RBZ keeps hold on monetary policy

By Owen Mandovha

The central bank has succeeded in providing industry with a conducive operating economic environment through a cocktail of policy measures including the foreign exchange auction system.

Deputy Director Financial Markets at the Reserve Bank of Zimbabwe, Mr Carrington Mawire highlighted how the apex bank has battled various headwinds to remain on track in establishing the currently obtaining price and exchange rate stability.

He was speaking at a gathering of metal casting and foundry stakeholders meeting held recently.

“So far, the auction system has pumped close to US$3 billion to the industry, which has kept it running and we continue to refine the system so that all sub sectors of the economy including the metal casting sector can import the required raw materials.”

Mr Mawire also reflected on how the foreign exchange auction system has kept the industry going by pumping the much-needed foreign exchange lifeline to companies.

The recent spike in grain and fuel prices on the international market has emboldened the Reserve Bank of Zimbabwe to continue to pursue a tight monetary policy in order to keep a grip on inflation.