By Nyasha Chuma
THE Zimbabwe dollar depreciated by 4,3% on the Reserve Bank of Zimbabwe (RBZ) foreign exchange auction platform on Tuesday.
In a trading update released by central bank on Tuesday, the official exchange rate scaled to US$1:$97,13 up from last week’s US$1:$93,08.
A total of 1 934 bids were submitted on the auction platforms.
Reserve money decreased by ZW$1.94 billion to ZW$26.11 billion during the week ending 15th October 2021, compared to the previous week’s position of ZW$28.05 billion.
The decline in reserve money largely reflected a decrease of ZW$2.03 billion in banks’ liquidity (RTGS balances) at the Central Bank, partially offset by increases of ZW$72.02 million and ZW$14.63 million in required reserves and currency issued.
The fall in market liquidity was largely on the back of liquidity mopping up operations by the Bank, through issuance of non-negotiable certificates of deposits (NNCDs).
