Zimbabwe’s Central Bank has unveiled a new “structured currency” backed by gold on Friday, as it seeks to tackle sky-high inflation and stabilise the country’s long-floundering economy.

Reserve Bank governor John Mushayavanhu said the ZiG made from Zimbabwe Gold, woud replace the Zimbabwean dollar which has tumbled in value over the past year pushing inflation through the roof.

Mushayavanhu, while presenting a monetary policy statement,  revealed that with immediate effect,  banks would convert the current Zimbabwe dollar balances into the new currency. 

The move, which Mushayavanhu said, aimed at fostering “simplicity, certainty, and predictability” in Zimbabwe’s financial affairs,  presents the new banknotes that would come in seven denominations ranging from 1 to 200 ZiG.

The Zimbabwean dollar has lost almost 100 percent of its value against the United States greenback.

According to tracker, Zim Price Check.On Friday it was officially trading at around 30,000 against its more coveted US counterpart, and at 40,000 on the black market.