Limited foreign currency is stifling efforts to wipe out a three tier pricing system despite a slowdown in price increases in Zimbabwe since January.
Price increases experienced during the last quarter of the economy have slowed down as government and private sector continue to dialogue for stabilisation models.
However, it is the shortages of hard cash that is still creating challenges in balancing the act between costs and final mark ups, according to Confederation of Zimbabwe Industries President Mr Sifelani Jabangwe.
Confederation of Zimbabwe Retailers President Mr Denford Mutashu says the sudden stabilisation of prices for the 15 basic goods on the monitoring list can be consolidated by removing current distortions affecting pricing models.
The Minister of Industry, Commerce and Enterprises Development Dr Mike Bimha says the government has assured manufacturing firms of increased allocation of foreign currency to sustain production and curb market distortions.
With the year on year inflation rate hovering at 2,98 percent in response to government’s price stabilisation measures, expectations are high government and industry will continue working together for the benefit of the economy.