BUSINESS NEWS 

Tagwirei-linked Landela Takes Over 4 State-Owned Gold Mines

Zimbabwe’s Landela Mining Venture is slated to take over four idle state-owned gold mines after reaching agreements with the state. The mines were put up for sale in 2018 but the government cancelled the process last year without giving a reason. The unlisted Landela which is majority-owned by Kudakwashe Tagwirei, an adviser to President Emmerson Mnangagwa is also said to be in talks to buy more assets from a privately-owned bullion producer. The development was confirmed on Friday by the company’s chief executive David Brown, who told Reuters that Landela’s…

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BUSINESS NEWS CRIMES AND COURTS 

RBZ conversion of USD balances to RTGS ‘invalid’, High Court rules

HARARE – Fiscal and monetary changes announced by the Reserve Bank of Zimbabwe on October 1, 2018, including a 2 percent tax on money transfers and conversion of account balances into RTGS “manifestly violate the right to property” and are invalid, the High Court said in a far-reaching judgement delivered on Thursday. Exchange Control Directive RT120/18, which was contained in Statutory Instrument 109 of 1996 issued a few days later on October 4, caused the collapse of the surrogate bond note currency on the black market even as authorities said…

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BUSINESS NEWS TOP STORY 

German firm prints, delivers 60 tonnes of Zimbabwe’s new bank notes

HARARE – According to ZimLive, Zimbabwe on Thursday received 60,000kg (60 tonnes) in freshly-printed higher denomination bond notes, which the central bank says will go into circulation at the end of the month. The RBZ announced last week that Z$10 and Z$20 bond notes were being printed to complement the Z$2 and $5 notes which have become valueless as the inflation-hit currency continues its side. The new notes were delivered to Robert Gabriel Mugabe International Airport on Thursday morning by a Boeing 747-48EF(SCD) cargo plane which flew out of Leipzig…

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BUSINESS NEWS 

Econet raises data prices by 225 percent as Zimbabwe reels from Covid-19

HARARE – Econet Wireless hiked data prices by up to 225 percent overnight Tuesday – sparking anger from hard-up Zimbabweans. The increase in data costs could not have come at a worse time for Econet customers who are in the middle of a coronavirus-induced lockdown that has forced many to conduct business online, including universities and private schools. There was no explanation for the sharp price increase, but in a letter to its suppliers on April 20, Econet said it was experiencing “difficult trading conditions” occasioned by a “harsh economic…

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BUSINESS NEWS 

We will enforce price control : VP Mohadi

Government has said it will have to enforce price reductions as some shops were not adhering to the price moratorium which they had committed to. The moratorium seeks to control pricing of basic commodities. The Government announced a moratorium of prices on basic commodities that were spiralling out of control without justification. In line with the move the private sector agreed to revert to prices that were prevailing on 25 March 2020. Speaking on Friday at Gwanda Provincial Hospital during a visit to monitor progress in fighting Covid-19 Vice-President Kembo…

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BUSINESS NEWS TOP STORY 

‘Zimbabwe Is On The Brink Of Collapse’, Mthuli Begs For Financial Bailout

The Zimbabwean government has appealed to the International Finance Institutions (IFIs) for a bailout package, concerned that it was close to collapse without an urgent stimulus rescue package. This was revealed in the April 30 edition of the “Africa Confidential”. The publication said Finance Minister Mthuli Ncube wrote to the International Monetary Institution, World Bank and African Development Bank highlighting the country’s precarious financial position and pleading for cash. Part of the report read: In an extended ‘mea culpa’ on behalf of President Emmerson Mnangagwa’s government, Finance Minister Mthuli Ncube…

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BUSINESS NEWS 

Zimbabwe stock market suffers $1 billion loss

Investors on the Zimbabwe Stock Exchange (ZSE) lost a cumulative $1 billion in the week to Wednesday as stocks traded mixed amid uncertainties brought about by the Covid-19 pandemic. World over, investors have incurred huge losses following the outbreak of the Covid-19 pandemic which has caused severe disturbances to economic activity. The World Bank already sees the sub-Saharan Africa region’s economic growth fall sharply from 2,4 percent in 2019 to between -2,1 percent and -5,1 percent in 2020. Agriculture is also expected to significantly contract due to disturbances caused by…

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BUSINESS NEWS INTERNATIONAL NEWS 

RAND CRASHES TO ALL-TIME LOW AFTER MOODY’S PULLS THE PLUG

JOHANNESBURG – The rand plunged to an all-time low on Monday, falling below R18.00 to a dollar after ratings firm Moody’s cut the country’s last investment grade credit rating to “junk”, adding to mounting panic about the coronavirus outbreak. At 0913 GMT, the rand was 0.97% weaker at R17.8300 per dollar, pulling back from the all-time low of R18.0800 it crashed to in Asian trading. Late on Friday, Moody’s downgraded the rating one notch to Ba1 from Baa3 and maintained a negative outlook. S&P Global and Fitch downgraded Africa’s most…

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