Meanwhile economists have dismissed as reckless lunacy and a typical knee-jerk reaction with no thought for reality or practicality the suggestion that the Chinese yuan be adopted as an alternative to the country's existing multiple currency regime. “I dont see why we should not use the Chinese yuan when most of what we are producing in the country like our tobacco and minerals are ultimately being bought by the Chinese,” vice president Joice Mujuru told Zanu (PF) Mashonaland West provincial and district leaders at the provinces inter-district conference in Kariba at the weekend.
Mujuru said China was not only a vast market but also the worlds fastest growing economy that needed to be deliberately incorporated into Zimbabwes production, manufacturing and marketing matrix.
The Chinese embassy said it had not been approached about the yuan being adopted as legal tender in Zimbabwe. Describing the plan to adopt the yuan as madness, economic commentator Takarinda Gomo said it would be “sheer recklessness and typical lunacy” to introduce the Chinese currency as legal tender.
SA-based economic blogger, Welcome Zimuto, said the Chinese yuan was one of the weakest currencies in Asia and Zimbabwe should abandon the plan. “You should look first at the economic consequences of using such a currency,” Zimuto said.
“The US Dollar is a strong and internationally acclaimed currency and most countries use it.
Journalist and political commentator, Makusha Mugabe, said he has not heard of any country besides China using the yuan. “The Chinese themselves do not even use it for international trade! Everything is quoted in US. But for Mujuru to say it like that means that is what Zanu wants. Its a fishy business.”
Post published in: News