Zimbabwe appoints new governor of central bank

Zimbabwe’s President Robert Mugabe has appointed Dr John Mangudya as the new governor of the Reserve Bank Of Zimbabwe.

The former CEO of the state-linked CBZ Holdings, Mangudya takes over the central bank as the government struggles to brings stability to the ailing economy. As he assumes the position he will inherit a $1 billion debt and will preside over a banking sector that is battling a sever liquidity crunch.

Minister of Finance Patrick Chinamasa said Mangudya’s term would expire after 5 years. “Dr Mangudya is a Keynesian economist who belives in discretionary field and monetary policies and in the rational expectations hypothesis”, he said.

CBZ Holdings was one of the most profitable banks in the country on Mangudya’s watch thus his appointment is said to be a confidence booster for the financial markets. 

Source: New Zimbabwe