Zimbabwe: RBZ Foreign Currency Auction Sets Exchange Rate 3 Percent Lower

Reserve Bank of Zimbabwe.

The central bank foreign currency auction system Tuesday set the exchange rate at 1:65 against the US dollar, registering a 3 % decline when compared to last week.

The Reserve Bank of Zimbabwe (RBZ) update on the latest trades shows that US$13.6 million was available on the system with the highest bid rate ZW$90 lowest bid rate ZWL$30 lowest accepted rate ZW$55.

However, the average weighted rate settled at ZW$65.87 registering 3% decline from the figures declared last week.

Out of the available foreign currency, the manufacturing sector was allotted US$5.6 million, retail and distribution US$1.9 million, services US$1.8 million, agriculture US$1 million construction , engineering and electricals US$1 million, energy US$575 421.

The figures show that trade volume by allocation down by +16%

Speaking shortly after trading, the RBZ governor John Mangudya urged Zimbabweans to stop peddling fake news on social media saying it undermines confidence and affects the nation as a whole.

He made the remarks after taking note of reports suggesting that the central bank has failed to stabilise the exchange rates.

"As Zimbabweans we need to exercise self-respect and love our country. Why would someone send fake news on social media to cause mistrust of the central bank? It is not the RBZ officials or the Monetary Policy Committee who need this foreign currency but industry players out there.

"At the end of the day it is the industry and Zimbabweans who will benefit the most out of this if the trades stabilises.

Meanwhile, exchange rates on the parallel market stabilised and in some places are beginning to go down to the margins of between 1:75 as opposed to the rates 1:100 registered in the previous weeks.

More From: New Zimbabwe

Don't Miss

AllAfrica publishes around 800 reports a day from more than 130 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.