Addressing the question of current cash shortages, Chinamasa said Zimbabwe’s foreign currency exchange market had been “over liberalised,” opening doors for abuse.
As a result, government was working towards restricting use of foreign currency, especially on imports of goods deemed to be non-critical.
“Hard earned foreign currency comes from the export of five products, but what were we using it for? To buy anything that one could think of, something that is not critical to the economic development of our country,” he said.
“We want to use our hard earned foreign currency to buy only those things which can recover our economy, which can grow our economy.”
Importation of raw materials and equipment for industry sere top priorities, he said.
The appreciation of the United States dollar against the depreciation of the South African Rand, Chinamasa said, had further worsened the situation for Zimbabwe.
“We became a very expensive tourist destination and an expensive producer,” he said.- The Source
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