A lasting solution to a stable exchange rate is now long overdue for a stable inflationary environment.
A gradual approach is needed to achieve an effective and efficient exchange rate market, as it is not a one size fit all.
CZI proposes a true liberalisation of the foreign exchange market where banks act as matchmakers linking buyers and sellers of foreign currency.
The central bank’s role will only be limited to using monetary policy instruments (adjustment of interest rates, reserve requirements, bank lending levels, open market operations such as treasury bills and selling or buying foreign currency on the market
Benefits of a liberal foreign exchange on economic stability
CZI would like to underline their commitment to continuous, pro constructive engagement with government on all economic policy fronts in pursuit of the country’s economic growth targets.
CZI’s position on the local currency is that we must DEFEND OUR CURRENCY in a multi-currency environment and strengthen the economic fundamentals that support any currency in use.
Such fundamentals include prudence in money supply, a market-determined or liberal foreign exchange market, foreign exchange reserves and central bank transparency, especially on debt and liabilities.
Continued next page
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This post was last modified on April 26, 2022 4:41 pm
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