Zimbabwe’s central bank governor, John Mushayavanhu, has stated that the bank might use its foreign currency reserves to protect the Zimbabwe Gold (zig) from severe market disruptions. He also pledged to maintain a tight monetary policy to ensure stable inflation and exchange rates. The zig, a gold-backed currency, has experienced a decline in value against the U.S. dollar. To counter this, the central bank said it may intervene in the foreign exchange market to stabilize the currency and support its desired monetary policy stance. The bank’s foreign currency reserves, including gold, have increased since the zig’s introduction.

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