Zimbabweans have resorted to using foreign currency in day-to-day transactions. American dollar is the most popular, then the South African Rand and the Botswana Pula.
This is despite efforts by South African Reserve Bank Governor Tito Mboweni to stop Zimbabwe from using the rand. He said Zimbabwe would not qualify to be part of the Rand Common Monetary Area (RCMA), citing its current hyperinflation and bad fiscal policies.
Zimbabweans in exile around the globe have increased foreign currency inflows into the country as they try desperately to sustain their families back home.
The central bank recently eased restrictions on foreign exchange trading to help boost the availability of foreign currency. This development also signaled the re-introduction of a willing buyer, willing seller arrangement, which allows authorized dealers to match foreign currency buyers and sellers. However, since its inception, the Central Bank has failed to match the rates, blaming speculators. – CAJ News
Post published in: Economy