HARARE, March 31– One of Zimbabwe’s largest retailers, TM Pick n Pay, has begun selling selected products exclusively in U.S. dollars, responding to the continued depreciation of the Zimbabwean dollar (ZWL) against major currencies. Products such as certain brands of milk, cooking oil, pasta, sauces, cordial drinks and corned beef are now priced solely in U.S. dollars in TM Pick n Pay Supermarkets. A manager, who declined to be named, said that this adjustment was necessary for the retailer to remain operational. “Some of our suppliers now demand U.S. dollars for their products. So, we have to do the same for our customers, or else the suppliers will withhold their products, and our shelves will go empty,” he said.
The shift, implemented on Friday, surprised some customers, who, upon being informed at the checkout, left products behind as they were asked to pay in U.S. dollars. Despite the government’s previous warnings against retailers pricing goods exclusively in foreign currency, the manager suggested that reverting to the local currency might lead to some products disappearing from the shelves due to supplier withholdings. Zimbabwe’s local currency has significantly depreciated against the U.S. dollar, resulting in rising inflation and soaring prices of essential goods. Official statistics indicate that the local currency is trading at over 22,000 ZWL to 1 U.S. dollar, up from 10,000 in January. On the black market, the exchange rate is even higher, with the U.S. dollar fetching at least 30,000 ZWL. The country’s central bank appointed a new governor on Thursday, who is expected to address the exchange rate issue in his upcoming monetary policy statement.
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