Movement for Democratic Change Shadow Minister for Finance Tapiwa Mashakada says the Reserve Bank of Zimbabwe Amendment Bill which is aimed at legalising bond notes, treats the notes as Zimbabwe dollars and does not talk about the export incentive at all.

Contributing to the debate on the second reading of the bill, Mashakada said the bond note was premised on a 5 percent export incentive but the bill silent on that.

“The original thinking was not to make it a general currency for everybody.  It was to issue it out as an export incentive, which would then percolate in the financial system as and when exporters are paid, but that is not the case,” he said.

“So, in this Bill you will find that the issue of export incentive is silent.  The Bill is silent on the original question of the introduction of the bond notes.  It does not refer to the export incentive at all.  It is now treating bond notes as Zimbabwean Dollars, asking this House to embrace the introduction of new legal tender, which is the Zimbabwean Dollar.

“It detracts from the original thrust of export incentive.  I thought the Minister would re-couch the Bill so that it reflects the original intention that it is going to be a 5% export incentive.  As the Bill stands, it is just like any other currency that is being introduced which is not based on any export incentive.”