02/12/2016 11:37 SAST | Updated 02/12/2016 17:45 SAST

Zimbabwe Just Introduced Bond Notes - Now What?

Economist Xhanti Payi explains.

Zimbabwe recently launched bond notes as currency which holds its value against the U.S. dollar. Zimbabwe is so short of cash it cannot afford many key imports, and civil servants have been paid late every month so far this year. While the government is optimistic that the system will work, many Zimbabweans reportedly do not trust the system. HuffPost SA spoke to economist Xhanti Payi about why Zimbabwe opted for bond notes and what impact the system will have on South Africa. To find out how the bond notes will work, watch the video above.

You can watch our accompanying video on how bond notes work here.