President Emmerson Dambudzo Mnangagwa has cut the Reserve Bank of Zimbabwe (RBZ)’s powers.

He exercised this through Statutory Instrument (SI) 108 of 2023 under the Presidential Powers (Temporary Measures) (Amendment of RBZ Act) Regulations, 2023.

The RBZ Act [Chapter 22:15] (No. 5 of 1999) is amended in section 7 (“Powers of Bank”)(1) by the insertion of the following provision to paragraph (n) i) which Provides that—

(i)The Bank shall only borrow forex on behalf of the State at the instance of the Minister, & not on its own behalf;

(ii)if such borrowing affects the reserve requirements of section 49(2)(a), sec 49(3)(a) shall apply to suspension of the reserve requirements;”.