Tag: Foreign Currency Shortage in Zimbabwe
Govt gives RBZ money to clear Forex Auction backlog
The Reserve Bank of Zimbabwe (RBZ) has, in a statement, said that the govt has provided them with funds to clear the Forex Auction backlog. CLEARANCE OF THE RING-FENCED BACKLOG OF FOREIGN EXCHANGE AUCTION ALLOTMENTS Further to previous communication that Government would be providing funds to clear the ring-fenced backlog of foreign exchange auction allotments, […]
The government needs to fix its forex auction
The RBZ’s foreign currency (forex) auction system is fundamentally flawed. The government instead of blaming the black market should be looking at how they can make the auction better because it, rather than the black market, is the real reason why the economy is being held back. The black market only exists thanks to the […]
Dear government, threats make people mistrust the system more
Recently stakeholders in Zimbabwe’s health sector shared some concerning but not unexpected tidbits about Zimbabwe’s auction system. They said that it takes up to 10 weeks instead of the promised 24-48 hours for beneficiaries to receive their allocations. This naturally had negatively impacted their operations. Instead of listening to these and other concerns about the […]
The RBZ’s auction system takes up to 10 weeks to process payments
While there was a mere 10 ZWL or so difference between the black market and official rate when the RBZ’s auction system was introduced last year, black market sellers and buyers are now using a rate that is almost double the official rate. Naturally, this has meant that a lot of SMEs and large corporations […]
You no longer need proof of residence to pay your DStv using Conticash
A few weeks ago we received some pleasant news, several Bureau de Changes were now allowing people to pay for their DStv using RTGS at the official rate. One of these exchanges was ContiCash who are part of the Conti family of fintech services that includes a money remittance service and a payment gateway that […]
The interbank forex rate will shoot through the roof, can the gvt/RBZ stomach it?
This coming Tuesday the 23rd of June 2020, the new formal trading of foreign currency via an inter-bank auction will kick off. This is the third time Zimbabwe is introducing such a market. In fact it’s just been 3 months since the Reserve Bank of Zimbabwe suspended the interbank forex market it had introduced a […]
Updated: RBZ Says You Can Get Paid In Forex But You Won’t Be Able To Withdraw Your Funds
An instruction circular from the RBZ to FBC’s management to its staff has leaked and the circular focuses on “Employees Salaries Payments in USD“. The instruction is on the back of what appears to be some regulatory changes at the RBZ. The circular notes that in some instances the RBZ can allow a company to […]
Mthuli Ncube Announces Foreign Currency Allocation Committee, Free Market Forces Will Have To Wait
The Minister of Finance, Prof Mthuli Ncube has announced his new foreign currency allocation committee. He promised that he would do this when he presented the 2019 budget proposal in November last year. It looks like the minister has no trust in the laws of demand and supply. Of course demand and supply will not […]
Govt Relaxed Import Restrictions On Basic Goods And That Is Worrying
The Zimbabwean government introduced the Statutory Instrument 64 of 2016 (SI 64) to control the import of basic goods that can be manufactured locally. This was meant to protect local industries and also to reduce the outflow of foreign currency. The SI 64 was met with resistance as traders cited that there was not enough […]
So you want USD at 1:1 to the bond note, RBZ says go to these places
If you remember, last week the government made it illegal to trade in foreign currency without a licence. Statutory Instrument 112A of 2017, Exchange Control (Amendment) Regulations 2017 (No 5) has led to many people being arrested for dealing in foreign currency without a licence or dealing through unauthorised persons. The RBZ maintains that this is to […]
CABS Responds To Local Currency Questions, Sheds Light On What Is Meant By Local Currency
Earlier this week Techzim published an article directed at CABS, seeking clarification on some new headings on their online portal. This was after some CABS customers reached out to us worried after they noticed a new subheading titled ‘Local Currency Account’ on their online portals. Naturally people were worried about that ‘Local Currency’ subheading and […]
Hey CABS, do we have a local currency? We were under the impression we did not
A certain CABS customer logged into their account today like they always do, to check on them incomings and whatnot. There was the familiar ‘Good afternoon’ and ‘Welcome back.’ All was well. However, upon closer inspection they realised something strange, something that was not there before. Instead of going straight into the balances on the […]
Zimbabwe spent US$45 million on DStv subscriptions in six months
DStv subscriptions and card payments totalling US$206 million were the second highest driver of foreign currency payments between July and December 2016. According to the RBZ Governor about US$45 million of that was for DStv payments.
DStv subs & card payments are 2nd highest driver of forex use for Zimbabwe, trend is a cause of concern for RBZ
During this period Zimbabwean foreign currency payments for DStv and card transactions exceeded other transactions such as the importation of raw materials for the manufacture of products like cooking oil, maize imports and the allocation for machinery and telecoms equipment.
Here’s the 2017 Monetary Policy Statement from the Reserve Bank of Zimbabwe
Zimbabwe’s Monetary Policy Statement for 2017 has been presented by the Governor of the Reserve Bank of Zimbabwe Dr John Mangudya. It highlights the steps that the RBZ is taking to regulate monetary policy and activity in the country including measures to deal with the cash crisis in Zimbabwe as well as the foreign currency […]
Here’s Econet’s full statement on the facility that will help local shareholders participate in its rights issue
If you are in Zimbabwe and are holding shares in Econet Wireless Zimbabwe you are probably relieved to know that the telecoms operator and the Reserve Bank have created a facility to help you take part in its US$130 million rights issue. Instead of paying into an offshore account, shareholders can use their bond notes […]
Econet turns to shareholders for a $130 million capital raise, asks for payments to be made offshore
Local telecoms company Econet Wireless Zimbabwe is looking to raise US$130 million in the local market through the issue of shares and debt as an arrangement to put together capital that will be used to clear foreign loans. It will, however, require shareholders to make the payments for the rights issue in United States Dollars directly to […]