Govt measures paying off as prices continue falling

Rumbidzayi Zinyuke Senior Reporter

The prices of basic commodities have continued to fall on the back of corrective measures implemented by Government to tame inflation which had been fuelled by unscrupulous business practices.

Speaking at the last briefing of the current Cabinet yesterday, Information, Publicity Broadcasting Services Minister Monica Mutsvangwa said the downward trend in prices was still being registered.

“The corrective measures implemented by Government following a spike in the prices of basic goods and services around June 2023 have seen the prices continue to go down, as reported by the Minister of Industry and Commerce, Honourable Dr Sekai Nzenza.

“The prices of bread, cooking oil, sugar and mealie-meal, among other basic commodities, have tumbled, with the price of mealie-meal declining by 27 percent,” she said.

In May, Government engaged the private sector over the arbitrary escalation of prices which has put most basic commodities beyond the reach of many.

This had resulted in significant increase in the prices of basics such as mealie-meal, sugar, bread, cooking oil among others in local currency as retailers used the parallel market rate to determine the price.

Minister Mutsvangwa said the resultant monetary policy measures implemented by the central bank had gone a long way in bringing sanity to the industry.

“Government adopted some tough monetary policy measures that targeted the speculative pricing of goods and commodities and resulted in a spike in the exchange rate. Cabinet is pleased that the measures have been effective in curbing the price increases, and that the foreign currency exchange rate remains stable. This is testimony of the Second Republic’s sound management of the economy,” she said.

The Zimbabwe dollar has strengthened considerably over the last few months to trade at US$1: $4 571 yesterday, from US$1: $6 713 on June 16.

Consumers expressed their pleasure in the continued decline in prices of commodities.

“I am happy that prices are still going down and we can now afford to buy basics. I remember at one point things had become so expensive that we had to forgo bread so that we could survive,” said Mr Phenias Mabeza from Mabvuku.

Another resident Ms Juliet Sibanda said Government’s interventions had come at the right time.

“We are really grateful to the Government for coming to our rescue. It is true that prices are coming down and we really hope this will continue,” she said.