Written by a team
The government, through the central bank, will on Monday attract 500 million US dollars to provide the interbank foreign exchange market to meet national foreign exchange payment requirements following the rates of spiraling on the black market.
It was discovered by the Zimbabwean Central Bank (RBZ) Governor of Japan Mangudya via Twitter Saturday, as panic signs on black market rates begin to manifest itself within the PAN ZANU administration.
"The government through the Central Bank of Zimbabwe pulls down $ 500 million on Monday 20 May 2019, to provide the interbank foreign exchange market to meet the demand for foreign exchange payment of businesses and individuals," said Mangudya As foreign currency shortage continue to hinder economic growth and recovery .
RBZ February this year introduced the new foreign currency banking system after effectively devaluing its currency-based currency and bond currency which was officially pegged at the value of the dollar.
The system was unable to compete in the thriving black market on Friday.
In his announcement earlier this year, Mangudya mentioned the revamp system will ensure "no one is going to buy foreign currency in the parallel market, but three months along the line, the corresponding currency is booming with rates to 600 ZWL against $ 100 Friday.
He also said that this amount will be a long way to stabilize exchange rates in the economy.
However, despite the establishment of the interbank foreign exchange market, other companies such as Delta beverage maker said they are still struggling to access foreign currency.
Zimbabwe responded to the RBZ Twitter that encouraged Mangunya to address real problems that caused foreign currency shortages in Zimbabwe.
@ ErnstMadzudzo said, "This money will end up in the wrong hands, straight to the black market, Mr. Governor, address the real problem causing a shortage of foreign currency in Zimbabwe. We do not have to tell you, you're exactly why the economy is struggling. "
@ Sam Hove considered, "Even if you get a bottomless pit full of exchange rates, prices will never stabilize because the problem needs a political solution."