Terrence Kurira
The Reserve Bank of Zimbabwe (RBZ) has injected a total of US$64 million into the interbank foreign exchange market to address pipeline demand and maintain the stability of the ZiG.
The RBZ’s intervention comes in response to a surge in demand for foreign currency at banks, which has put pressure on the market. Despite the injection of US$50 million in July, the central bank has continued to monitor the situation and provide additional liquidity as needed.
In a statement, RBZ Governor John Mushayavanhu said the central bank had seen a recent increase in demand for foreign currency, which has temporarily strained the foreign exchange market.
This surge was despite the injection of US$50 million in July to address the increase in foreign currency requests.
To address supply-demand imbalances last month and this month, the central bank first injected US$24 million into the interbank foreign exchange market during the first two weeks of this month and then another US$40 million this week in response to the ongoing demand for foreign currency.
This resulted in a cumulative foreign currency injection totalling US$64 million for this month alone.
