RBZ plans forward market

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AS government’s quest for an optimal foreign exchange market continues, the Reserve Bank of Zimbabwe (RBZ) this week announced plans for a forward market.
A forward market sets a spot price for an asset for future delivery, meaning parties would agree on an exchange rate today, for a transaction to be executed at a future date.

“Having noted the widespread use of forward pricing in foreign exchange by some economic agents, the monetary policy committee (MPC) resolved that to formalise forward pricing, arrangements should be created through the development of a market for forward exchange rates,” RBZ governor