Prepaid Electricity Split Meters

Prepaid Electricity Split Meters

Suppliers of prepaid electricity split meters throughout Zimbabwe. Ideal for shared properties, landlords, tenants, shared business premises

Open
HomeBusiness

Finance Minister Urges Immediate Policy Actions To Reduce Risk Of Exchange Rate Instability

1 year agoFri, 18 Aug 2023 19:15:46 GMT
Share on FacebookShare on TwitterShare on LinkedIn
Finance Minister Urges Immediate Policy Actions To Reduce Risk Of Exchange Rate Instability

Finance Minister Mthuli Ncube has emphasised the need for immediate policy actions to mitigate the substantial risk associated with the instability of exchange rates. 

In his 2024 Budget Strategy paper released last week, Ncube highlighted the impact of such volatility on revenue collection, expenditures, debt service, and budgetary pressure caused by inflation resulting from exchange rate depreciation. Ncube said:

Exchange rate volatility has been a major source of risk in the recent past, affecting revenue collection, expenditures and debt service, particularly for those items denominated in foreign currency.

To the extent that exchange rate depreciation feeds into domestic inflation, thus generates pressure on prices on the budget. In the absence of policy interventions, a 1% depreciation of the Zimbabwe dollar against the US dollar widens the fiscal deficit by about 0,1% of GDP (gross domestic product).

Government will continue to strengthen the value for money audits measures and plug loopholes in the existing procurement systems to ensure that MDAs (ministries, departments and agencies) are not overcharged in respect of payments for goods and services as well as regulate the market, having observed that some of the suppliers or contractors were manipulating the foreign exchange market.

Click here: Pindula WhatsApp Channel
wa.me/channel/0029Vb4GVea90x2nCSDImS1b

 

According to the World Bank, Zimbabwe’s economy was valued at US$20.68 billion at the end of 2022, indicating that a 1% exchange rate depreciation could lead to a fiscal deficit widening of approximately US$20.68 million.

Ncube further explained that the government had implemented various measures to address the risk, including weekly wholesale foreign currency sales to commercial banks. He stated that the medium-term expenditure framework aimed to limit spending to available resources and maintain the fiscal deficit below 3% of GDP.

The Treasury set a budget deficit target of ZW$2.3 trillion (US$504.85 million), equivalent to 1.5% of GDP, for 2024. Ncube highlighted the challenge of a rising wage bill and commitments to foreign currency-denominated expenditures, which crowded out funding for social sectors and infrastructure development. Wages, procurement, social needs, infrastructure spending, and climate shocks were identified as major government expenses that could increase further if the local currency depreciated.

Ncube pledged to implement value-for-money programs, increase transparency in the wage bill, adhere to the approved budget, and penalise overspending. The recent fiscal and monetary measures aimed to stabilise the foreign exchange market and align formal and informal exchange rates by addressing excess liquidity and promoting local currency usage.

Ncube mentioned the increase in money supply as a cause of local currency depreciation and emphasized the importance of tax administration initiatives to enhance compliance and revenue collection. The government also planned to review concessions and contracts and adjust fees and charges to improve revenue collection.

