Macroeconomic Forecast Zimbabwe

February 2007 | Macroeconomic Forecasts

Official statistics remain non-existent, other than questionable monthly inflation figures, which show a current rate of 1,281.1% y-o-y, the highest in the world. The domestic markets are nervous ahead of an impending Monetary Policy Statement from RBZ, which many suspect will introduce a new currency, further statutory impositions on the beleaguered banking sector, which the government has squeezed to provide unwilling finance to the exchequer. The parallel market exchange rate has slipped to around ZWD4,000/US$: compare and contrast to the official rate of ZWD250/US$. RBZ will probably seek to paper over the cracks with a redenomination, but only chaos will

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