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US dollars dethrone Zimbabwe’s currency for second timeBy

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BY GODFREY MARAWANYIKA AND RAY NDLOVU

The greenback has replaced the Zimbabwean dollar as the most-used currency in the southern African nation for a second time, almost four years after the re-introduction of the local unit.

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US dollars were utilised for 77% of transactions this year, surpassing the proportion that were conducted in the local currency for the first time since it was reissued in June 2019, data compiled by the statistics agency shows. The Zimbabwean dollar was abolished in 2009 and replaced mainly by the US dollar after an episode of hyperinflation rendered it worthless. It was reintroduced in an attempt to revive the stagnating economy.

A government decision in June to officially reintroduce the greenback as legal tender to rein in surging inflation and stabilise the nation’s tumbling exchange rate has hastened the move away from the local currency. The Zimbabwean dollar has depreciated 91% against the US dollar in the last two years to trade at 944 at the official rate and about 1 600 on the parallel market.

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Businesses now charge in greenbacks for everything from food, fuel to medicines as they see the currency as a better store of value. Cement maker PPC’s local unit said in its latest financial statement, that 79% of sales were in dollars.

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The government’s revenue collection practices have contributed to the dollars’ resurgence, said Gift Mugano, an economics professor at the Durban University of Technology. “Passports are paid for in dollars, some taxes in foreign currency, fuel is in dollars and you can also pay toll gates in dollars,” he said.

Last month the statistics agency adopted blended inflation, which tracks prices in dollars and the local currency over one that assessed costs only in Zimbabwean dollar terms, as it better reflects the realities of the economy.

The new gauge indicates inflation has been less severe than the one measured in local-currency terms.

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The economy for all intents and purposes is largely dollarised,” said Prosper Chitambara, a Harare-based economist.

The central bank’s monetary policy committee attributes the dominance of the greenback to “significant foreign currency inflows into the economy” in 2022. A trend “expected to continue” this year, Governor John Mangudya said in a statement last month.

The shift comes as China has made the internationalisation of the yuan a top priority and countries including Russia, India and Saudi Arabia have sought to include non-dollar payments in their financial systems to reduce their dependence on the US. Last year’s sanctions on Russia and the sharpest tightening in monetary policy by the US Federal Reserve in decades, have brought a new sense of urgency among some nations to do so.

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The surge in dollar usage has also led to increased demand from workers to be paid in greenbacks. Miners in March clinched a deal to receive the bulk of their pay in dollars, the first such wage agreement in five years.

Treasury also announced a salary hike for public servants last month that included an increase in Zimbabwean dollars and increments in greenbacks.

The current dollarisation is accepted by authorities as it helps foster confidence in the economy, according to Persistence Gwanyanya, a member of the central bank’s MP-Bloomberg

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National

Flooding risk rises in Zimbabwe, Southern Africa as heavy rains forecast

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Flooding is expected to intensify across parts of Southern Africa, including Zimbabwe, as heavy rainfall continues to affect the region, according to the latest weather hazards update from the Famine Early Warning Systems Network (FEWS NET).

In its Global Weather Hazards Summary for March 12–18, FEWS NET said moderate to locally heavy rainfall has been observed across several countries in the region, raising concerns about flooding in vulnerable areas.

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The agency said the rainfall has affected western, central and eastern parts of Southern Africa, including Angola, Zambia, Malawi, central Mozambique, northern Madagascar, Botswana, Namibia, South Africa and Zimbabwe.

“During the past week, moderate to locally heavy rainfall was observed over northern, central and eastern Southern Africa,” FEWS NET said in the report.

The agency noted that flooding has already been recorded in some parts of the region, including Cunene Province in southern Angola and Rundu in northern Namibia, as rainfall continued across several countries.

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Over the past 30 days, cumulative rainfall has been above average across southeastern Angola, northeastern Botswana, central South Africa, Lesotho, central and southern Zimbabwe and parts of Malawi and Mozambique, increasing the likelihood of flooding in low-lying and flood-prone areas.

