Shops defy NIPC

The Herald - 20 December 2008
BUSINESS yesterday responded to the release of the new high denomination notes with massive price hikes, ignoring calls by the National Incomes and Pricing Commission to keep prices at acceptable levels.The Reserve Bank of Zimbabwe released $1 billion, $5 billion and $10 billion notes in line with the increase in withdrawal limits from $500 million per week to $10 billion per month for those in gainful employment. The move by the central bank was meant to provide workers with enough money to buy goodies for the festive season.A snap survey by The Herald revealed that most retailers had effected massive increases to match the new withdrawal limit.Prices of bread and soft drinks in most shops jumped from between $250 million and $300 million to $800 million.Commuters were not spared from the unjustified price increases after operators hiked fares to between $400 million and $500 million per trip from between $50 million and $100 million. — Herald Reporter.In all Afro-foods outlets, a 12,5kg packet of maize meal that had been selling for $4 billion since Monday had a new price tag of $15,750 billion, while the cost of a 2kg packet of brown sugar, previously pegged at $950 million, had shot up to $2 billion yesterday.A 2kg packet of rice was selling for $6,65 billion, up from at $600 million.Prices of bread and soft drinks in most shops jumped from between $250 million and $300 million to $800 million.Although some shops in the city were still displaying old prices, customers were confronted with the new prices at the till.Commuters were not spared from the unjustified price increases after operators hiked fares to between $400 million and $500 million per trip from between $50 and $100 million.Scores of consumers were left stranded in town after they failed to withdraw their monies from banks since most of them were giving cash only to those whose salaries had been deposited into their accounts.Some teachers were stranded because their payslips had been sent to their schools.