Reserve Bank of Zimbabwe (RBZ) foreign exchange auction bidding rates being offered by traders this week continued to navigate within stable margins as total allotments to industry reached US$37 million.
A trading update released at the close of business Tuesday showed that at the main auction platform, the highest bid rate offered was $87 whilst the lowest rate reached $82.
The rates at the Small to Medium Enterprises (SMEs) platform reached a high of $88 and a low of $82 in what market watchers have described as a signal indicating the possibility of long-term exchange rate stability.
The official exchange rate maintained the same premium reached last week of $83.88 against US$1, maintaining a close range with the parallel market rates.
Foreign currency is readily accessible at $100 against the greenback for both transfers and cash transactions.
A total 304 bids were received at the main auction platform with a total amount US$32 million being allotted.
Priority was directed towards productivity needs which saw raw materials receiving US$13.5 million, machinery and equipment US$5 million, consumables US$2.6 million, services US$2.6 million, retail and distribution US$2.6 million among other needs.
On the SME platform, a total 236 bids were received with a total US$3.1 million being allotted.
Raw materials were allotted US$761 350, machinery and equipment US$540 545, consumables US$676 256, services US$422 505, retail and distribution US$246 103, fuel US$215 829 and pharmaceuticals US$211 727 among other needs.
In a recent Monetary Policy Statement, the central bank committed to putting in place mechanisms aimed at mopping up excess liquidity and instilling discipline in a bid to achieve the broad benefits associated with exchange rate stability.