Nevanji Munyaradzi Chiondegwa
The government has announced a series of measures aimed at stabilizing the economy, including tackling price hikes, promoting the use of the local currency (ZiG), and combating smuggling and counterfeit goods.
Addressing the press following a Cabinet meeting, Minister of Information, Publicity and Broadcasting Services Dr. Jenfan Muswere highlighted the government’s concern over the recent surge in basic commodity prices and the challenges faced by local industries.
“Cabinet has noted with concern the reports of some retailers and manufacturers using the unofficial exchange rate in their operations,” said Dr. Muswere. “This practice undermines the efforts to promote the ZiG currency and contributes to price instability.”
To address this, the Reserve Bank of Zimbabwe will strengthen licensing requirements for businesses, mandating all operators to have a bank account and a Point of Sale (POS) machine. Inspectors will be deployed to enforce these regulations and curb any practices that disrupt price stability and the availability of essential goods.
The government also acknowledged the issue of smuggled and counterfeit goods flooding the market, unfairly competing with local products. To combat this, increased border patrols, more inspectors, and a “Whole-of-Government Approach” will be implemented at border posts.
“Penalties for unjust price hikes, manipulation of the ZiG currency, smuggling, and unfair trade practices will be significantly increased,” Dr. Muswere emphasized. “Fines will be reviewed, ranging from a minimum of US$200 to a maximum of US$5,000, or the ZiG equivalent.”
Furthermore, a de-dollarization roadmap has been established, with a timeframe outlined by the Minister of Finance, Economic Development and Investment Promotion. This roadmap aims to facilitate the smooth transition to the ZiG currency as legal tender.
Recognizing the potential of underutilized industrial spaces, the government will establish an Inter-Ministerial Task Force to coordinate the identification and revitalization of idle infrastructure, including empty industrial shells, rail infrastructure, and other abandoned properties.
These measures demonstrate the Zimbabwean government’s commitment to stabilizing the economy, promoting local industries, and ensuring the smooth transition to the ZiG currency. The effectiveness of these measures will be closely monitored, and further adjustments will be made as needed.
Recent Comments