Wholesale Forex Auction Equated To ‘A Person Buying Toothpaste After Losing Teeth’
8 June 2023
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By A Correspondent | Renowned economic analyst Professor Gift Mugano has strongly criticized monetary authorities for their recent decision to introduce a wholesale foreign exchange auction.

According to Mugano, this action should have been taken back in 2019 when the government first implemented the interbank rate.

Expressing his views on Twitter, Professor Mugano compared the current move by the monetary authorities to a person persistently buying toothpaste despite having lost all their teeth.

“We are now implementing the right policies too late. This should have been done on 20th February 2019 when the interbank rate was introduced. It’s too late now! At this pace, wages, pensions, the national budget, and capital will be decimated. Prices will skyrocket. The situation is deteriorating!”

Mugano emphasized the urgent need for the Treasury to revisit the national budget, promptly increase salaries and pensions, and review the budget allocated to contractors.

He argued that these revisions would inject more liquidity into the market, exacerbating the existing problems.

When someone suggested that it’s never too late to do the right thing, Mugano remained skeptical about the effectiveness of the latest measure and responded by questioning, “So you’re suggesting that even if you’ve lost all your teeth, you should still go ahead and buy toothpaste?”