(3 minutes read)
Zimbabwe’s banks have been asked by authorities to stop lending with immediate effect. This order was issued last Saturday. The decision was taken to stop speculation against the Zimbabwean dollar
Zimbabwe’s banks have been asked by authorities to stop lending with immediate effect. This order was issued last Saturday. The decision was taken to stop speculation against the Zimbabwean dollar. It is one of the slews of measures taken by the government to stop the rapid devaluation of its currency on the black market.
Zimbabwe reintroduced a local currency in 2019 after abandoning it in 2009, due to hyperinflation. President Emmerson Mnangagwa accused unnamed speculators of borrowing Zimbabwe dollars at below-inflation interest rates and for using the money to trade in foreign exchange.
Also Read:
The devaluation of the Zimbabwe dollar’s black market exchange rate has been a major reason for upping inflation. Year-on-year inflation reach
