Zimbabwe’s foreign currency inflows of US$6,1 billion to date have largely been taken up to service the huge appetite for consumptive imports from industry and commerce, leaving the country battling with limited hard cash to sustain economic requirements.
Zimbabwe has so far raked in US$ 6, 1 billion from foreign currency earnings through exports and diaspora remittances, according to the official data from the central bank.
However, of concern is the current limited foreign currency in the economy despite the 25 percent rise in the foreign exchange inflows.
That the ordinary man on the street is also wondering whether the foreign currency earnings are positively affecting economic recovery is also another area of concern from economic observers.
“It is the ever rise in consumptive imports mainly groceries that has resulted in foreign exchange earnings being severely constrained. So it is all about what we can do to balance the act between the limited forex and the need to focus on the growth of the economy in the short to long term,”,” an economic analyst, Professor Ashock Chakravarti.
According to the Reserve Bank of Zimbabwe data, the US$ 6 billion foreign currency earnings realised by Zimbabwe so far is also even high compared to other African economies whose annual export receipts are averaging US$1,8 billion.