Individuals, companies can now buy or sell forex using the banking system

By ZBC Reporter

THE decision by the Reserve Bank of Zimbabwe to allow individuals and other business entities to buy or sell foreign currency in small amounts through the banking system and bureau de change has been welcomed as a step in the right direction.

The foreign currency auction system which came into effect last week only allowed bids of at least 50 000 US dollars which saw individuals and small businesses being excluded.

However, new measures announced by the Central Bank allow individuals and small businesses to buy or sell foreign currency of any amount through banks between auction dates.

The decision has been welcomed by the business community with the President of the Confederation of Zimbabwe Industries, Mr Henry Ruzvidzo saying it is a progressive move.

“It’s quite a positive development which even allows exporters and owners of foreign currency to put their reserve price but what is key is that between the auction days anyone can trade for forex with banks at any amount,” he said.

Small business operators applauded the new measure saying it meets their foreign currency needs.

The newly introduced foreign currency auction trading system continues to defy odds with a 60 percent increase in foreign currency traded during Tuesday’s session.