Zimbabwe's central bank kept interest rates at 35 percent during global trade wars. Governor John Mushayavanhu announced the decision after meeting with bank officials. The tight money policy helped keep prices stable and prevented currency swings. Trade fights around the world worried bank leaders about slower growth. Officials decided staying tough on money policy would protect the economy.
The bank raised rates from 20 percent to 30 percent last September when the Zimbabwe Gold currency lost value. Currency traders caused wild price changes that hurt people's savings. Bank leaders cut the currency's worth by 43 percent to fix the problem. Global conflicts and trade disputes continue threatening economic growth worldwide. Central banks must stay alert to protect their countries from outside shocks.
Zimbabwe's economy should grow six percent despite world problems. Farmers produced better crops after good rains helped agriculture recover. Other business sectors will benefit from steady currency and stable prices. Parliament members want lower bank charges and cheaper loans for businesses. Politicians believe reducing costs would help companies borrow money and expand operations.
The bank raised rates from 20 percent to 30 percent last September when the Zimbabwe Gold currency lost value. Currency traders caused wild price changes that hurt people's savings. Bank leaders cut the currency's worth by 43 percent to fix the problem. Global conflicts and trade disputes continue threatening economic growth worldwide. Central banks must stay alert to protect their countries from outside shocks.
Zimbabwe's economy should grow six percent despite world problems. Farmers produced better crops after good rains helped agriculture recover. Other business sectors will benefit from steady currency and stable prices. Parliament members want lower bank charges and cheaper loans for businesses. Politicians believe reducing costs would help companies borrow money and expand operations.
