address deeper structural issues in Zimbabwe’s economy, including low industrial productivity, debt distress, and governance challenges.
Looking ahead
As global bullion prices continue to climb, the RBZ has hinted at the possibility of introducing more innovative gold-backed financial products to broaden citizen participation and support financial stability.
For now, the relaunch of the Mosi-oa-Tunya coins reflects a strategic effort by Zimbabwe to tap into global market dynamics and restore a measure of economic confidence — at least for those who can afford to invest.
