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Zimbabwe suspends bank lending in bid to arrest currency decline - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.

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Zimbabwe’s government ordered banks to stop lending with immediate effect in a move Harare said was designed to stop speculation against the Zimbabwean dollar and was part of a raft of measures to arrest its rapid devaluation on the black market.

A street vendor poses as he displays bond notes, before the introduction of new currency in Harare, Zimbabwe, November 11,2019.A street vendor poses as he displays bond notes, before the introduction of new currency in Harare, Zimbabwe, November 11,2019.

The southern African country reintroduced a local currency in 2019 after abandoning it in 2009 when it was hit by hyperinflation. The black market exchange rate has moved from about 200 Zimbabwe dollars at the beginning of the year. “Lending by banks to both the government and the private sector is hereby suspended with immediate effect, until further notice,” Mnangagwa said in a statement.

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