As a journalist, I can report that Zimbabwe has recently made a decision to stop short of implementing a free-floating currency in its ongoing battle with exchange rates. The country’s central bank governor, John Mangudya, announced on June 7th that Zimbabwe would instead adopt a managed float exchange rate system, which would allow the exchange rate to fluctuate within a certain range.

This decision comes after years of economic turmoil in Zimbabwe, which has been plagued by hyperinflation and a shortage of foreign currency. The country has been using a fixed exchange rate system, which has been criticized for being unrealistic and leading to a black market for foreign currency.

The move towards a managed float exchange rate system is seen as a step towards addressing these issues, as it will allow the exchange rate to better reflect market conditions. However, some experts have expressed concern that the system could still be vulnerable to manipulation and corruption.

Zimbabwe’s decision to stop short of a free-floating currency is also seen as a reflection of the country’s cautious approach to economic reform. While some have called for more radical changes, such as dollarization or the adoption of a new currency, the government has been hesitant to take such steps.

Overall, the move towards a managed float exchange rate system is a significant development in Zimbabwe’s ongoing economic struggles. As a journalist, I will continue to monitor the situation and report on any further developments.