More Pindula News

Tags

34 Comments

@lucky mfana wa mthuli · 1 year ago
chero iwewe ukapinda ipapo unongotanga kungoita zvrikuita ana blaz wako.
Lucky Ncube · 1 year ago
what ever Mthuli is saying makes sense economical, but our problems on currency have nothing to do with economics books written in the West, our problems are of greed , corruption, poor prioritizing, I wonder if these people have budgets in their houses. there is no responsibility no transparency hence no one trust the zwl$ even they don't trust as we pay for government services using USD
Miranda · 1 year ago
boe here @buju na cid
ummmm uyo anozviti buju uyo.... · 1 year ago
..... didn't tell you that selling shoes nowadays isn't that profitable bcoz of stiff competition from amabhelo shoes and during that 5-8pm period it's like everyone flocks to the CBD to sell so it's not like during those hours he's the only one selling shoes.
Mluza · 1 year ago
vote ccc
Jue Saidi · 1 year ago
dai ndri mtundo ncube ndaingotiza vosara Vega nezvimabond zvavo pne kutadziswa kufara
Street kid · 1 year ago
Yesterday kwaive nema race tonaz kwaimhanya,aive ma highlights Kuma 7, peace peace and peace ngativhotei murunyararo
Tagara Chinomwe · 1 year ago
If Zimbabwe was worth 20 000 000 000billion. Given a situation e gtv chooses to give 0nly 0ne million to each person in e country of e purported 16 million people, wld there be any poverty in this country. I just thought people would be capable of developing their communities on their own. After all e government wld be left with 19billion +984million in its budget.
Voter · 1 year ago
Mmmm food for thought. My thoughts are "better vote for CCC" for a better future.
· 1 year ago
Zanu ndeyekumàma
buju · 1 year ago
am here to see mafungiro evamwe vanhu vakaita sewe and to learn more things. wakambondiona ndichicommenter papindula here zvekudaro? it's only today pandatotaurawo pano.
cid · 1 year ago
@buju,,pamwe uno commenter nerimwe zita who knows coz good ting about Pindula u can have many usernames
Rodrebeliser · 1 year ago
ummmm ummmmm ummm
cid · 1 year ago
Dai une mari usingararamiri pindula
buju · 1 year ago
@cid when I used to sell wholesale airtime ndaiita profit ye $50 on a good day but on a bad day ndaisashaya $20 ndaitanga kutengesa makseni ndopedza na 8 pm. Saka usavhunduka $200 bambo
cid · 1 year ago
@buju ,,, airtime profit yacho ishoma shoma zvekuti I think yaunotengesa dollar wholesale price it's 70 or 80cents so pakuti waiita profit ye $50 unenge watengesa ma juice cards mangani nhai Buju😂
buju · 1 year ago
@cid I dnt sell second hand shoes Muzanu iwe, I sell majordan, luivitton, Versace addidas, air force, bape star, Yeezy, etc nyowani mupfanha dziri mumabox, wajaira ka kutenga second hand zvamakafundiswa Nezanu😂😂😂 inga unoto siririsa...uuye mangwana ndikupewo naslides upenyewo kumaraini.
Mthuli has my vote in cowdray. · 1 year ago
ndatopedza so kwete zviya zvekusweronzi your vote is your secret.
Voter · 1 year ago
CCC has my vote in cowdray. This is no secret.
cid · 1 year ago
@buju,,,Mu town ndakapedzisira nezuro kumupinda,, exposure yaukundiudza yekutengesa bhutsu here?🤣
buju · 1 year ago
@cid wakapedzisira kupinda tonaz rinhi??🤔🤔 mmmm I think blazo imimi makapedzisira kupinda mutown kwakudhara hanti😂😂...Mari yetransport munenge musina here😂 chimboitaiwo muchikwira makombi muchibvawo kumaghetto uko pamwe pfungwa dzingavhurikewo cid...but shuwa you need kumbofambafambawo inorder to get exposure bcz it seems like hautorina line retonaz kuti Madhiri arikudisa ndeapi or vamwe varikuiteiwo....ask people vanopinda mutown kuti mavendor anotengesa hembe nebhutsu mutonaz anowanikwa nguvai dzipi then uchaudzwa
buju · 1 year ago
@cid ndakupindura under news dza moraleng iy. go and check
cid · 1 year ago
@ buju ,wazoti bhutsu dzaunotengesa kubva kuma 5 pa footbridge unenge uchitengesera ani? asi inotengeswa ma guard coz zve economics dololo
buju · 1 year ago
@CID madrugs handibate, madrugs anorohwa nema youth e Zanu pf anonotumwa kunoponda vanhu and I might not know the jargon of economics hangu bcz I majored in arts, even degree rangu harisi Kuma commercials. but what I know hangu ukangoona pakungotaurwa zve Zim economy or finance just know kuti it's always dhotiyasi chete...zvingori zvekutodhakwa kwezvinhu...chii chakaitwa naMthuli chisvinu kubva zvaaita minister weFinance?, just name 1 thing chete? Saka zvimwe hazvitombode kuziva majargony or mabig words ezve economics, zvimwe zvinongora common sense chete kuti kana ukangoona pataurwa zvamthuli na mangudya wake ziva kuti I zero most of the time
cid · 1 year ago
@buju ,,,wataura shuwa kuti hauna zvawanzwa🤣 chaunogona kusunga mbanje jargon ye businesses/economics haupo ipapo
buju · 1 year ago
@cid shamwari ukatongoona pangotaurwa zva mthuli chete ziva kuti kudhakwa kwebond note ne economy ,,😂😂😂
buju · 1 year ago
mthuli must tell ED kuti mukuru ka zvimwe zvese tinga rigge but when it comes to economy tinoremerwa ndipo panotibatisa kuti the masses of Zimbabwe don't want us, they don't have faith in Zanu pf leadership. as long as u keep rigging elections forget and smile..kuti muchaisa economy yeZimbabwe in order. #CCC x# Nelson Chamisa × musi wa 23
Anonymous · 1 year ago
Intact the bugger must shut up, tiri kuita zvemaelections. Zvavakatadza kugadzira fir 40yrs tichagadzira with a new minister under a new government

Leave a Comment


Generate a Whatsapp Message

Buy Phones on Credit.

More Deals
Feedback