Zimbabwe Govt Tackles Delta’s Bid to Peg Prices in U.S Dollars

Delta Beverages

Harare: Zimbabwe’s under-pressure government has arm-twisted the country’s biggest beer and beverages company, Delta Beverages, into reversing its plans to dump the bond note in favour of the American dollar.

“Delta Withdraws the notice to sell its products exclusively in hard currency, in the spirit of the multi-currency framework,” Delta’s CEO P.Gowero confirmed in a statement.

The company had cited insufficient foreign currency allocations from the Reserve bank as a push factor for its decision to sell products in hard currency.

Delta Corporation has u-turned on its plan following a meeting with Acting President Constantino Chiwenga and the Reserve Bank of Zimbabwe Governor Dr John Mangudya.

By blocking the Delta’s move, the government has averted a possible crisis which would have seen many retailers demanding transactions in U.S dollars while shunning the bond note, according to analysts.

The Reserve Bank of Zimbabwe Governor Dr John Mangudya has promised to provide the foreign currency required to ensure that Delta continues to trade on the current basis.

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