THE Confederation of Zimbabwe Industries (CZI) has said the projected inflation targets of between 25 and 35 percent by year-end are achievable, if market-oriented policies and strategies to control the exchange rate and money supply growth are adopted.
The country’s largest business member organisation by subscribers said the government must stop relying more on statutory instruments.
“Exchange rate determination outside the market system creates incentives for arbitrage and moral hazard, as economic agents seek to exploit access to cheaper foreign currency,” CZI said.
The organisation said the Dutch foreign currency auction should be allowed to produce a credible exchange rate, which can be used by the market, while eliminating the parallel market premium, which is the largest source of inflation pre
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