Zimbabwe’s exporters have been directed to use their retained earnings within 30 days after which the unused United States dollars will be offloaded into the market at the prevailing market exchange rate.
The move is being made to improve the availability of US dollars or foreign currency in the country.
Reserve Bank of Zimbabwe Governor Dr John Mangudya says the 30-day directive is aimed at ensuring that export proceeds are used for productive purposes.
“Most of the US dollars are just being used to divert funds without any production but we hope this will be a thing of the past,” said Dr Mangudya.
Confederation of Zimbabwe Industries Chairman for Finance and Investments Dr Joseph Kanyekanye says the move will enable more US dollars to be injected in the economy.
“We are hopeful the move will have an impact on the economy and unlock more value,” Dr Kanyekanye.
Industrialist Mr Shepherd Kembo says US dollars being earned by the exporters should be used for recapitalisation of existing units by the firms.
“What is just needed is that aspect to unlock value from exports and ensure that the money can be used in the long term for expansion,” said Mr Kembo.
The 30-day directive is being made following proposed US dollar retention thresholds in the manufacturing, gold, tobacco, cotton, horticulture, transport and tourism sectors.