Winding fuel queues are now the order of the day in the country. It has become apparent that the Zimbabwean government is failing to sustain its fuel subsidy in the economy due to foreign currency shortages. The rationale for such a subsidy has been to bring price stability to the market thereby managing inflation, to prevent the local economy from re-dollarizing and give the Reserve Bank of Zimbabwe (RBZ) control over offshore (Nostro) transactions and subsequent foreign currency allocations to local importers. The availability of fuel in the local market has virtually been a nightmare for motorists and producers since October 2018, though the problems largely started in mid-2016 when RBZ assumed the foreign currency allocation role. According to data from Zimbabwe Revenue Authority (ZIMRA), the country consumed 1.06 billion litres of diesel and 570.12 million litres of petrol in 2018, worth US$1.12 billion. This means that average consumption […]