Vol. 25 No. 17


Week Ending
28th April 2023
Weekly Economic
Highlights
TABLE OF CONTENTS


1.
INTEREST RATES

Local Currency (ZWL) Deposit Rates

During the week ending 28th April 2023, average minimum and maximum deposits rates for
savings deposits increased, while those for deposits of 1-month tenor remained unchanged at
previous week levels. Minimum deposits rates for deposits of 3-months tenor also remained
unchanged, while maximum deposits rates marginally declined during the same week, as shown
in Table 1.


Table 1: Average Deposit Rates (per annum)
Date
Savings deposits (%)
1- Month deposit rates (%)

3- Month deposit rates (%)

Minimum (%)
Maximum (%)
Minimum (%)
Maximum (%)
Minimum (%)
Maximum (%)
31-Mar-23

6-Apr-23

14-Apr-23

21-Apr-23

28-Apr-23

Source: Reserve Bank of Zimbabwe, 2023


Local Currency (ZWL) Lending Rates

Minimum and maximum lending rates for individual clients increased marginally, during the
week under review. However, average minimum and maximum lending rates for corporate
clients declined during the same week, as shown in Table 2.

Table 2: Lending Rates (per annum)
Date
Minimum (%)
Maximum (%)
Minimum (%)
Maximum (%)

Individual Clients

Corporate Clients
31-Mar-23

6-Apr-23

14-Apr-23

21-Apr-23

28-Apr-23

Source: Reserve Bank of Zimbabwe, 2023

Foreign Currency (USD) Deposit Rates

Average minimum and maximum deposits rates for deposits of all classes quoted by commercial
banks were unchanged during the week ending 28th April 2023, as shown in Table 3.


Table 3: Average Deposit Rates (per annum)
Date
Savings deposits (%)
1- Month deposit rates (%)

3- Month deposit rates (%)

Minimum (%)
Maximum (%)
Minimum (%)
Maximum (%)
Minimum (%)
Maximum (%)
31-Mar-23

6-Apr-23

14-Apr-23

21-Apr-23

28-Apr-23

Source: Reserve Bank of Zimbabwe, 2023


Foreign Currency (USD) Lending Rates

During the week ending 28th April 2023, commercial bank minimum lending rates for both
individual and corporate clients increased, while maximum lending rates for both classes of
borrowers declined, as shown in Table 4.

Table 4: Lending Rates (per annum)
Date
Minimum (%)
Maximum (%)
Minimum (%)
Maximum (%)

Individual Clients

Corporate Clients
31-Mar-23

6-Apr-23

14-Apr-23

21-Apr-23

28-Apr-23

Source: Reserve Bank of Zimbabwe, 2023

2.
CLEARING AND SETTLEMENT ACTIVITY

The value of transactions processed through the National Payment Systems (NPS) stood at
ZW$900.482 billion, during the week ending 28th April 2023. This represented a 12.15%
increase from ZW$802.92 recorded in the previous week. Real Time Gross Settlement (RTGS)
transactions increased from $655.72 billion in the previous week to $734.22 billion, during the
week under review. In proportions, the NPS transaction values were distributed as follows:
RTGS, 81.54%, POS, 10.95%; Mobile, 4.63%; and ATM, 2.88%.


Figure 1: Composition of NPS Transactions in Value Terms

Source: Reserve Bank of Zimbabwe, 2023


The volume of transactions processed through the National Payment Systems increased by
9.75% to 12.01 million, during the week under review, from 10.95 million recorded in the
previous week. The distribution of NPS transaction volumes was as follows: Mobile, 67.89%;
POS, 27.89%; RTGS, 2.92%; and ATM, 1.29%, as shown in Figure 2.


Figure 2: Composition of NPS Transactions in Volume Terms

Source: Reserve Bank of Zimbabwe, 2023

RTGS
81.54%
POS
10.95%
ATM
2.88%
MOBILE
4.63%
RTGS
POS
ATM
MOBILE
RTGS, 2.92%
POS, 27.89%
ATM, 1.29%
MOBILE, 67.89%
RTGS
POS
ATM
MOBILE

Table 5: National Payment Systems Activity
PAYMENT
STREAM
WEEK ENDING
21st April 2023

WEEK ENDING

28th April 2023
% CHANGE FROM
LAST WEEK
PROPORTION
%

Values in ZW$ Millions


RTGS

POS

ATM

MOBILE

TOTAL

Volumes


RTGS

POS

ATM

MOBILE

TOTAL

Source: Reserve Bank of Zimbabwe, 2023

3.
TOBACCO SALES
A cumulative total of 134.20 million kilograms of tobacco had been sold as at day 35 of the
tobacco selling season. This was a 35.06% increase from the 99.38 million kilograms sold during
the same period in 2022. In value terms, tobacco sales registered a 36.00% increase to US$402.55
million, from US$295.99 million realized during the corresponding period in 2022, as shown in
Table 6.

