Zimbabwean Dollar (ZWL)

Basic Concepts of the Zimbabwe Dollar

The Zimbabwe Dollar is the legal tender of the Republic of Zimbabwe, code ZWL, replacing the old Zimbabwe Dollar in 2019, and is designed to combat hyperinflation and economic instability.

Countries and Regions of Use

The Zimbabwe Dollar circulates only within Zimbabwe. Due to the effects of historical inflation, the country also allows the use of foreign currencies such as the U.S. dollar for transactions in order to maintain economic stability.

Units and Denominations

The Zimbabwean currency has a primary unit of dollars and a secondary unit of cents. The current denominations in circulation include coins and banknotes, with small bills such as $2, $5, and $10 being common to accommodate daily transactions.

Historical Background

The Zimbabwean currency is derived from the old Zimbabwean dollar, which was discontinued in 2009, the latter at one point issuing bills in trillions of denomination due to hyperinflation. 2019 saw the introduction of a new currency, pegged to the US dollar, gradually restoring the currency's creditworthiness, but economic challenges remain.