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RBZ boss warns big firms ‘manipulating exchange rate’

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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.

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“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.

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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.

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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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In the community

Relatives convicted of brutal assault of son-in-law over property dispute

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BY NOKUTHABA DLAMINI

The Bulawayo court has concluded the case of a 65-year-old man, Abednico Maposa, who was brutally attacked by his relatives, including his wife and three brothers-in-law, over a property dispute in Swart Village, Inyathi.

According to the National Prosecuting Authority, four accused individuals – Sikhanyiso Zulu, Isaac Sibanda, Cabangani Zulu, and Lucky Zulu – were on trial for assaulting Maposa.

The State alleged that on February 9, the accused persons attacked Maposa with stones, demanding a fridge and other belongings, and left him unconscious with head and body injuries.

In conclusion, the Tredgold Regional Court Magistrate in Bulawayo acquitted Sikhanyiso Zulu and Isaac Sibanda due to insufficient evidence.

Cabangani Zulu and Lucky Zulu were convicted and sentenced to 24 months imprisonment, with 6 months suspended and an additional 18 months suspended on condition that they complete 630 hours of community service.

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Africa’s wetlands at risk: Report urges governments to prioritize wildlife conservation

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BY STAFF REPORTER

A groundbreaking report launched at the 15th Meeting of the Conference of the Contracting Parties to the Ramsar Convention on Wetlands (COP15) in Victoria Falls emphasizes the vital role wildlife species play in sustaining Africa’s wetlands.

The report, “Africa Special Report: Taking Animals into Account,” urges governments to incorporate animal-driven ecological processes into their wetland restoration and management strategies.

Magnus Sylvén, GRA director of Science-Policy-Practice, describes the report as an “invaluable resource” for those implementing the Ramsar Convention. “By recognising the fundamental ecological role of wild animals, we will become better at managing and restoring the world’s inland and coastal wetlands,” he said.

The report highlights the alarming decline of wetlands and freshwater species, with an estimated 3.4 million square kilometers of inland wetlands lost globally since 1700.

Nearly one-third of freshwater fish species face extinction. James Isiche, IFAW regional director for Africa, stressed the link between wetland preservation and broader climate and biodiversity goals.

“Protecting and restoring these dynamic ecosystems is essential to building climate resilience, conserving biodiversity, and ensuring a future where animals and people thrive together.”

The report showcases 11 case studies from across Africa, demonstrating the importance of healthy wild animal populations for ecosystem services. The researchers identified five key messages, including the need to establish effective no-take fishing zones, ensure the “flow” of water and wildlife in large-scale landscapes, and combat unsustainable use of key wetland species.

The Africa Regional Group reached a consensus in support of a draft resolution on achieving equitable governance and effective conservation of wetlands. They emphasized the need to balance conservation efforts with socio-economic development and to uphold the rights of Indigenous Peoples and Local Communities.

 

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Hwange

Teacher sentenced to 15 months for assaulting student with wooden stick

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BY NOKUTHABA DLAMINI 

A Hwange Magistrates’ Court has convicted and sentenced a 27-year-old teacher, Shyleen Nenduva, to 15 months imprisonment for brutally assaulting a 15-year-old grade 7 student.

According to court records, on July 9, Nenduva from Gwai, struck the student several times on the back with a wooden stick, punched him once in the chest, and violently pushed him onto a desk. The assault resulted in the student sustaining a swollen and painful right elbow.

The court heard that the incident occurred after the student misbehaved outside the classroom, prompting Nenduva to caution him. However, a misunderstanding ensued, leading to the physical altercation.

In sentencing Nenduva, the court suspended 6 months of the imprisonment term for 5 years. The remaining 9 months were suspended on condition that Nenduva performs 315 hours of community service.

 

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