The Reserve Bank of Zimbabwe was at it again late Friday night as they sent out another communique via Twitter. While the RBZ is no stranger to confusing communication this message was clearly different. The statement entitled Empowerment of Bereaux de Change to enhance operational efficiency and effectiveness of the interbank foreign exchange market. In spite of its lengthy and precise title that statement went on to say nothing at all about the subject matter.
The statement left many perplexed as to its exact meaning. It made no mention of any specific targets or how anything was going to be. In all honesty, it made no clear statement about anything and this once again left Zimbabweans frustrated with the men and women at number 80 Samora Machel Avenue. We should also take note of how some hardworking individual or individuals at the RBZ were on duty and making sure the nation stays informed at 23:40 hours.
One interpretation that I found interesting was that the Reserve Bank was preparing to allow the Bereaux de change to buy at competitive rates to the parallel market, in short liberate the foreign currency exchange rate. The BDC had been competitive with the parallel market until September 2019 when they had their wings clips by limiting their margin to 7%, meaning they could not offer more than 7% above previous closing rate. Since then the interbank market rate has stagnated.
While there are many reasons this move to liberate the BDC would be improbable, there was that rumour from a few weeks back that circulated on social media informing people that the RBZ plans to liberate the exchange rate. Could this be a case of what has become our classic government Publicity process of rumour, denial, silence then confirmation? Stranger things have happened in Zimbabwe.
