The Reserve Bank of Zimbabwe (RBZ) has announced it will maintain a tight grip on monetary policy, even as month-on-month inflation figures have officially eased into single digits. In a statement released earlier today, the central bank indicated that premature relaxation of borrowing rates could risk reversing the hard-fought gains achieved over the past year.

The Governor noted that while the drop in inflation is a highly positive indicator of economic stabilization, global market volatility requires a highly cautious, data-driven approach moving forward.

Financial analysts have largely welcomed the move, noting that while liquidity remains tight, the alternative of returning to hyperinflationary pressures is far worse.