Business Reporter
THE Reserve Bank of Zimbabwe (RBZ) Foreign Exchange Auction platform this week allotted over US$19 million to support the country’s key economic sectors amid expectations that the local currency will sustain stability into the foreseeable future.
A trading update published at the close of business Tuesday shows that the exchange rate depreciated to a premium of US$1: ZW$ 4 712 from the premium of ZW$4 647 reached last week signifying a 1, 39% depreciation threshold.
After adding the -/+10% allowable threshold on the exchange rate traders are now allowed to peg their prices at a premium of ZW$5 812 against the greenback.
allotments on the platform were tilted towards supporting the productive sector with the Wholesale platform receiving US$18,7 million leaving a surplus of US$1,3 million from the amount of US$20 million on offer.
The platform sells foreign currency to banks which later dispose of the greenback to its clients on a Willing Buyer Willing Seller (WBWS) interbank market.
On the Retail Auction Platform, US$266 877 was allotted towards raw materials needs, machinery and equipment US$303 210, Consumables US$136 003, Services US$303 084, retail and distribution US$152 697.
A grand total of US$1,16 million was allotted on the platform.
