Economic Overview -Zimbabwe
- Y-o-Y inflation was 737.3% as of 30 June 2020 mainly driven by exchange rate depreciation and the re-alignment of prices to the exchange rate. Y-O-Y inflation started declining and was 659.4 % at 30 September 2020.
- Average returns on money market investments stood at 11% (HY 2019: 8%) compared to average annual inflation of 700.1%.
- The Monetary Policy Committee revised the policy rate up from 15% to 35% effective 01 July 2020.
- The RBZ foreign exchange rate as at 30 June 2020 was USD1:ZWL63.7442 representing a 281% depreciation of the ZWL since the beginning of the year.
- ZSE All Share Index returned 677.46% versus YTD inflation of 162%. The above inflationary return was attributed to ✓ Investor hedging against currency weakness. ✓ Asset migration from money market funds to equities due to low returns….Read More
