adminHarare Bureau
ZIMBABWE’S overdue export receipts as at December 31 amounted to $318 million, a situation that has compounded the current liquidity crunch, the central bank has said. Acting Reserve Bank of Zimbabwe Governor Dr Charity Dhliwayo last week said the delay by some exporters to repatriate proceeds from exports has compounded the liquidity situation. Exporters are required to repatriate proceeds 90 days from the date of export.
“The liquidity situation has, however, been further amplified by delays in the repatriation of proceeds by the country’s exporters,” said Dr Dhliwayo. “Notably, overdue export receipts as at 31 December 2013 stood at $318 million.
In view of the need to improve the country’s liquidity situation, exporters are required to comply with Exchange Control regulations through the timely repatriation of export proceeds.”
Dr Dhliwayo said the Reserve Bank would soon introduce an appropriate monitoring mechanism to ensure exporters comply with the necessary regulations.
The country continues facing persistent liquidity challenges largely on account of export performance which compares unfavourably with growing import dependence.
According to preliminary figures released by Zimbabwe National Statistics Agency, the country’s trade imbalance is likely to rise by 16 percent in 2013 in comparison to the previous year.
The trade deficit is seen at $4,2 billion compared to the 2012 figure of $3,6 billion. Total imports last year are expected at $7,7 billion, a two percent rise from last year’s figure of $7,4 billion. The rise in imports was mainly due to an increase of fuel imports.
Total exports are expected to decline by nine percent from 2012’s total exports of $3,8 billion to $3,5 billion this year.
The decline is being attributed mainly to low mineral export revenues as a result of substantial decline in the prices of international commodities especially the fall in platinum and gold prices of nickel. Total trade is expected to declined by 1,3 percent this year from $11,3 billion to $11,2 billion.
The country has not been receiving substantial investments and remittances from Diaspora, the major sources of liquidity, particularly for countries using foreign currencies.
Zimbabwe adopted a multi-currency regime on January 29, 2009 in the wake of the sanctions-induced collapse of the Zim dollar, and of the four currencies adopted – the South African rand, the Botswana pula, the British Pound Sterling and the US dollar – it is the greenback that has become the main medium of exchange.
Last week, Dr Dhliwayo also added the Australian dollar, Japanese yen, Indian rupee and Chinese yuan into the foreign currency basket.
Online Reporter