Our website use cookies to improve and personalize your experience and to display advertisements (if any). Our website may also include cookies from third parties like Google Adsense, Google Analytics, and Youtube. By using the website, you consent to the use of cookies.

Zimbabwe to link exchange rate to hard assets, create currency board

Zimbabwe to link exchange rate to hard assets, create currency board

ZIMBABWE is working on new measures to stabilise its local currency including linking the exchange rate to hard assets such as gold and creating a currency board, Finance Minister Mthuli Ncube said. The Zimbabwean dollar has fallen about 40% since the start of the year, hurt by increased foreign-currency demand from civil servants being paid December bonuses and weaker commodity prices denting inflows. Last week President Emmerson Mnangagwa said authorities were looking to introduce a "structured currency", without explaining how that would work, and the central bank governor said that work was ongoing. "The idea going forward is to make sure that…
Read More
Libyans start using new exchange rate

Libyans start using new exchange rate

THE Central Bank of Libya has introduced a new unified exchange rate agreed last month after years of division between rival branches based on opposing sides of the front line. As part of the change, the internationally recognised Government of National Accord (GNA) in Tripoli suspended a fee on foreign currency transactions that it introduced two years ago to bring the official rate closer to the black market rate. The Central Bank of Libya board agreed the new rate of 4.8 dinars to the United States dollar last month in its first full meeting for five years after splitting as…
Read More
Libyan liquidity crisis eases after exchange rate shift

Libyan liquidity crisis eases after exchange rate shift

LIBYA’S currency adjustment last month has helped ease a liquidity crisis across the country but the continued scarcity of cash dollars means the black market still thrives. Libya has been split since 2014 between warring western and eastern administrations with rival factions seizing control of key economic institutions. As the eastern banking system was cut off from the Central Bank of Libya (CBL) in Tripoli, different black market exchange rates emerged across front lines, both very different to the official rate, and making dollars unaffordable to most Libyans. As part of an economic track of a U.N.-led peace process that…
Read More