(Bloomberg)
—
Zimbabwe’s
gold-backed
ZiG
currency
has
weakened
to
its
lowest
level
against
the
US
dollar
since
it
was
launched
a
month
ago.
The
currency
is
trading
at
13.67
to
the
dollar,
according
to
data
posted
Monday
on
the
Reserve
Bank
of
Zimbabwe’s
website,
a
decline
of
0.8%
from
its
first
day
of
trading
at
13.56
per
dollar
on
April
8.
The
ZiG,
short
for
Zimbabwe
Gold,
is
the
southern
African
nation’s
sixth
attempt
to
deliver
a
functioning
local
currency
since
2008.
It
is
backed
by
2.5
tons
of
gold
and
$100
million
in
foreign
currency
reserves
held
by
the
central
bank.
Authorities
want
to
seek
full
convertibility
of
the
unit
at
some
stage
to
further
boost
its
appeal,
Finance
Minister
Mthuli
Ncube
said
in
a
May
2
interview.
Read
More:
ZiG
Hits
Streets
as
Zimbabwe
Starts
Circulating
Gold-Back
Notes
The
first
steps
of
achieving
convertibility
may
include
engaging
with
Zimbabwe’s
largest
trading
partners
to
accept
payment
in
the
new
currency,
said
central
bank
deputy
governor
Innocent
Matshe.
South
Africa
is
Zimbabwe’s
largest
trading
partner
and
accounted
for
almost
35%
of
exports
in
March,
according
to
data
from
the
national
statistics
agency.
Mozambique
and
Zambia,
which
also
border
Zimbabwe,
are
other
key
trading
partners.