Editing Economy of Zimbabwe (section)

== Hyperinflation and currency changes ==
Between 2003–2006, the Reserve Bank of Zimbabwe began printing money at an extreme rate, causing inflation to spike by a factor of 1,000.<ref>{{Cite web |date=2019-11-08 |title=The Alchemists: Concocting Currency in Search of Prosperity |url=https://globalpressjournal.com/africa/zimbabwe/alchemists-concocting-currency-search-prosperity/ |access-date=2025-04-25 |website=Global Press Journal |language=en-US}}</ref> By the middle of 2008, Zimbabwe hit a breaking point. Inflation hit 89.7 sextillion percent<ref>Hanke, Steve, and Erik Bostrom. ''Zimbabwe Hyperinflates, Again: The 58th Episode of Hyperinflation in History''. No. 90. The Johns Hopkins Institute for Applied Economics, Global Health, and the Study of Business Enterprise, 2017. https://sites.krieger.jhu.edu/iae/files/2018/07/Zimbabwe-Hyperinflates-Again-Hanke-Bostrom-.pdf</ref> — a $100 trillion bill didn't even cover a bus fare.<ref>{{Cite web |date=2019-11-08 |title=The Alchemists: Concocting Currency in Search of Prosperity |url=https://globalpressjournal.com/africa/zimbabwe/alchemists-concocting-currency-search-prosperity/ |access-date=2025-04-25 |website=Global Press Journal |language=en-US}}</ref>

Shortly afterwards, the government introduced a multi-currency system, making U.S. dollars,  and other currencies legal tender. The Zimbabwe dollar, now nearly worthless, disappeared from circulation.

After a period of relative economic stability, the government reintroduced local currency again in 2019, and quickly faced challenges in maintaining its value. At the time of its reintroduction, one loaf of bread cost between 2 and 3 Zimbabwean dollars.<ref>{{Cite web |date=2024-06-21 |title=Zimbabweans Skeptical About Country’s Latest Currency |url=https://globalpressjournal.com/africa/zimbabwe/zimbabweans-skeptical-countrys-latest-currency/ |access-date=2025-04-25 |website=Global Press Journal |language=en-US}}</ref> By 2024, the price had risen to 24,000 Zimbabwean dollars, roughly equivalent to 1 United States dollar.<ref>https://globalpressjournal.com/global-reports/zimbabwes-currency-woes/ Global Press Journal.</ref> Although the U.S. dollar remains officially tolerated, many vendors are reluctant to accept payments in local currency due to its instability.<ref>{{Cite web |date=2025-02-19 |title=Zimbabwe Faces Liquidity Crisis as US Halts Foreign Aid |url=https://globalpressjournal.com/africa/zimbabwe/zimbabwe-faces-liquidity-crisis-us-halts-foreign-aid/ |access-date=2025-04-25 |website=Global Press Journal |language=en-US}}</ref>

In April 2024, the government launched a new currency, Zimbabwe Gold (ZiG), to replace the Zimbabwean dollar. Backed by the country's reserves of foreign currency and precious metals, primarily gold, the new currency aimed to curb inflation by preventing excessive money printing and to restore price stability.<ref>{{Cite web |date=2024-06-21 |title=Zimbabweans Skeptical About Country’s Latest Currency |url=https://globalpressjournal.com/africa/zimbabwe/zimbabweans-skeptical-countrys-latest-currency/ |access-date=2025-04-25 |website=Global Press Journal |language=en-US}}</ref>