Southern Africa
Zimbabwe says bond notes a success , to increase circulation
Zimbabwe ' s central bank said it would increase the circulation of its new " bond notes ", hailing the new currency ' s launch a success as it maintained its 1:1 peg to the U . S . dollar . The Reserve Bank of Zimbabwe ( RBZ ) introduced the bond notes at the end of November to ease chronic cash shortages , raising fears of uncontrolled money-printing that would cause hyperinflation . John Mangudya , the RBZ Governor said the bank plans to introduce $ 75 million worth of bond notes by end of the year . Banks have continued to impose stringent limits on cash withdrawals even after the introduction of bond notes . Some opposition activists had tried but failed to stop the launch of the bond notes , while everyday consumers have raised concerns about the quality of the $ 2 notes and $ 1 coins - criticisms the central bank governor shrugged off .
" The rubbing off of ink and the variation of the security thread on the notes are quite normal ," said Mangudya , adding that the bank would soon introduce $ 5 notes . Zimbabwe is grappling with a devastating drought that has left more than 4 million people facing hunger , while the worst financial crisis in seven years has fuelled some of the biggest anti-government protests in a decade . The country dumped its inflation-ravaged currency — the Zimbabwe dollar — in 2009 after printing a $ 100 trillion note that could not buy a loaf of bread and adopted the use of multiple currencies , chiefly the US dollar and major trading partner South Africa ’ s rand . President Robert Mugabe ’ s government says the new currency , which he has described as a surrogate of the US dollar , is designed to curb the smuggling of physical greenback from the informally dollarised economy and boost flagging exports — both major factors cited for a biting shortage of US dollar bills that has seen long lines at the banks since the turn of the year . The surrogate currency , dubbed ‘ bond notes ’ as they are backed by a $ 200 million Afreximbank bond facility , has been pegged at par with the greenback and will circulate alongside the US dollar , rand and other currencies in Zimbabwe ’ s official multi-currency basket . The introduction of the bond notes has stoked fears of a return of hyperinflation , which peaked at 500 billion percent in December 2008 according to the IMF , as well as pervasive shortages of basic goods and foodstuffs . Rtr / BT
Botswana ' s Debswana says expanded mine to produce first diamonds in 2017
Botswana ' s Debswana , the world ' s biggest diamond producer by sales value , is on track to produce its first diamonds from the expanded Jwaneng mine by next year , a company official said on Tuesday .
Known as Cut 8 , the $ 3 billion expansion project aims to prolong the Jwaneng mine ' s life by a further seven years and produce 100 million carats ." The Jwaneng pit expansion is on track and will start delivering first ore to plant in 2017 ," Debswana Corporate Affairs Manager Matshidiso Kamona said .
The project involves the widening of the existing pit as an alternative to going deep underground . - Rtr
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