Zimbabwe devalues currency by almost 40%

The Reserve Bank of Zimbabwe has announced a 39% devaluation of the Zimbabwe dollar, to Z$17,500 to the US dollar, as part of a package of reforms designed to reverse the country's precipitous economic decline.

In his mid-year monetary policy statement yesterday, Gideon Gono, governor of the Reserve Bank of Zimbabwe, also announced a number of liberalisation measures aimed at boosting foreign currency earnings and encouraging residents and Zimbabweans living abroad to repatriate foreign funds.