The foreign currency auction system introduced by the RBZ in June 2020 has been at the centre of most discussions for quite some time now.

Hawkish stance from monetary authorities usually sees the exchange coming off.

Gold has always been one of the highest foreign currency earners for Zimbabwe with two-thirds of the 35,1 tonnes produced and exported in 2022 coming from the small-scale miners.

Selling and distribution expenses also soared and contributed to the depressed operating margin.

Among other sectors, the mining, construction and energy industries are attracting domestic and foreign capital, according to the report.

The company’s ability to compete with the smaller informal players, especially in the dry groceries sector is also limited by the restrictions by authorities especially relating to exchange rate.

The other pivotal variable in the analysis will be the share price change of the counters.

REITs in Zimbabwe are obliged to dish out to their unit holders a minimum of 80% of their distributable income,

Due to the high cost of borrowing in local currency, economic agents have found themselves borrowing and lending in foreign currency.

It now seems very clear that the company will voluntarily delist from the bourse.

It is now common practice in Zimbabwe that some locally manufactured products can now only be found at the tuckshops and not in the formal retail outlets.

This explains why South Africa is our biggest trading partner and we import billions worth of finished goods from them.

Econet Wireless and Cassava Smartech, now Ecocash Holdings, is another classical example of the divide and create value rule.