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Mangudya "Smells" Success At The Reserve Bank Of Zimbabwe

Mangudya

Reserve Bank of Zimbabwe (RBZ) Governor John Mangudya believes he has been very successful in both his first snd second terms as Central Bank boss.

Mangudya’s first term of office ran from 2014 to 2019. This was when the RBZ introduced bonds notes and attempted to de-dollarise the economy.

Speaking on Alpha Media Holdings chairman Trevor Ncube’s programme, In Conversation with Trevor, Mangudya said he has managed to tame inflation from 87% in July 2020 to 58% in November 2021. He said:

The first term of office, 2014 to 2019. It was a period where Zimbabwe was using dollarisation as a means of economic set-up.

Therefore, the impact of the monetary policy was not felt much in the economy because we were using dollarisation for most of the term, 2014 to 2018.

We only removed dollarisation in 2019.

Therefore, you will find the first term of office we had deflation.

Whilst lots of people want dollarisation, but we had deflation most of the part of my first term, it only ended in 2017 after we introduced the currency of bond notes in 2016.

The whole idea there was to ensure that we pump up the economy, we inject some liquidity in the economy, that is what happened, of which by that time the first term was so different from the second term.

The second term is basically where we have our own local currency as our functional currency and, therefore, the impact of the monetary policy and its transmission is now being felt in the economy.

Therefore, our success during this second term is basically that we have managed to reduce inflation from the 87% in July 2020, down to 58% now in November 2021.

That is a very significant decrease, significant work in discharging our remit as a central bank, and together with the government we have put in place well-coordinated fiscal and monetary policies that worked very well to ensure there is fiscal consolidation by the government, and there is conservative monetary policy stance to ensure we tame inflation.

That combination, that strong coordination between the two, fiscal and monetary policies by the government and central bank helped the economy to be where it is today.

So yes, today we can say we are smelling success of our coordination of policies, which is what any country should do.

More: The Standard


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17 Comments

Zman 5 months ago

Hezvoness ko blaz ava zvevanotopenga nhaimi koblaz zvavanotopengazve


Tendai Biti 5 months ago

Iri idofo iri ,hapana zvaanoziva.Anoita kuenda pagoogle kunobvunzira how to fix the economy.Am sure he was the worst student in his Economics class kuNight school.


Magudya 5 months ago

Sorry Guyz ,hapana andisapota.


Dr huni 5 months ago

Hapana kwatirikuenda zveshuwa


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Confucius🙄Confuse-us 5 months ago

Mangudya=Dr Nostro
Ncube= Professor Vostro
Whatever that means, these 2 dudes so ka🤣🤣🤣 ndovanhu vanozvifonera manje and vanenge vari completely detarched from the world of reality. Vari muZimbabwe here vanhu ava? Asi vanogara kumwedzi?🤣🤣🤣


Black Jack 5 months ago

Minister ve Finance vari kuwirirana here nezviri kutaurwa nava Mangudya. Kana kuti vari mu Confusion Zone like us. Imi vama Ngudya ka isu hatikutukei. Asi Kungosiya basa Henyu. Basa Moripa kuna Mr. Nostro. kkkkkkk


Black Jack 5 months ago

Minister ve Finance vari kuwirirana here nezviri kutaurwa nava Mangudya. Kana kuti vari mu Confusion Zone like us. Imi vama Ngudya ka isu hatikutukei. Asi Kungosiya basa Henyu. Basa Morita kuna Mr. Nostro. kkkkkkk


No comment 5 months ago

Success doesn't need to be smelled.....it self evident...stop taking us for fools & embarrassing us


### 5 months ago

Ummmm mkoma jonso musatisemese nhaika ma 2bond ari kupi izvezvi nema 5 aya saka musade kunyepera vanhu mkuuraya nyika nekupusa kwenyu ikoko ---dzoro renyu


007 5 months ago

I still remember kushandisa ma usd kuchisungisa ko zvakaenda nekupi

Shampoo 5 months ago

kkkkkliwe Mangudya Zimbabweans are the most educated people. What did you achieve???? nema BOND. People ignored you and are using US$s everywhere. Mabond ako are a disappointment. Tangomirira kuti US$ ive mari ye Zimbabwe. ZVEMA BOND AKO AYO ZVARAMBA.


Cityzen 5 months ago

Mmmm zvipiko aMangudya success ipi yamotaura.


Chapwititi 5 months ago

Mamwe maAchievements ka ,unobvawashaya kuti zvirikumbofamba sei,Hanzi ndaka introducer currency.Saka marengenya atirikushandisa aya,icurrency nhai.VaMagudya musadaro,zvinonyadzisa kuti mumhu uzvipembedze wega,nxaa


Gushungo 5 months ago

Kana nhunzi (house fly) ikanhuwidza chakawora inongotiwo "I am smelling success", yet zvinenge zvichinhuhwa.


chiwenga 5 months ago

zvanhasi ndimi mukupisa mdhara

007 5 months ago

Kkkkk😂😂😂😂😂

Bush analyst 5 months ago

NHM



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