daniel chigunwe
Business Writer
TRANSPORT and logistics firm, Unifreight Africa, says the introduction of Zimbabwe’s new currency, the ZiG — has opportunities for economic stabilisation and growth. The Reserve Bank of Zimbabwe (RBZ) launched the country’s new unit of account in April this year as part of broader scope to address exchange rate volatility, curtail inflation and restore macro-economic stability.
In its annual report for the year ended 2023, Unifreight said: “While the introduction of the ZiG has presented certain challenges, it has also opened up opportunities for economic stabilisation and growth.
“The ZiG has contributed to the stabilisation of prices and reduced the volatility that businesses have been grappling with. This stability is crucial for planning and executing long-term business strategies.”
The transport and logistics firm said the new currency has also improved liquidity in the market, adding that with better access to a stable currency, businesses have been able to manage their cash flows more effectively, ensuring smoother operations and transactions.
In this context, Unifreight said it is committed to navigating the new economic landscape with agility and foresight, ensuring that the company remains at the forefront of Zimbabwe’s transport industry.
“Unifreight Africa is well-positioned for sustained growth and profitability,” it said.
The transport and logistics firm said its strategic investments in fleet expansion, focus on high-revenue sectors like tobacco, and diversification into cross-border haulage are set to drive significant value for shareholders and stakeholders.
As a result of adopting the new medium of exchange, Unifreight said, businesses have had to adjust their accounting systems, pricing strategies and payment mechanisms to align with the new currency, leading to temporary disruptions.
“While the formal market has shown resilience, the general public’s adaptation to the new currency has been gradual. Educating the populace and ensuring widespread acceptance remain critical for the currency’s long-term success,” it said.
The ZiG’s exchange rate dynamics have impacted the cost of imports and the competitiveness of exports.
Businesses involved in international trade have had to navigate these changes carefully to maintain profitability.
“At Unifreight Africa, we have proactively adapted to these changes by revising our financial strategies and ensuring compliance with the new currency regulations.”
We remain optimistic that the ZiG will foster a more stable and predictable economic environment, enabling us to continue delivering value to our shareholders and stakeholders,” said the company.
Bongani Ndlovu