ZCTU say no to Bond Notes

Staff reporter

The Zimbabwe Congress of Trades Unions today told journalists at the Media Centre in Harare that they support any action against bond notes and they will soon be mobilising their own members to take action against the bond notes.

They said they have engaged RBZ Governor Dr John Mangudya on reversing government’s decision to introduce bond notes but Mangudya told them there is no going back on bond notes.

In a statement the ZCTU said “The US75 million worth of bond notes expected to be releaesed into the economy by end of December 2016 only amounts to 1.3% of banking sector .Hence given its size , it will not fill the fiscal gap and restore the RTGS and Nostro Balances misappropriated by government”

The ZCTU also said that the bond notes are fueling mistrust within the economy as they are giving a perception of the return of the Zimbabwe dollar  which lost value over night and resulted in many Zimbabweans losing their savings in 2008.

The labour body is also worried that the bond notes will create shortages in the economy considering that the country imports most of the goods it is consuming.

“In view of shortages of liquidity in the economy , firms will struggle to meet import requirements of the economy , creating shortages and upward pressures on economy” read the statement

The ZCTU urged the government to initiate dialogue with key stakeholders in the country to try and find a solution to the liquidity situation.

ZCTU is convinced that it is only through social dialogue and a social contract that the much needed fiscal discipline , re-prioritization and improved quality of expenditures as well as navigating policy conflicts can be achieved in the national interest.

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