Most consumers and public service users across Zimbabwe intending to trade in the South African rand, are facing challenges as traders reject the currency which continues to lose value against the US dollar.
In Marondera town, most urban commuters have been left stranded as public transport operators are not accepting the rand, preferring instead the bond coins or the US dollar.
The situation is reported to be the same across the country.
NewZimbabwe.com has, in recent days, seen stranded commuters failing to use kombis if they did not have the US dollar or the bond coins as fares.
Since 2009, when the government introduced the multi-currency regime, most urban commuters have been paying around 5 rand for a ride.
Wanting to capitalise on the fall of the rand, some commuters are now insisting on passengers paying 7 rand- 2 rand up from the usual 5 rand.
Not to be left out, are retail shops in both rural and urban areas who are also not accepting the rand leaving desperate families who rely on relatives living and working in South Africa, feeling the pinch.
The rand has in recent months tumbled to record lows against major currencies such as the dollar, the euro and the pound sterling.
At the beginning of the year, consumers were purchasing goods or paying for various services using an exchange of around 10R to the US $ However, since the recent free-fall of the rand, the conversion rate of the 10R has dropped to between $.50 cents to $.60 cents.
“We are not accepting the rand coins as it is difficult for us to use them when we want other services such as buying fuel; the service stations are not accepting the rand while banks do not allow one to bank the rand coins,” a kombi driver said.
Also worst hit are motorists, especially those driving from South Africa as the Zimbabwe National Road Administration is no longer accepting the rand as tollgate charges.
Most state and private institutions such as hospitals and clinics are also turning away clients using the rand, leaving scores of people in need of essential services stranded.
In turn, frustrated consumers are now no longer accepting change from traders in the form of rand coins, preferring the bond coins, which were brought on the market by the Reserve Bank of Zimbabwe in December last year.
However, despite these challenges, the fall of the rand has also produced some relief for hard pressed consumers as prices of certain South African manufactured goods have been reduced.
Source – NewZimbabwe.com
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