Crisis-torn nation of Zimbabwe is now using the United States dollar for pricing, quotations and making general transactions, The Zimbabwe Gazette can reveal.

Businesses now peg their prices according to the US$ rate whilst others resort to asking clients to pay for services in the greenback or the South African Rand.

Though the move is illegal, the government has not yet intervened in any way besides issuing warnings to offenders despite widespread disgruntlements from the public.

In a survey, across the country, prices of goods and services are currently being pegged at the US$ prevailing that day, therefore resulting in the consumer being affected the most as the Z$ continues to lose value on a daily basis.

One consumer, Edmore Chikanya said it is of no use to earn Z$ today.

“Take for example; I am earning a salary of Z$50 billion per month. Before I go to the bank, prices would have gone up dramatically.”

“When I have the money in my pocket, it cannot take me to the next pay day, if not the next week,” he said.

The National Incomes and Pricing Commission (NIPC) boss, Goodwills Masimirembwa recently warned businesses who are pegging prices in the parallel market US$ rate citing they should follow the Interbank rate (which is also rising everyday.)

On Tuesday this week, the Z$ was pegged at $2.2 billion against the greenback on the Interbank rate. However, it was reported to be around $2.5 billion on the parallel market.

Chikanya adds those who earn foreign currency have a great advantage as their money maintains value.

This paper can also reveal most property prices and rentals are now being charged in foreign currency.

This reporter came across a number of people flocking to the parallel market to buy the much sought-after hard currency so as to pay their rentals at the end of the month.

Against a problem of lack of accommodation, many tenants though aware that the practice is illegal, accept such terms for fear of being evicted.

One tenant, Brian Pasipamire says the rental being asked for by his landlord is unsustainable and far outweighs his monthly earnings.

“I earn Z$, and it is a huge expense to fetch US$ on the parallel market every month,” he said.

Transactions in local currency in the property market are now almost non-existent as sellers and landlords try to get the true value of their real estate investments.

The Estate Agents Council of Zimbabwe (EACZ) and the Tenants Association of Zimbabwe have reportedly condemned Estate Agents who indulge in charging rentals in hard currency.

A local property analyst says the continued weakening of the Zimbabwean dollar has resulted in transactions in the property market being carried out in foreign currency particularly the US dollar.

“It is this dwindling number of properties that has resulted in serious competition and the continued rise in the prices for these properties.”

“The responsible authorities should do something about this situation where everything is quoted in hard currency, but paid in local currency,” he said.

Last month, Reserve Bank of Zimbabwe (RBZ) governor, Gideon Gono liberalized foreign currency trade in the country in an effort to get rid of the illegal parallel market. However, the black market rates are always higher than the bank rates therefore minimising the probability of a single forex trade rate.

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