STAFF WRITER
Zimbabwe conducted its first foreign currency auction on Tuesday with the local dollar trading at an average of 57.4 to the United States dollar, ending a fixed exchange rate of ZWL$25:US$1.
In June last year, Zimbabwe outlawed the use of foreign currencies and re-introduced the Zimbabwe dollar, which was abandoned in 2009 due to hyperinflationary pressures. But in March this year government temporarily re-introduced the use of the foreign currencies as a medium of exchange as part of efforts to deal with coronavirus.
Government announced a fixed rate at ZWL$25:US$1.
Foreign currency auctions were announced last week.And at the inaugural weekly auction on Tuesday, bids amounted to US$11.4m, while US$10.3 was made available.
The highest bid was ZWL$100:US$1 and the lowest bid was ZWL$25:US$1.
