Gideon Gono, head of the central bank, created massive amounts of Zimbabwean dollars and placed expiration dates on the notes.

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Meanwhile, Mr Mugabe has unilaterally reappointed Gideon Gono, the central bank governor presiding over the world's highest inflation rate, for another five years.

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Mr. Gono hasn't publicly addressed the allegations, and in an email response to The Wall Street Journal, Mr. Gono declined to comment in detail.

WSJ: Hanging On to Dollars in Zimbabwe

Gideon Gono, who has led the reserve bank since 2003, is also battling allegations he has embezzled millions in central bank funds for personal use.

WSJ: Hanging On to Dollars in Zimbabwe