The Reserve Bank of Zimbabwe (RBZ) on the 16th of April issued an update on the central bank’s reserve money.
The central bank observes that Reserve money increased by ZW$1.83 billion to ZW$21.90 billion, as of the week ending 16th April 2021, reflecting increases of ZW$1.63 billion and ZW$201.12 million in banks’ liquidity (RTGS balances) at the Reserve Bank and statutory reserves, respectively.
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RBZ attributes the increase in reserve money to the payment of monthly wages and salaries of civil servants by the Government.
The fall in Government deposits at the RBZ by ZW$4.71 billion during the week, was consistent with this development, which injected liquidity into the market.
Partially offsetting the increase in liquidity were mopping up operations by the Bank, which resulted in an increase of ZW$2.32 billion in savings bond issuances during the week under review.