RBZ hikes penalty for exchange control offenders

Zimbabwe recorded a 23,1 percent increase in foreign currency receipts during the first-half against the same period last year, underscoring growing confidence in its formal channels while demonstrating the resilience of the external sector.

 

From January to June, total foreign currency inflows reached US$7,25 billion, up from US$5,89 billion in the same period of 2024.

 

Export earnings accounted for 54,5 percent of total receipts, amounting to US$3,95 billion, a 25,7 percent rise on the back of surging gold and platinum deliveries.

 

Gold exports alone jumped 57,6 percent to US$1,38 billion, while platinum receipts rose 24,9 percent to US$797 million, buoyed by bullish prices of gold and record output in both sub-sectors.

 

Mining exports overall contributed US$2,81 billion, up 38,6 percent year-on-year.

 

International money transfers, comprising diaspora remittances and non-governmental organisation inflows, totalled US$1,64 billion, representing 22,7 percent of total receipts, as personal transfers surged 8,4 percent. A 1,1 percent dip was recorded in NGO inflows.

 

Total diaspora remittances totalled US$1,09 billion, up 8,4 percent year on year from just over US$1 billion in the same period in 2024.

 

Reserve Bank of Zimbabwe Governor, Dr John Mushayavanhu, hailed the uptick in his 2025 mid-term policy review.

 

“It is a clear vote of confidence in Zimbabwe’s formal remittance channels,” noting that “The sustained inflows have been critical in replenishing our reserves and smoothing exchange-rate volatility.”

 

Strong external inflows have underpinned a 150 percent jump in foreign currency reserves, from US$285 million in April 2024 to over US$730 million by June 2025.

 

“Maintaining and growing reserves remains a top priority,” Dr Mushayavanhu emphasised. “We will continue to accumulate foreign currency reserves to meet the regional benchmark of three to six months of import cover, ensuring enduring stability of the ZiG.”

 

Economist Sarah Chibhabha said: “It is a testament to Zimbabwe’s improving competitiveness. Exporters are capitalising on higher commodity prices and seamless formal channels, which bodes well for external debt servicing and investor sentiment.”

 

Banker Raymond Madziva remarked: “The rise in diaspora remittances reflects greater trust in licensed transfer operators and more attractive exchange-rate spreads. This trend is crucial in bridging funding gaps for SMEs and households.”

 

With the current account surplus projected to edge higher, from US$501,2 million in 2024 to US$621,7 million in 2025, Zimbabwe is poised to weather external headwinds more effectively.

 

Dr Mushayavanhu reiterated that policy consistency, “walking the talk”, and continued stakeholder engagement remain central to sustaining these gains.

 

He added: “We remain agile, ready to respond to global uncertainties, but our framework of prudent reserve-money management and market-determined exchange rates provides a solid anchor for future inflows and economic stability.”

The Herald