Zim dollar slightly eases against US dollar

THE Zimbabwe dollar slightly eased against the United States dollar at the weekly foreign currency auction platform to trade at 85,42 on Tuesday compared to last week’s 85,36.

Data provided by the Reserve Bank of Zimbabwe after Tuesday’s auction, shows that a total US$41,9 million was awarded to bidders at both the small to medium enterprises (SMEs) and the main auctions.

Last week, a total of US$44,8 million was allotted at the two auctions.

In its latest regular update, RBZ indicated that a total of 331 bids were allotted at the main auction while 520 were allotted at the SMEs auction.

The bulk of the forex that companies source at the auction is largely for critical raw materials procurement.

At this week’s auction, US$14,3 million was for critical raw materials sourcing by the productive sector compared to US$16,4 million at last week’s auction.

A total of US$8,9 million was allotted for machinery and equipment procurement down from last week’s US$10,3 million.

Consumables (spares, tyres and electricals) allotment was up US$5,5 million compared to US$4,5 million last week while US$3,6 million was allocated to the retail and distribution sector (food and beverages, among others compared to US$4,2 million allocated last week.-chronice.cl.zw