Zimbabwe’s Inflation Pressures Soar

Zimbabwe’s inflation pressures continue to rise as the country’s annual broad money supply (M3) rose by 40,8 percent to $9,1 billion in June 2018 from $6,4 billion recorded in same period last year.

The Reserve Bank of Zimbabwe (RBZ)’s monthly economic review for June reported that the M3 rise reflects yearly increases in transferable deposits of 93,31 percent and negotiable certificates of deposits (NCDs) 1,79 percent.

Said RBZ:

“Bond notes and coins circulating outside the banking system increased from $175,8 million in June 2017, to $379,2 million in June 2018.

Month-on-month, broad money increased by 6,84 percent from $8,5 billion in May 2018 to $9,1 billion in June 2018.

Households accounted for 23,3 percent of total domestic credit on a sectoral basis, followed by agriculture, 17,33 percent; distribution, 13,69 percent; financial organisations and investments, 12,74 percent; services, 11,97 percent; manufacturing, 11,31 percent; mining, 4,16 percent; construction, 2,44 percent and transport and communications, 1,89 percent.”– Nehanda Radio