Business Reporter
THE ZW$ firmed up by 2, 29% on the Reserve Bank of Zimbabwe (RBZ) Auction at a time when parallel market rates are also proving ZW$ recovery as the revamped Dutch Auction system begins to pay dividends.
In an update Tuesday, the RBZ said the official rate reached US$1: ZW$4 771 to record a 2, 29%.
Last week the official rate closed the week at a premium of US$1: ZW$4 883 after the second Auction towards the end of the week.
This comes at a time when the ZW$ has significantly recovered on the parallel market where was trading at around US$1: ZW$5 500 just before the latest official rates.
The local currency has steadily recovered in the recent weeks in response to a raft of measures employed by both fiscal and monetary authorities in a bid to ease inflationary pressures from spiraling beyond control.
Such initiatives have seen the widespread usage of ZW$ in the payment of government fees and taxes prompting the increased demand of the local currency.
During the day, trading on the Wholesale Auction platform where corporates are now sourcing for foreign currency via banks saw a total 15 bids accepted.
Despite US$20 million being on offer, just US$11,5 million was taken up signifying constrained ZW$ access in the market .
However, the amount taken up by Wholesale platform is quite a significant increase from the amount of US$5 million which the same market has been purchasing in the recent past weeks.
On the Retail platform, a total US$542 480 was allotted with raw materials alongside other productivity related needs were supported.
