Wednesday, December 23, 2015

Zimbabwe Will Recognize Chinese Yuan as an Official Currency

The US dollar gets nudged again.

China will cancel about $40 million worth of Zimbabwe's debt due to mature this year and Harare hopes to facilitate use of the yuan currency in its economy as bilateral trade increases, reports Reuters.

China has become the largest investor in Zimbabwe, which has been shunned by the West over its human rights record and is struggling to emerge from a deep 1999-2008 recession that forced the government to ditch its own currency in 2009.

Finance Minister Patrick Chinamasa  said Zimbabwe planned to increase local use of the yuan after the central bank last year added the Chinese currency to a basket of currencies used in Zimbabwe that includes the U.S. dollar, British sterling and the South African rand.




  1. Is the west shunning Zimbabwe over their human rights record in general ?

    Or is the west angry that Mugabe doesn't like Homos ?

  2. They were using some gold at one point.

  3. You can almost hear krugman laugh, "Who cares if such a insignificant country ditches the dollar?" But here we are, and it begins.

  4. Yea I am not so sure about the whole shunned thing. I would rather be shunned by the empire than love under it if I was another state.

    Mugabe did all the economic destruction on his own. shunned is a new one on me. Does the author believe the U.S. does not provide enough forienge aid or perhaps not enough weapons?