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Govt Threatens Businesses For Selling Commodities Exclusively In U.S. Dollars

Govt Threatens Businesses For Selling Commodities Exclusively In U.S. Dollars

Finance and Economic Development Minister, Professor Mthuli Ncube Tuesday said the government would not hesitate to withdraw trading licences of businesses that were selling their commodities exclusively in United States dollars.

This comes after Schweppes Zimbabwe Limited had indicated that it was selling some of its products exclusively in USD despite paying no duty on imported oranges and grapefruits.

Speaking during a post-Cabinet media briefing in Harare, Ncube said:

We are quite aware that some retailers are putting stickers to say this product can only be bought in US dollars. I want to make it clear and categorical that it is totally unacceptable, and as a government, we will not allow that.

 We will withdraw licenses, and already we have withdrawn the duty rebate licenses so as to allow companies to import. We will not allow this. They are breaking the law. The law says that citizens or anyone approaching a shop should be able to use currencies within the multi-currency regime. We absolutely cannot tolerate this kind of nonsense.

Retailers and wholesalers have been charging selected products such as sugar, milk, cooking oil and others in US dollars saying they were ordering the products from manufacturers in US dollars.

Analysts say the local market was self-dollarising raising fears that the local currency could be ditched again.

The Reserve Bank of Zimbabwe (RBZ) is against the idea of fully dollarising saying it would worsen the scarcity of foreign currency as the case was around 2016.

RBZ chief, John Mangudya recently said:

We do feel the pain of this economy and because we feel the pain of this economy that is why we are doing all we think is necessary for this economy to recover.

This economy has no capacity to fully dollarise. The preference might be there, which is emotional. I feel the emotion but the capacity to re-dollarise this economy is not there.

Zimbabwe will become a supermarket economy (if the country re-dollarises). We have been there before and that journey is a painful journey which as a governor of the Central Bank I will not propose to the August House. It is an easy way out, but the wrong way out.

Zimbabwe imports most of the goods and services consumed locally hence the high demand for foreign currency. Analysts say the anomaly can only be corrected by reviving the collapsed local industry.

Pindula News

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Ginious 1 month ago

History repeating itself.soon sauti nemachisi ndozvichasara mumashops

Imwe Mbeu 1 month ago

Hey guys, we have killed one of the three lions dziya dzeRenco. They're now in Vili-vili (Mwenezi District) so we trapped them with a donkey and managed to shoot dead one. Otherwise how are you all

Da Truth 1 month ago

🦁🦁🦁Lion King

dispenser 1 month ago

Magudya is a liar. When the country dollarised during e time when Biti became finance minister, There were no longer any functional company in the country bz of the former bearer checks of Gono. Dollerisation brought back most of private companies to their operations except parastartals like CSC wc were killed by corruption

Duduzani 1 month ago

Those legal shops and supermarkets selling in RTGS they use black market rate which is far from reach of many, otherwise majority of tuckshops aren't regularised or using those so licences you threaten to revoke, so how will you catch them?? Let's live a reality life.

student 1 month ago

@lmwe Mbeu is the donkey still safe or alive? if dead u guys r heartless by right you should have sedated the lion n release at a game park

Citizen 1 month ago

donkey, cowbell. on a high alert . we are kill the remaining 2 lions. problems too many.

Imwe Mbeu 1 month ago

It's safe. It had a cowbell so we were on high alert



This is not time to threaten each other rather time to find out why our currency is not performing well while currencies for other countries like Zambia are doing well.

I suspect Economic Minister, Mthuli Ncube is applying his economics by the book instead of doing his economics situationally.




Yours faithfully
William Sonboy CHINEMBIRI

mazoe citrus 1 month ago

it's a big shame we are now importing oranges and grapefruit with the best land and climate for agriculture

fun time 1 month ago

How many professors in the world are running ministries of ffinance? The profs that I know of have been very successful in their departments. They are at least pro active and not reactive. This particular Prof Ncube seems to have failed to defend his thesis where he should be correcting and directing research on more complex finance or economic issues for PhD students and aspiring professors who struggle and prevail in their research advancement but with limited resources. Prof Ncube has abundant resources the country has to offer and free advice from all over the world that we should be the envy of western powers in terms of record breaking economic development.

Ras Tiraz 1 month ago

Even if they import oranges duty free,they wont buy them with bond notes or ecocash

Gafa 1 month ago

Kudzokorora zvakatadziwa nanaGono futi Zanu chituko munyika ino chokwadi price controls yu wek up with nothing in shops chero ukatora ma licences the masses wil demand mealie meal fro you next.****ish Proffesor we****

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