CARMEL RICKARD: Zim’s currency changeover challenged in court
Zimbabwe’s law society is taking the government to court over the country’s currency changeover. Precedent suggests its action is unlikely to succeed
After several court judgments upholding Zimbabwe’s play-play money as replacement for the US dollar, which had been the legal tender in that country, the Law Society of Zimbabwe (LSZ) has decided to tackle the issue, challenging the constitutionality of the changeover.
The local currency system, introduced by the government in early 2019, was officially supposed to be on par with the US dollar. However, the real-time gross settlement (RTGS) dollar immediately lost value, leaving many people and businesses seriously out of pocket or even bankrupt.