Relief for consumers as exchange rate stabilises

SAMUEL NJINGA IN MASVINGO

The Confederation of Zimbabwe Retailers president, Denford Mutashu, has said the current exchange rate stability has brought a sigh of relief to both the business sector as well as consumers.

He said that some prices are starting to decline on the market. As a result, the development will significantly contribute to the nation’s economic stability.

“This is a very good development for us. We can now afford to do business in a far much better way following this economic stability,” Mutashu said.

He added: “We have witnessed a significant 5% drop in the prices of basic commodities since last week.

“The moment this happens it creates affordability on the part of the consumers.

“It instills confidence for them (consumers) to increase their buying power. It also implies that there is an increase in demand. We therefore have to fulfill the law of supply and demand.

As we do so we are enabled to thrive hence we are in a position to witness market expansion,” Mutashu said.

He said the decrease in the price of basic commodities particularly in the United States dollar is a good pointer

to economic growth but warned retailers to desist from overcharging.

This comes as a survey done by the Consumer Protection Commission revealed that the retail price of most of the basic commodities has fallen down.

As of Tuesday, a 10kg bag of mealie meal was ZWL$39 239 from ZWL$56 772 in June. A 1kg pack of sugar was ZWL$10 680 from ZWL$15 200 in June. A 2-litre cooking oil bottle was ZWL$17 000 from ZWL$22 000 in June.

“We look forward to seeing this trend going (price reduction) in order to influence economic growth.

If this happens it means that our consumers and business sector in particular will begin to enjoy sound international relations with other countries,” said Rosemary Mpofu, Consumer Council of Zimbabwe executive director.

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