THE interbank exchange rate has surpassed parallel market
rates with some banks offering more in local currency for those exchanging
their foreign currency.
Government last week outlawed the use of multiple
currencies through new regulations that compel all forms of transactions to be
done in local currency.
Through Statutory Instrument (SI) 142 of 2019, known as
Reserve Bank of Zimbabwe (Legal Tender) Regulations, Government abolished the
use of the British pound, United States dollar, South African rand, Botswana
pula and any other foreign currencies, as legal tender.
When the use of foreign currency was outlawed, the black
market rate was at RTGS$13.5: US$1 while the interbank rate was at RTGS$6,3:
US$1.
A survey conducted by The Chronicle in Bulawayo yesterday
revealed that the interbank rate was on average hovering around RTGS$8, 9:US$1
surpassing the parallel market rate, which had had fallen to RTGS$7,3 for every
US dollar for electronic transactions.
The black market rate was even lower for cash transactions
where it was pegged at around RTGS6/6,50:US$1.
Of the banks checked, CABS had the highest interbank rate
buying the US dollar at RTGS$9 per US dollar, followed by NMB at RTGS$8,93
while FBC was buying at RTGS$8,56. CBZ was buying the US dollar at RTGS$8,3 while Ecobank was
buying at RTGS$7,8.
Notable queues were noted at some of the banks as people
realised there were better offers there.
They said considering the risks associated with the black
market, the bank rate was reasonable and could probably lure people away from
the informal market.
“If the rates continue like this it may limit the black
market effectively. There is no reason to change foreign currency on the black
market when the rates on the official market are good enough. I hope this will
be a permanent situation but the banks should be fair by making foreign
currency readily available to the people,” said Mr Clever Nkomo.
He said in other countries, people walk into banks to
change currencies without any hassles. Informal forex dealers said business was slow.
Recently, Reserve Bank of Zimbabwe (RBZ) Governor Dr John
Mangudya said the parallel market rates will soon tumble because the current
balance of RTGS dollars in circulation could not sustain the prevailing
exchange rates.
The local currency was in freefall before the timely
intervention of monetary and fiscal authorities who abolished the use of
multi-currencies. Chronicle
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