Table 6: Weekly Cumulative Tobacco Sales: Day 35 (28th April 2023)

Variance (%)
Cumulative Quantity Sold (million kgs)
99,367,505
134,202,047
35.06
Average Price (US$/kg)
2.98

3.00
0.66
Cumulative value (US$ million)
295,992,868
402,548,036
36.00
Source: Tobacco Industry and Marketing Board (TIMB), 2022

The golden leaf was sold at an average price of US$3.00 per kilogram, up from US$2.98 per
kilogram realised in the same period in 2022.
4.
INTERNATIONAL COMMODITY PRICE DEVELOPMENTS

During the week under review, average prices for gold, palladium, copper, nickel, and crude oil
retreated, while platinum prices firmed. Table 7 shows commodity prices developments, during
the week ending 28th April 2023.

Table 7: Metal and Crude Oil Prices for the week ending 28th April 2023

Gold
Platinum
Palladium
Copper
Nickel
Crude Oil

US$/ounce US$/ounce US$/ounce US$/tonne
US$/tonne
US$/barrel
Weekly Average (17-21 Apr 23)

24-Apr-23

25-Apr-23

26-Apr-23

27-Apr-23

28-Apr-23

Weekly Average (24-28 Apr 23)

Weekly Change (%)

Source: BBC, KITCO and Bloomberg, 2023
Gold

Gold prices marginally decreased by 0.39%, from US$1996.97 per ounce in the previous week
to US$1989.26 per ounce, during the week under review, as investors awaited hints on the
monetary policy stance of the Federal Reserve.

Platinum
Platinum prices continued on a positive trajectory, gaining by 1.68%, from US$1069.50 per
ounce recorded in the prior week to US$1087.50 per ounce, during the week ending 28th April
2023. Prices firmed owing to tight global supply, against rising demand from China, the largest
consumer of the precious metal.

Palladium
Palladium prices declined by 4.57%, from US$1,588.25 per ounce in the previous week to
1,515.60 per ounce, during the week under review. Prices continued to be weighed down by
sluggish global industrial demand, amid global recession fears.

Copper
In the week under review, copper prices remained subdued, falling by 3.56% to US$8,618.20
per tonne, from US$8,936.75 per tonne recorded in the previous week. Prices continued to
decline as global supplies increased, particularly in Peru, one of the world’s largest copper
producers.

Nickel
Nickel prices declined by 4.88%, from US$25,093.75 per tonne in the preceding week to
US$23,870.00 per tonne during the reporting week. Prices retreated following reports that
suggested that the nickel market was facing a massive supply glut, as surging Indonesian
production continued to outpace global demand.

Brent Crude Oil

Brent crude oil prices retreated during the week ending 28th April 2023, as the market factored
in weak economic data from China and expectations of another US interest rate hike. To that
end, weekly average prices declined by 3.86%, from US$83.28 per barrel recorded in the
previous week to US$80.06 per barrel, during the week under review.

5. EXCHANGE RATE DEVELOPMENTS


Interbank Market
On the interbank market, the Zimbabwe dollar (ZW$) depreciated by 5.9%, from an average of
ZW$992.1109 per US$1 in the previous week to ZW$1,016.6109 per US$1, during the week
ending 28th April 2023, as shown in Table 8.

Table 8: Interbank Market Exchange Rates1

USD
ZAR
GBP
BWP
EURO

Weekly Average (11-14 Apr 23)

24-Apr-23


25-Apr-23


26-Apr-23

27-Apr-23

28-Apr-23

Weekly Average (24-28 Apr 23 )

Appr(-)/Depr(+) (%) of the ZWL

Source: Reserve Bank of Zimbabwe, 2023


1 Direct quote – the amount of domestic currency needed to exchange for 1 unit of foreign currency

6. EQUITY MARKETS


Zimbabwe Stock Exchange
During the week under review, the Zimbabwe Stock Exchange (ZSE) exhibited bullish
sentiments for the second consecutive week. As a result, the ZSE All Share index gained 12.19%
to close at 41 391.62 points. The Top 10, Top 15 and Medium Cap indices gained 11.11%,
11.79% and 15.49% to close the week at 23 764.03 points, 28 301.73 points and 91 349.20 points,
respectively. The Small Cap index, however, lost 3.30% to close the week at 739 049.37 points.

