Ncube sets up monetary policy committee to boost confidence

Ncube sets up monetary policy committee to boost confidence 1

HARARE – Finance minister Mthuli Ncube on Tuesday appointed a monetary policy committee (MPC) at the central bank as part of a set of reforms aimed at removing economic distortions and boosting confidence in policy-making. The nine-member MPC includes central bank governor John Mangudya, two deputy governors, university professor Ashok Chakravarti and former opposition politician Eddie Cross. Other members of the committee are actuarial scientist Marjorie Ngwenya; former Confederation of Zimbabwe Industries president and Nestle Zimbabwe MD Kumbirai Katsande; former BancABC CEO Douglas Munatsi; economics professor Theresa Moyo and deputy…

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Govt officials grab gold milling centres

Govt officials grab gold milling centres 3

BY Nkululeko Sibanda Government officials and politicians have allegedly grabbed gold milling centres set up by the Reserve Bank of Zimbabwe (RBZ) and have turned them into private operations, it has emerged. Zimbabwe Miners‘ Federation (ZMF) president Henrietta Rushwaya Zimbabwe Miners Federation (ZMF) president, Henrietta Rushwaya told delegates at the third Women in Mining (WIM) 2019 conference held at the Zimbabwe International Trade Fair (ZITF) grounds in Bulawayo on Wednesday that officials had hijacked the facilities. “Women are known to behave better compared to their male counterparts,” Rushwaya said. Related…

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Echoes of 2008 as Zimbabwe’s central bank turns on the printing press

Echoes of 2008 as Zimbabwe’s central bank turns on the printing press 4

HARARE – The Reserve Bank of Zimbabwe says it is turning on the printing press for ZW$400 million worth of new bond notes to fill the gap after multi-currencies were banned as legal tender. Last week, the government renamed its interim currency, the RTGS dollar, the Zimbabwe dollar and made it the country’s sole legal tender, ending a decade of dollarisation and taking another step toward relaunching a fully-fledged currency. Reserve bank governor John Mangudya told parliament’s budget and finance committee on Monday that the new currency measures had “created…

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RBZ opens floodgates for bureaux de change

RBZ opens floodgates for bureaux de change 6

By Golden Sibanda The Reserve Bank of Zimbabwe (RBZ) has scrapped the US$10 000 daily trading limit for bureaux de change and the 2,5 percent maximum profit margin for banks to make the interbank forex market more efficient and bolster Government’s currency reforms. The Reserve Bank of Zimbabwe (RBZ) Dr John Mangudya This comes after Government on Monday outlawed the multi-currency regime and restricted transactions to local currency (Zimbabwe dollar), to curb widespread market indiscipline that has seen traders quoting prices of essential products and services in US dollars and…

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Another 5-year term for Mangudya

Another 5-year term for Mangudya 7

On May 4, 2019 42,603 15 President Emmerson Mnangagwa has extended the term of central bank governor Dr John Mangudya for another five years. Dr Mangudya has been in the post since March 2014. The Reserve Bank of Zimbabwe (RBZ) Dr John Mangudya In a Press statement yesterday, Chief Secretary to the President and Cabinet Dr Misheck Sibanda said the extension takes effect from May 1 for another five years. Dr Mangudya succeeded Dr Gideon Gono as the governor of Zimbabwe’s central bank and became the nation’s 6th substantial exchequer.…

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Banks get $7m weekly: RBZ boss

Banks get $7m weekly: RBZ boss 8

On Mar 9, 2019 17,866 0 Government is selling an average of $7 million to banks for trading on the newly-launched forex interbank market, with Finance and Economic development minister Mthuli Ncube saying government will stay out of the foreign currency exchange market to avoid disrupting the market structure. Reserve Bank of Zimbabwe Governor John Mangudya presents his Monetary Policy Statement, while Finance and Economic Development Minister Professor Mthuli Ncube and Permanent Secretary George Tongesayi Guvamatanga look on at the RBZ in Harare. —(Picture by Tawanda Mudimu) He said around $7,5…

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Mangudya grilled over RTGS$, US rate disparity

Mangudya grilled over RTGS$, US rate disparity 9

BY VENERANDA LANGA RESERVE Bank of Zimbabwe Governor John Mangudya was on Thursday grilled in Parliament over disparities between the official United States dollar rates of 1:2,5 and the parallel market rate of 1:3,6 resulting in price increases of goods and services. Mangudya appeared before Parliament to speak about fuel challenges in the country when he was asked to explain the impact on the economy of the non-availability of foreign currency in the country and the introduction of the real time gross settlement dollars. In his recent Monetary Policy statement,…

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Zim urged to adopt currency board

Zim urged to adopt currency board 11

BY TATIRA ZWINOIRA ZIMBABWE should introduce an independent currency board which would stop the Reserve Bank of Zimbabwe (RBZ) from controlling the foreign currency exchange rate, an industry expert has said. In a recent opinion piece in American magazine, Forbes, financial expert Steve Hanke said a currency board would help the country be “open for business”. “That would make Zimbabwe’s currency a clone of the US dollar, or some other suitable anchor, such as gold. A currency board would mandate that exchange controls be thrown in the dustbin. Free convertibility…

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Eddie Cross: Issuing a new currency mid-year will strengthen Reserve Bank and eliminate queues

Eddie Cross: Issuing a new currency mid-year will strengthen Reserve Bank and eliminate queues 13

By Eddie Cross The Reserve Bank Governor gave a long awaited monetary policy statement. This had been expected in January and was postponed several times because of disagreements in Government as to what should be announced. The Minister of Finance has been following a carefully crafted reform program to restore fiscal and monetary stability within the framework of sound macro-economic conditions. Former BULAWAYO South MDC-T legislator, Eddie Cross When he first came into office I warned him that when he walked into his office, that a bucket full of nasty…

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Zimbabwe scraps bond-note dollar peg

Zimbabwe scraps bond-note dollar peg 14

By MacDonald Dzirutwe | Reuters | Zimbabwe scrapped the peg between its quasi-currency bond note and the U.S dollar on Wednesday, its central bank governor said, potentially paving the way for its official currency exchange rate to slide sharply to match its value on the streets. The Reserve Bank of Zimbabwe (RBZ) Dr John Mangudya Central Bank Governor John Mangudya said the surrogate bond notes and electronic dollars known as Real Time Gross Settlement (RTGS) would trade in a managed float against the U.S. dollar and other foreign currencies in…

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