What is the name of Currency of Zimbabwe?
VerifiedAnswer: Dollar
Explanation:
Zimbabwe's currency situation is quite fascinating and complex. Currently, Zimbabwe uses the United States Dollar as its primary currency, which is why "Dollar" is the correct answer to this question.
Zimbabwe's currency history tells an incredible story of economic challenges. The country originally had its own currency called the Zimbabwean Dollar, which was introduced in 1980 when the country gained independence. However, due to severe economic problems and hyperinflation that peaked around 2008, the Zimbabwean Dollar became practically worthless.
The hyperinflation was so extreme that prices would change multiple times within a single day, and people needed wheelbarrows full of cash just to buy basic items like bread or milk. At its worst, inflation reached an astronomical rate of over 200 million percent annually. This made the local currency completely unusable for everyday transactions.
In 2009, the Zimbabwean government officially suspended the use of its own currency and adopted a multi-currency system. This system allowed the use of several foreign currencies, including the US Dollar, South African Rand, British Pound, and others. However, the US Dollar quickly became the most widely used and accepted currency throughout the country.
Today, when people in Zimbabwe go shopping, receive salaries, or conduct business transactions, they primarily use US Dollars. Banks, shops, restaurants, and service providers all quote their prices in US Dollars. This adoption of the US Dollar helped stabilize Zimbabwe's economy and brought inflation under control.
It's worth noting that Zimbabwe has occasionally attempted to reintroduce its own currency alternatives, such as bond notes and RTGS dollars, but these have not gained widespread acceptance or stability. The US Dollar remains the preferred and most trusted medium of exchange for most Zimbabweans.
This unique situation makes Zimbabwe one of the few countries in the world that uses another country's currency as its primary legal tender. So when someone asks about Zimbabwe's currency today, the answer is indeed "Dollar" – specifically the US Dollar – which serves as the backbone of the country's monetary system and daily economic activities.
