HARARE – Reserve Bank of Zimbabwe (RBZ) Governor John Mushayavanhu has assured businesses and importers that there is no shortage of foreign currency in the economy, stating that forex supply currently exceeds demand.
Speaking to The Herald, Mushayavanhu revealed that foreign exchange generated from export surrender requirements has outpaced market demand, contrary to concerns raised by some businesses about limited access to forex.
“We went into the market last Thursday as the central bank to sell forex from the export surrender. We offered about US$20 million, but banks were only able to buy US$15 million. In other words, that was the total demand needed to clear all outstanding invoices,” Mushayavanhu said.
He emphasized that importers with valid invoices should have no difficulties accessing forex through their banks, as there is sufficient liquidity in the system.
“If there is anyone who has an import invoice or a foreign payment to make outside the country and has not been able to do so, they can go to their bank and it will be honoured. We do not have a foreign exchange problem. The supply of foreign exchange in this market compared to demand is higher,” he added.
Export Surrender Requirements Maintain Forex Liquidity
Under Zimbabwe’s foreign currency regulations, exporters are required to surrender 30% of their earnings to the RBZ at the prevailing exchange rate. The policy is designed to ensure a steady supply of forex for non-exporting businesses that rely on imports.
The measure also enables exporters to obtain local currency to meet statutory obligations, including tax payments.
Public Urged to Deposit Money in Banks
Mushayavanhu also urged businesses and individuals to store their money in banks rather than keeping large sums of cash at home, warning of an increase in armed robberies targeting cash hoarders.
“You can do mattress banking, but we are increasingly seeing robberies taking place. Your money is safer in the bank. We have put in place measures where you can get interest on your investment in the bank,” he said.
The central bank’s remarks come as Zimbabwe continues efforts to stabilize its financial sector and enhance confidence in the banking system amidst ongoing economic reforms.
