The Reserve Bank of Zimbabwe (RBZ) Monetary Policy Committee (MPC) has resolved to scrap the 60 days export proceeds liquidation policy and moved towards enhancing the operations of the Bureau de Change.
Under previous regulations, exporters normally received 70 % of earnings in foreign currency with the remaining 30 % transferred into their Zim-dollar accounts at the prevailing exchange rate regardless of their productive sectors.
The thresholds however differed depending on the companies operating sectors.
Exporters were also required to use the foreign currency in their Nostro accounts within a period of between 30 and 60 days.
In an update following the MPC’s meeting Thursday, RBZ governor John Mangudya said the policy was now a thing of the past.
“The MPC resolved to remove the compulsory requirement to liquidate all unutilised export proceeds after 60 days with immediate effect and increase the export surrender requirement from 30% to 40 % on all export receipts,” he said.
Effectively, all exporters will now be getting 60 % of their export receipts while the remaining 40 % will be retained and paid in Zim-dollars in line with prevailing exchange rates.
The committee agreed to maintain the Foreign Exchange Auction and Interbank markets foreign currency allotments in line with the priority list which places productive imports (raw materials, consumables and capital goods) ahead of foreign exchange requirements for services, education and portfolio investments.
The MPC also resolved to enhance the role of bureau de change in the foreign exchange market by reducing the portion of balances to be sold on the Foreign Exchange Auction from 80% to 40 % in line with the export surrender requirement for exporters.
The minimal allowable margin on small transactions charged by Bureuax De Change was increased from 5 to 8 %.
Maximum daily limit per transaction for Bureaux De Change were increased to US$2 000 in order to cater for foreign exchange requirements for individuals, micro and small to medium enterprises and were also allowed to buy foreign currency from individuals and companies without limit.
“The bank will continue to review and refine measures to enhance the sustainability of the Foreign Exchange Auction System which has been critical in anchoring the management, price and financial system stability in Zimbabwe,” added Mangudya.
Credit: New Zimbabwe