He virtually dismissed the possibility of the central bank head being subjected to a probe for alleged fraud and other corporate governance excesses in the period when Gono engaged in quasi-fiscal activities during Zimbabwe’s economic meltdown from 2000 – 2009.
“Yes, Gono and I have had our differences and fights in the past but we have found each other now. He advises me, as the law requires, and we visit each other at home. I know that there are many people out there who would want to see us throwing stones at each, but we have let bygones be bygones because we have to move the country forward,” Biti said.
Acrimony between the two was particularly sharp in the early months of the Government of National Unity, established in 2009. Prior to that, the RBZ virtually ran the economy and had usurped the powers of the finance ministry, which Biti took over in 2009.
The two men clashed several times on the role of the RBZ and the policies Biti pursued to return stability to the RBZ and the entire economy.
Asked whether Gono and RBZ would be probed, Biti said enough reforms had been carried out at the bank, implying that investigations were no longer necessary.
“We carried out major reforms and things are generally normal now. I am more worried about how best we can bring back liquidity to RBZ and make it a viable lender of last resort. We are pleased with the direction the bank has taken,” he said.
Late last year, Gono’s former advisor, Munyaradzi Kereke, wrote to the Zimbabwe anti-Corruption Commission detailing a raft of corrupt activities that he alleged the governor and other senior RBZ officials engaged in during the quasi-fiscal era.
Kereke claimed that Gono had abused his power and exposed several banks by borrowing excessively from them. He further alleged that RBZ had abused a farm mechanization initiative it had started and officials had siphoned money out of the bank through fraudulent means.
Gono has dismissed the claims and ZACC said it would carry out investigations regarding the allegations made by Kereke. There have also been attempts by Parliament in the past to push for Gono and RBZ to be investigated, but these have come to nought.
Biti said it was too early for Zimbabwe to revert to the local currency which was displaced by a multi-currency regime in 2009 due to hyperinflation.
“Debate on returning to our own currency is legitimate, but we are not prepared for that at the moment. There is an unhealthy relationship between what we are producing and what we are exporting, so it would be unsustainable to go back to the Zimbabwean dollar,” he said.
He added that he preferred Zimbabwe to be integrated into a regional currency.
Post published in: News