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RBZ boss warns big firms ‘manipulating exchange rate’

Published

4 years ago

September 7, 2021

Reserve Bank of Zimbabwe (RBZ) governor John Mangudya has urged large corporates to stop “manipulating the exchange rate” by exploiting the gap between the parallel-market and official currency prices for profiteering.

The governor expressed concern that companies are snapping up more foreign currency than they are allowed to through the Reserve Bank of Zimbabwe’s auction system, then selling it on at inflated prices.

“They are manipulating the auction system through arbitrage behaviour.

“Some of them are coming to the auction with more than 50 surrogate entities and we have picked that up,” Mangudya said in an interview Monday.

“They come to the auction and they are allocated the foreign currency at $86 (for one United States dollar) but they offload it at $140 on the parallel rate,” he said.

Under the auction rules, primary producers are allowed to bid for as much as US$500,000 during the weekly auction while secondary producers can bid for a maximum of us$100,000.

Mangudya said the entities are also pricing their goods and services using the parallel rates, despite having accessed the dollars at the auction system.

“At the end of the day, it’s the consumer who will be forced to pay more and that is simply not fair,” he said.

Zimbabwe’s central bank last year abandoned a currency peg and set up a weekly auction to ease a severe United States dollar crunch that forced companies to turn to the parallel market for foreign currency. Since then, officials have regularly raised concern over the abuse of the auction system.

President Emmerson Mnangagwa has previously issued warnings to private companies he blames for undermining his efforts to turn around an economy plagued by annual inflation of 50% and foreign-currency shortages.

In May, he published penalties for companies and individuals for currency manipulation that include fines of $1million (US$11,620) as well as a “total ban” from the auction. – Bloomberg

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Cabinet approves review of tourism levies, licenses and fees

Published

4 hours ago

August 27, 2025

VicFallsLive

BY STAFF REPORTER

The Cabinet has approved a review of levies, licences, fees, and permits of tourism sector , aimed at streamlining the regulatory environment and enhancing competitiveness.

The announcement was made during Tuesday’s post-Cabinet briefing, attended by Minister of Tourism and Hospitality Industry, Barbara Rwodzi.

The review, conducted through a consultative process, covered various subsectors, including accommodation, hospitality and catering, tour guides and operators, boating services, and vehicle rental services.

Previously, these subsectors were constrained by a complex regulatory environment, which the review aims to simplify by removing unjustifiable licences and permits, streamlining duplicative requirements, and reducing excessively high fees and levies.

Significantly, the review introduces a range of reductions, with some fees being cut by 25-50% and others scrapped off completely.

The reviewed instruments will undergo further refinement to ensure they fully support a competitive and thriving tourism industry.

This reform is part of the broader ease-of-doing-business agenda, designed to lower operational costs, enhance competitiveness, and drive sustainable growth in Zimbabwe’s economy.

The tourism sector is one of Zimbabwe’s key drivers of economic growth, and this development is expected to provide a significant boost to the industry.

Source: Zimbabwe Tourism Authority

In the community

Hwange duo sentenced to 26 months for wildlife crimes

Published

4 hours ago

August 27, 2025

VicFallsLive

BY WANDILE TSHUMA

Two Hwange men have been sentenced to 26 months imprisonment for setting 49 wire snares, including 48 class one snares, in Sinamatela Game Park, resulting in the killing of one impala and two female kudus, with a total value of US$6 000 worth of dried game meat.

Lungisani Moyo (38) and Joel Nyathi (27), both from Madumabisa Village, were convicted of contravening the Trapping of Animal Control Act.

According to the National Prosecuting Authority, the state presented a case that the two unlawfully set the snares this month, resulting in the illegal killing of one impala and two female kudus.

The matter came to light after a joint patrol by police and Zim-Parks officers intercepted a man in the Lwendulu area carrying a suspicious black bag. Upon searching him, authorities recovered 12 bundles of dried game meat.

Upon probe, the man led officers to Moyo’s residence, where further illegal game products were discovered.

Subsequent searches at both Moyo and Nyathi’s homes yielded a total of 22 bundles of dried game meat, kudu hooves, intestines, and other animal parts.

Police investigations confirmed the use of wire snares to hunt the animals within protected parkland.

The total value of the poached wildlife is US$6 000.

Of the 26-month sentence, 10 months were suspended for five years, leaving the two to serve an effective 16 months imprisonment.