The Zimbabwe Energy Regulatory Authority has this year hiked fuel prices for more than seven times, a change that led to an increase in foreign currency exchange rates and hyper inflation which has caused Zimbabweans to experience continued price increases of basic commodities.
Ealier this year, petrol was pegged at $1.31 per litre before President Emmerson Mnangagwa announced an increase of more than 150 percent, to $3.31 for petrol.
By then, USD exchange rate was pegged at 1:1 with the bond note.
ZERA announced another 50 percent fuel price hike on the 21May, pegging the price at $4.97 for a litre of petrol. Exchange rates sky rocketed, devaluing the bond note.
Salaries were not increased but the cost of living to an unbearable turn. July 22, government raised fuel prices to $7.47, before a month lapsed, it was hiked to $9.36 on the 19 of August.
Government’s response was that it was implementing certain reforms and Zimbabweans had to endure the hard ships for a while before progress could start to be noticed.
However it is during this time that talk of monopolies and cartels filled the atmosphere and Mnangagwa was forced to respond after his advisor and owner of Sakunda Holdings Kudakwashe Tagwirei was amongst those whose accounts were allegedly frozen due to an abuse that manipulated foreign currency rates.
September 02, fuel was again hiked to $10. 25 a litre for petrol. Foreign currency rate escalated and the bond note value was eroded by inflation.
Doctors striked, demanding an increase that would capacitate them. Before any success was made, prices of a petrol litre increased to $15.64 on 6 October.
Rural teachers threatened to strike, days before the commencing of national exams. Harare City Council workers joined them after submitting a letter of incapacitation to the City Fathers.
During this ongoing unattended crisis, President Mnangagwa said he was going to deal with monopolies that were preventing a competitive environment and cartels influence unimaginable price hikes.
However, many failed to believe his remarks as he, himself is alleged to be the boss of these fuel cartels.