Dunlop Zimbabwe Permitted to Sell in Forex
The Reserve Bank of Zimbabwe has granted Dunlop Zimbabwe the licence required for companies in the country to sell products using foreign currencies, according to the Chronicle newspaper.
The paper quotes the firm’s Southern regional manager Dumisani Ndlovu, who stated, “the inspection was done by the RBZ on 25 November to check whether the ultra violet money detection machine was in place, the invoicing, security, computer network and warehousing. The team was satisfied and Dunlop was given permission to sell in forex.” He concluded that the licence would allow the manufacturer to import more raw materials, which would make an increase in production capacity possible, “thereby improving the company’s viability and safeguarding the company’s employment base. In addition, the more we sell in forex, the more forex that is made available to the RBZ to finance crucial national programmes in the country,” he stated.
Without foreign currency sales, the company is unable to import raw materials, due to well-documented issues with the dollar (ZWD). In addition, while the licence only covers the company’s Bulawayo headquarters, customers in other regions in the country and who require different tyre sizes will be served through foreign partnerships. “This will be possible through our international links with Dunlop South Africa and Apollo Tyres of India,” said Ndlovu.