‘RBZ ditches 1:1 exchange rate’

The Reserve Bank of Zimbabwe has read a riot act to errant bureau de change operators who are practicing unwarranted behaviour bent on demonising the essence of the re-introduction of such by the Reserve Bank of Zimbabwe, Zim Morning Post has learnt.

The Reserve Bank of Zimbabwe governor John Mangudya will on Wednesday announce the Monetary Policy Statement and one of the major focal point will be introduction of a new exchange rate of the United States Dollar and Bond note, the Zim Morning Post has learnt.

The rate is likely to be pegged at 1:3.

Sources within the Central Bank said that the fuel price hike was pegged at a 1:3 rate.

“Everyone knows that 1:1 exchange rate is not viable, do you remember when the President announced the prices of fuel it was a well calculated move and it is paying dividends,” said the source.

Bond notes were introduced in 2016 and there were pegged at one is to one with US Dollars.

When Finance minister Mthuli Ncube presented the National budget in December 2018, he insisted that the bond note was equivalent to US dollars but created separate accounts with some only meant for bond notes and RTGS while others were Foreign Currency Accounts (FCA).

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