Sakunda, a fuel company owned by Kudakwashe Tagwirei, a businessman and ally of President Emmerson Mnangagwa , received $366m in government bonds in January as payments When the new currency was created a month later, Zimbabwean contracts in US dollars were generally converted one-to-one into the new currency.
However, when Sakunda redeemed some of the bonds in July, the payouts were made in Zimbabwe dollars on the basis of EIGHT to NINE RTGS dollars per dollar of original face value —
The redemptions led to a 80 % surge in the monetary base — vs. IMF's program's target of 8-10% for this year.
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