Responding to the former employee’s letter dated October 15, 2024, Machona outlined the timeline of currency conversions.

She explained that in February 2019, Zimbabwe transitioned from the US dollar to RTGS at a rate of 1:1, meaning the US$5,156.95 became RTGS5,156.95.

Then, on April 5, 2024, the RTGS amount was converted to ZiG at a rate of 1:2498.7242, resulting in the final amount of ZiG2.06. The letter reads in part:

You were owed US$5 156.95 when your contract with Council was terminated in August 2015.

Please be advised that in February 2019 there was a transition from USD to RTGS at a rate of 1:1 which meant that US$5156.95 became RTGS 5156.95.

The RTGS 5156.95 was then converted to ZIG on 5 April 2024 at a rate of 1:2498.7242 and it became 2.06 ZIG.

Council now owes you ZIG 2.06.

Millions of Zimbabweans have seen their hard-earned savings wiped out over the years due to frequent and dramatic currency changes.

This erosion of value has led to a deepening mistrust in local currencies, pushing many Zimbabweans to prefer using foreign currencies like the US dollar for everyday transactions.

The recent introduction of the ZiG currency in 2024 was hoped to restore confidence, but it is still struggling to gain traction with the public.

Despite being pegged to gold reserves, the ZiG has yet to inspire the same level of trust as foreign currencies, leaving many sceptical about its stability and long-term viability.

As a result, Zimbabweans continue to rely heavily on the US dollar, reflecting a broader lack of faith in the country’s monetary system.

More: Pindula News