Published: 26 March 2014

Newly appointed Reserve Bank of Zimbabwe governor John Mangudya must stick to central bank's advisory role to government and regulation of the financial sector, economists say.

They said apart from facing a tall order in bringing stability and restoring confidence in the banking sector amid a biting liquidity crisis, he may encounter government interference, particularly in policy formulation and implementation.

Mangudya - taking over from Gideon Gono whose 10-year tenure expired 4 months ago - is set to assume office on May 1. Mangudya take helm of the apex bank at a time it is facing numerous challenges.

Although his appointment coincides with the injection of $100 million by Afrexim Bank to facilitate interbank trading, the RBZ remains grossly undercapitalised.
- dailynews

You might also want to read this

• RBZ suspends 30-day forex liquidation requirement
• RBZ maintains 50% USD retention for tobacco farmers
• AMG boss proposes gold-backed Zimbabwe currency to RBZ
• Money Supply (M3) rises to $17.1 billion in July 2019
• 'Banks should focus on savings deposits'
• RBZ integrity called into question
• RBZ floats $300m additional TBs
• RBZ develpps cold feet, brings back cash-in, cash-out
• RBZ clamps down on illegal cash deals
• Strive Masiyiwa lashes RBZ