HARARE, Oct. 9 (Xinhua) -- Zimbabwean Vice President Kembo Mohadi on Tuesday warned retailers, fuel traders, pharmacies and health service providers that have unilaterally hiked prices for goods and services in the past week that they risked their licenses being revoked.
Mohadi told the media that the cabinet has reviewed the situation and called for restoration of order in the market, state news agency New Ziana reported.
"Fuel stocks are adequate to satisfy the needs of the country at the prices agreed by Zimbabwe Energy Regulatory Authority (ZERA), which are still operational.
"Anyone pricing above these regulated fuel prices is doing so illegally. Price monitors are on the ground, monitoring the situation. All those caught selling fuel at prices not approved by ZERA will have their licenses revoked," Mohadi said.
Prices of fuel, basic goods and drugs shot up after the Reserve Bank of Zimbabwe and the Ministry of Finance last week introduced changes in how foreign currency will be traded and a new "two cents on every dollar transaction" tax.
In the capital Harare and other cities, prices of some basic commodities such as cooking oil have risen by more than 200 percent.
On the black market, petrol is being sold for 18 U.S. dollars per five liters, compared to 7.05 dollars on the official market.
"Government is warning those that have hiked prices and those who are hoarding basic commodities in order to create artificial shortages to stop this practice forthwith," Mohadi said.
He said the government will provide foreign currency to manufacturers facing constraints to boost local production while allowing imports to cover supply gaps.
