Business

HARARE – Prospects of Zimbabwe’s economic revival remain gloomy with developments indicating a tough time ahead, economic analysts say. Among the challenges, the economists say the country faces a widening trade deficit, dwindling revenues, deflation, lack of aggregate demand and an acute liquidity crisis. President Robert Mugabe’s administration expects the country’s economy — still suffering a hangover…

HARARE – Zimbabwe’s total gold earnings slumped 20 percent to $626 million last year from $783 million realised in 2012, latest Chamber of Mines (CoM) figures reveal. This comes as escalating production costs, limited access to long-term capital and depressed global metal prices continue to threaten the mining industry’s viability, though, some major gold producers…

HARARE – Edgars Stores Limited (Edgars)’ South African-themed Jet stores performed below expectation as the unit’s profit slumped 40 percent to $522 527 in the 52 weeks to January 4, 2014 from $869 224 recorded in prior comparable period. The Zimbabwe Stock Exchange-listed clothing retailer partly attributed the depressed performance to start up costs associated…

HARARE – Zimbabwean banks are in negotiations with China and India for supply of the countries’ currencies. This comes on the back of the Reserve Bank of Zimbabwe (RBZ)’s addition of four new currencies — Chinese yuan, Indian rupee, Japanese yen and Australian dollar  — to the country’s multi-currency basket. In 2009, the country abandoned…

HARARE – Government has closed its CBZ Bank (CBZ) account, a move the financial institution said will not affect its business. CBZ has since 2009 been acting as the State’s bankers following the Reserve Bank of Zimbabwe (RBZ)’s undercapitalisation and subsequent failure to perform its lender of last resort role. The Zimbabwe Stock Exchange-listed CBZ…

HARARE – Allied Financial Holdings (AFH) says Terence Mukupe’s appointment as the group’s chief executive — under a deal with a Mauritius-based consortium — is expected to bolster the institution’s operations. Farai Mutamangira, AFH’s chairperson, said the coming in of Mukupe “reaffirms our commitment to building a much stronger institution”. Mukupe, leading the consortium that…

HARARE – Zimbabwe must invest its mining revenue into other sectors to curb over-reliance on mineral exports-driven economic growth, according to World Bank (WB). The global financier said while agriculture was the country’s mainstay during the 1990s, the contribution of other sectoral drivers of exports, including manufacturing and services, is much lower. According to the…

HARARE – THE European Union (EU) says it has no plans to extend budgetary support to Zimbabwe’s stuttering industry. Aldo Dell’ Ariccia, the union’s head of delegation to Zimbabwe, said the trading bloc — set to provide $29 million to small-scale local farmers to boost food security — will only assist the industry by way of projects and loans….