Zim’s local currency continues to depreciate

The country’s economy sank deeper in the second quarter of the year with gross domestic product (GDP) at market prices nearly halving to US$3,28 billion from the previous period on the back of a depreciating local currency, latest trade data shows.

In the first quarter GDP at market prices was at ZWL$6,65 trillion or US$7,15 billion.

GDP rebounded in the third quarter to ZWL$41,35 trillion or US$7,56 billion at market prices at a time when fiscal and monetary authorities implemented measures to halt the sharp depreciation of the local currency.

As of November 30, Treasury revealed in the 2024 national budget that the nominal GDP at market prices was ZWL$119,01 trillion or US$20,55 billion.

Responding to X Business during the presentation of the third quarter GDP estimates, ZimStat national accounts and analysis manager Tapiwa Gumbo said the International Monetary Fund (IMF) had a look at its methodology and approved the findings.

Apparently, renowned American economic analyst Steve Hanke says it is time the country fully dolarise.

However, President Emmerson Dambudzo Mnangagwa is on record saying he will not dump the country’s local currency.

He maintains that the multi urgency will be in place until 2030.

Meanwhile, below is the figures to do with the gold coins and gold backed digital tokens prices according to the Reserve Bank of Zimbabwe.

Zwnews