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THE Reserve Bank of Zimbabwe (RBZ) allocated a combined US$76 million in March in the Main Foreign Exchange Auction and Small to medium enterprises (SMEs) Foreign Exchange Auction.
The cumulative foreign exchange auction allotments since inception of the Foreign Exchange Auction System stand at US$3 921 551 885.52.
The RBZ introduced the auction platform in June 2020 to improve productive sector accessibility to the much-needed forex.
Companies or businesses in the productive sectors such as mining, agriculture as well as agro-industrial sector need foreign currency to import critical raw materials, consumables, machinery and equipment, among others.
In an update, RBZ governor, Dr John Mangudya said US$67 709 374 was allotted to 410 beneficiaries under the Main Foreign Exchange Auction and US$9 004 678 to 503 beneficiaries under the SMEs Foreign Exchange Auction.
Total foreign exchange payments for the period 1 to 31 March 2023 were US$784 653 133.
Giving a breakdown, Dr Mangudya said payments to foreign currency accounts totalled US$687 113 671, Foreign Exchange Auction Allotments (US$76 714 051) and the interbank market was US$20,825,465.
“The bulk of the auction allotments during the month of March 2023 (67 percent ) was for payment for raw materials (US$39 794 973) and machinery and equipment (US$14 612 483), with the remaining 33 percent of the total allotments going towards payment for services (US$5 495 066), consumables (US$5 843 474), retail and distribution (US$8 376 266), pharmaceuticals and chemicals (US$2 268 301) and packaging (US$3 280 141),” he said.
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