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With the adoption of dollarization, the Reserve Bank of Zimbabwe’s (RBZ) control over monetary policy was curtailed. The multi-currency system, which the authorities have decided to maintain until 2012, will provide the very
foundation of Zimbabwe’s Monetary Policy . Given the fiscal constraints that come with dollarization, the threat of hyperinflation that has plagued the country is eliminated.
The focus has turned away from controlling inflation to attracting private and public capital to Zimbabwe.
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