6 000 firms benefit from RBZ forex system

Source: 6 000 firms benefit from RBZ forex system | Sunday News (Business)

Judith Phiri, Business Reporter
THE  Reserve Bank of Zimbabwe has released a consolidated statement showing that nearly 6 000 companies have benefitted from its Foreign Exchange Auction system since the platform’s formation up to last year.

In an update on Friday, RBZ Governor Dr John Mangudya said that the platform has gone a long way in availing foreign currency to the local market as testified by the 1 822 beneficiaries of over US$1,8 billion allotted under the Main Foreign Exchange Auction.

“The auction system remains the most diversified source of foreign exchange with more than 5 958 entities having accessed foreign currency through the Main Auction and the SMEs Auction. The bulk of the allotted funds (60 percent) has gone towards payment for raw materials (US$857.6 million) and machinery and equipment (US$421.7 million) and the residual 40 percent going towards payment for consumables, pharmaceuticals and other critical needs of the economy,” he said.

The statement said 4 136 companies benefitted from the US$267 395 337 allotted under the SMEs Foreign Exchange Auction. The  schedule showed the total foreign exchange payments by source for the period January 2021 to September 2021 amounting to US$4,9 billion broken down as follows:  foreign currency accounts US$3,1 billion, interbank market US$275,6 million, and the Foreign Exchange Auction System US$1,5 billion.

To date, the top 10 beneficiaries include; Blue Ribbon which has benefitted US$27 million, Varun Beverages US$24,5 million, United Refineries US$21,7 million, CanGrow Trading US$20,6 million, Surface Wilmar US$17,6 million, and Willowton Group Zimbabwe US$17,1 million. The other three are Dairibord Zimbabwe Limited US$16,5 million, Olivine Industries US$16,4 million, Pure Oil Industries US$15,2 million, and ZFC Limited US$13,1 million.