FEWS NET warned that the situation could worsen in the coming days.

“(This week) , heavy rainfall is predicted over northern and eastern Zambia, including central and northern Angola, central and eastern Zambia, Malawi, northern and eastern Zimbabwe, Mozambique, northeastern South Africa, Eswatini and northern Madagascar,” the report said.

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According to the outlook, the forecast rainfall raises the risk of flooding in many local areas across the region, particularly where soils are already saturated following weeks of above-average rainfall.

The weather monitoring agency also noted that hot conditions are likely in western Angola and southwestern Madagascar, even as other areas brace for continued heavy rains.

FEWS NET provides climate and food security early warning information to support humanitarian planning and disaster preparedness across vulnerable regions.

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Parliament debates disputed chiefdoms across the country

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BY STAFF REPORTER 

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Parliament has raised concern over increasing disputes over traditional leadership, with lawmakers warning that contested chiefdoms are undermining governance and development in rural communities.

Moving a motion in the National Assembly, Hwange West MP, Vusumuzi Moyo said the growing number of chieftainship disputes posed a threat to peace and cultural heritage.

“I rise today to debate on a matter which I believe is a matter of national importance, the growing prevalence of disputed chiefdoms across Zimbabwe and the serious threat that these poses to peace, governance, development, and the preservation of our cultural heritage,” Moyo told Parliament. 

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He said many disputes date back to distortions created during the colonial period.

“Some of these disputes… emanate from colonial times… when the colonial masters moved in. When they moved in, we already had governing structures,” he said. 

Moyo also referenced communities in Hwange District, saying colonial relocations disrupted traditional governance systems.

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“I remember in the constituency that I come from, most of these people… had been resettled from far-off lands, fertile lands, and dumped in Hwange District,” he said. 

He warned that unresolved leadership disputes weaken governance at grassroots level.

“Madam Speaker, when a chiefdom becomes disputed, those constitutional functions grind to a halt. Customary courts lose legitimacy. Land allocations become contested. Development programmes stall,” he said. 

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Moyo urged Government to establish clearer succession procedures for traditional leaders.

“It is my sincere hope that… we could start the conversation of trying to restore our culture by providing the necessary legislation to make sure that we cure all this,” he said.  

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Rising Zambezi flows lift Kariba water levels amid improved rains

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BY WANDILE TSHUMA

Water levels at the Kariba Dam are gradually rising following improved rainfall across the Zambezi River Basin, bringing cautious optimism for water availability and power generation.

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In a hydrological update released Tuesday, the Zambezi River Authority said the Lake Kariba reservoir level had reached 477.74 metres above sea level as of 10 March 2026.

Usable live storage now stands at 15.57 percent, equivalent to about 10.08 billion cubic metres of usable water.

The Authority said the increase is being driven by improved rainfall across much of the Kariba catchment during the 2025/2026 rainy season, which has boosted river flows and inflows into the reservoir.

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“This reflects an improvement compared to the same date in 2025, when the reservoir stood at 476.93 metres above sea level with usable live storage of 9.87 percent,” the Authority said.

Zambezi flows rising at key monitoring points

River flows are also increasing at key monitoring stations along the Zambezi River.

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At the Chavuma Gauging Station, flows reached 3,058 cubic metres per second on 10 March 2026, significantly higher than 2,088 cubic metres per second recorded during the same period last year.

Flows have also risen sharply near Victoria Falls, a key tourism and hydrological monitoring point.

At the Victoria Falls (Nana’s Farm) Gauging Station, river flows increased to 1,645 cubic metres per second, compared to 871 cubic metres per second on the same date in 2025.

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The Authority said the upward trend reflects stronger rainfall upstream and around the Victoria Falls area, which is feeding the Zambezi system.

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The Zambezi River Authority said it will continue monitoring rainfall patterns and inflows across the basin to guide water utilisation at hydropower stations linked to the Kariba Dam.

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The reservoir is a critical source of electricity for both Zimbabwe and Zambia, which jointly own and manage the dam through the Authority.

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