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Nigeria battles with 145 Naira , as Zimbabwe crude oil prices increases to 1,204 Naira per litre

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Zimbabwe has effected an increase of 240 per cent in the prices of petrol and diesel as petrol which was sold at 1.32 dollars(481Naira) will now be sold at 3.31 dollars per litre(1,204 Naira).

However,  Nigeria has maintained the price of petrol of (One hundred and forty five naira) 145 naira per litre since 2015.

Regardless of complains from Nigerian about the price, basing their arguments on the country being among the tenth oil producing countries in the world, the latest development in Zimbabwe shows that the price of Nigerian crude is better.

Zimbabwean President, Emmerson Mnangagwa  announced the development while speaking with news men and added that the prices were predicated on the prevailing rate of 1:1 between the U.S. dollar and the surrogate bond note.

The increase in  fuel price  collided  with government’s decision for the country to have its own currency within 12 months, thus jettisoning the US dollar.

Zimbabwean Finance and Economic Development Minister Mthuli Ncube said the  adoption of  the U.S. dollar or the South African rand would not solve the country’s macro-economic problems.

Recall that Zimbabwe adopted the use of multi-currencies in 2009 after its local currency was made worthless by hyperinflation.

In a bid to reduce cash shortages, the Reserve Bank of Zimbabwe introduced the bond note in late 2016.

The bond note which was initially pegged at 1:1 against the U.S dollar has gradually lost value against the real currency and is now trading at about one-third the value of the U.S. dollar.

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