Reserve Bank of Zimbabwe : Money Update as at 19 February 2021

UPDATE ON RESERVE MONEY

AS AT 19TH FEBRUARY 2021

RESERVE MONEY

• 1. Reserve money for the week ending 19th February 2021 increased by ZW$1.004 billion, to ZW$19.91 billion. This largely reflected increases of ZW$819.40 million and ZW$225.74 million in banks' liquidity at the Reserve Bank (RTGS balances) and currency issued, respectively.

• 2. The increase in reserve money was largely attributable to payment of salaries, wages and other expenditures by Government, which saw the Government deposit at the RBZ declining by ZW$5.12 billion, thus, injecting liquidity into the market. This was, however, significantly offset by net OMO savings bonds issuances amounting to ZW$4.89 billion, which had the opposite effect of withdrawing liquidity from the market.

  Table 1: Reserve Money Developments (ZW$ Billions)

PRELIMINARY ESTIMATES

Currency Issued by RBZ

1.67

1.90

2.06

2.14

2.12

2.13

2.38

2.81

2.71

2.93

PRELIMINARY ESTIMATESReserve MoneyMemorandum Items

Monthly Inflation (%) - Blended

Inter-Bank Exchange Rate

12.65

16.15

12.38

12.73

29.4

16.7

1.4

-0.5

57.36

76.76

83.40

81.44

*Provisional until audit is completed.

15.52

18.42

18.76

1.4

2.2

2.8

81.35

81.82

81.79

21.93

18.90

2.8

0.7

82.68

83.37

19.91

0.7

83.76