The increase in the mainstream index was a result of share price gains for Proplastics Limited
(61.08%), Ecocash Holdings Zimbabwe Limited (55.19%), British American Tobacco
Zimbabwe Limited (44.68%), Rainbow Tourism Group Limited (33.09%), and Masimba
Holdings Limited (31.68%). Partially offsetting the gains were losses in share prices of
Amalgamated Regional Trading (ART) Holdings Limited (13.89%), Zimbabwe Newspapers
(1980) Limited (10.72%), Nampak Zimbabwe Limited (6.67%), Turnall Holdings Limited
(5.06%) and CFI Holdings Limited (2.02%). The resources index2, gained 14.58% to close at 36
393.55 points from 31 763.82 points, recorded in the previous week.

Table 9: Zimbabwe Stock Exchange Statistics3

All Share
Index
Points
Top 10
index3
(points)


Mining
Index
(points)
Grand
Market
Capitaliz
ation
(ZWL
billion)
Market
Turnover
(ZWL
million)
Volume
of Shares
(million)
Top 15
Index3
points
Medium
Cap3
(points)
Small Cap3
(points)


24-Mar-23

31-Mar-23

06-Apr-23

14-Apr-23

21-Apr-23

28-Apr-23

% Change


Source: Zimbabwe Stock Exchange (ZSE), 2023


2 Resource Index – Comprise RioZim Limited Share Price
3 The Zimbabwe Stock Exchange (ZSE) adopted the Global Industry Classification Standards, effective from 1 January 2020.The ZSE indices
constitute the following categories; Top 10 Index; Top 15; Top 25; Medium cap and Small cap Indices.

Figure 3 shows the trend in daily market turnover for the period from 4th March 2022 to 28th
April 2023.

Figure 3: Zimbabwe Stock Exchange All Share and Top 10 Indices
Source: Zimbabwe Stock Exchange, 2023


Market Turnover and Volume

Owing to improved trading activity during the week under analysis, the cumulative volume of
shares traded on the ZSE rose by 91.42% to 33.55 million compared to 19.30 million recorded
in the prior week. The turnover value of shares amounted to ZW$6.09 billion, representing an
increase of 34.31% from ZW$5.29 billion recorded in the previous week. Figure 4 shows the
trend in daily market turnover for the period from 4th March 2022 to 28th April 2023.

Figure 4: Daily Market Turnover
Source: Zimbabwe Stock Exchange, 2023


4-Mar-22
18-Mar-22
1-Apr-22
15-Apr-22
29-Apr-22
13-May-22
27-May-22
10-Jun-22
24-Jun-22
8-Jul-22
22-Jul-22
5-Aug-22
19-Aug-22
2-Sep-22
16-Sep-22
30-Sep-22
14-Oct-22
28-Oct-22
11-Nov-22
25-Nov-22
9-Dec-22
23-Dec-22
6-Jan-23
20-Jan-23
3-Feb-23
17-Feb-23
3-Mar-23
17-Mar-23
31-Mar-23
14-Apr-23
28-Apr-23
All Share Index
Top 10 Index


04-Mar-22
18-Mar-22
01-Apr-22
15-Apr-22
29-Apr-22
13-May-22
27-May-22
10-Jun-22
24-Jun-22
08-Jul-22
22-Jul-22
05-Aug-22
19-Aug-22
02-Sep-22
16-Sep-22
30-Sep-22
14-Oct-22
28-Oct-22
11-Nov-22
25-Nov-22
09-Dec-22
23-Dec-22
06-Jan-23
20-Jan-23
03-Feb-23
17-Feb-23
03-Mar-23
17-Mar-23
31-Mar-23
14-Apr-23
28-Apr-23
ZW$ millions
Negotiated deal: 61.16 million Larfage
Cement
Zimbabwe
Limited
shares
exchanged hands at ZW$312.65

Market Capitalization

The local bourse market capitalization increased by 13.33% or ZW$409.64 billion to close at
ZW$3.48 trillion, from ZW$3.02 trillion, recorded in the preceding week. Figure 5 shows the
evolution of ZSE market capitalization for the period from 4th March 2022 to 28th April 2023.

Figure 5: Daily Market Capitalization in ZW$ billions
Source: Zimbabwe Stock Exchange, 2023

Victoria Falls Stock Exchange


The Victoria Falls Stock Exchange (VFEX) was characterised by bearish sentiment during the
week under analysis. Consequently, the VFEX All Share index lost 3.88% to close at 86.62
points, compared to 90.12 points recorded in the previous week. The decline in the VFEX
mainstream index emanated from share price declines for Bindura Nickel Corporation (BNC)
(20.13%), Innscor Africa Limited (9.18%), Simbisa Brands Limited (3.53%) and Axia
Corporation Limited (2.00%). Partially offsetting the share price declines were gains in the share
price of SeedCo International (3.57%), National Foods Holdings Limited (1.18%) and Padenga
Holdings Limited (0.09%). Caledonia Mining Corporation share price, however, remained
unchanged during the week under analysis.

The cumulative volume and value of shares traded on the VFEX increased by 80.18% and
217.29% to 1.72 million shares and US$0.56 million, respectively. Reflecting the negative
sentiments exhibited on the VFEX, market capitalization declined by 3.89%, or US$42.81
million worth of capitalisation to US$1.06 billion, compared to US$1.10 billion recorded in the
previous week. Figure 6 shows the trend in the VFEX All Share Index (ASI) for the period from
1st March 2022 to 28th April 2023.


04-Mar-22
18-Mar-22
01-Apr-22
15-Apr-22
29-Apr-22
13-May-22
27-May-22
10-Jun-22
24-Jun-22
08-Jul-22
22-Jul-22
05-Aug-22
19-Aug-22
02-Sep-22
16-Sep-22
30-Sep-22
14-Oct-22
28-Oct-22
11-Nov-22
25-Nov-22
09-Dec-22
23-Dec-22
06-Jan-23
20-Jan-23
03-Feb-23
17-Feb-23
03-Mar-23
17-Mar-23
31-Mar-23
14-Apr-23
28-Apr-23
Billions

Figure 6: Victoria Falls Stock Exchange All Share Index
Source: Victoria Falls Stock Exchange, 2023


Johannesburg Stock Exchange (JSE) Developments

The Johannesburg Stock Exchange (JSE) All Share Index increased from 77,910.96 points in the
previous week to close at 78,021.87 points, during the week ending 28th April 2023. JSE market
capitalization also increased by 0.04% to ZAR22.36 trillion, during the same week.

Table 10: Johannesburg Stock Exchange (JSE) Statistics
Period
All Share Index
Market Capitalization
(points)
(ZAR trillions)
24-Mar-23
74,695.04
21.70
31-Mar-23
76,100.17
22.20
06-Apr-23
77,113.70
22.38
14-Apr-23
78,870.36
22.56
21-Apr-23
77,910.96
22.35
28-Apr-23
78,021.87
22.36
% Change

0.14


0.04
Source: 2023


04-Mar-22
18-Mar-22
01-Apr-22
15-Apr-22
29-Apr-22
13-May-22
27-May-22
10-Jun-22
24-Jun-22
08-Jul-22
22-Jul-22
05-Aug-22
19-Aug-22
02-Sep-22
16-Sep-22
30-Sep-22
14-Oct-22
28-Oct-22
11-Nov-22
25-Nov-22
09-Dec-22
23-Dec-22
06-Jan-23
20-Jan-23
03-Feb-23
17-Feb-23
03-Mar-23
17-Mar-23
31-Mar-23
14-Apr-23
28-Apr-23

Figure 7: Johannesburg Stock Exchange (JSE) All Share Index
Source:


RESERVE BANK OF ZIMBABWE

4-Mar-22
18-Mar-22
1-Apr-22
15-Apr-22
29-Apr-22
13-May-22
27-May-22
10-Jun-22
24-Jun-22
8-Jul-22
22-Jul-22
5-Aug-22
19-Aug-22
2-Sep-22
16-Sep-22
30-Sep-22
14-Oct-22
28-Oct-22
11-Nov-22
25-Nov-22
9-Dec-22
23-Dec-22
6-Jan-23
20-Jan-23
3-Feb-23
17-Feb-23
3-Mar-23
17-Mar-23
31-Mar-23
14-Apr-23
28-Apr-23

APPENDIX 1: FOREIGN EXCHANGE AUCTION RESULTS FOR MAINFX4 AND SMEFX5
Source: Reserve Bank of Zimbabwe, 2023


4 Main Foreign Currency Auction
5 Small and Medium Enterprises Foreign Currency Auction

MAINFX
06-Apr-23 14-Apr-23 21-Apr-23 28-Apr-23

SMEFX
06-Apr-23 14-Apr-23 21-Apr-23 28-Apr-23
Total
Bids (US$ dollars)

Amount Allotted
(US$ dollars)

Highest Rate
1,020
1,050


Lowest Bid
Rate

1,000

1,000
Lowest Bid Rate
Allotted

1,000

1,000
Weighted Average
Rate

Number of Bids
Received

Number of Bids
Rejected

APPENDIX 2: SUMMARY OF FOREIGN CURRENCY AUCTION ALLOTMENTS BY PURPOSE
Source: Reserve Bank of Zimbabwe, 2023
Purpose
MAINFX
06-Apr-23 14-Apr-23 21-Apr-23 28-Apr-23
SMEFX
06-Apr-23 14-Apr-23 21-Apr-23 28-Apr-23
Raw Materials


Machinery and
Equipment

Consumables
(Incl. Spares,
Tyres,
Packaging)

Pharmaceuticals
and Chemicals

Services
(Loans,
Dividends and
Disinvestments)

Retail and
Distribution

Fuel, Electricity
and Gas

Paper and
Packaging

TOTAL

1,707,854.70