Zimbabwe Said to Re-Offer Bills After Failed Sale

The Reserve Bank of Zimbabwe will offer $15 million of Treasury bills tomorrow in a second attempt to sell the first central bank securities since the country abandoned its currency in favor of the dollar in 2009, an official at the institution said.

An Oct. 4 offer of the same amount of 91-day bills failed after the Harare-based central bank rejected $7.7 million worth of bids with yields ranging from 5.5 percent to 15 percent, the official said, declining to be identified because he is not authorized to speak to the press. Treasury bills were last sold in 2008.

The southern African nation is rebuilding its economy and trying to resume normal treasury operations after the inflation rate rose to 500 billion percent, according to the International Monetary Fund. The Zimbabwe dollar fell to 12.6 trillion per U.S. dollar.

Calls to the central bank outside of normal office hours weren’t answered.

To contact the reporter on this story: Godfrey Marawanyika in Johannesburg at gmarawanyika@bloomberg.net

To contact the editor responsible for this story: Antony Sguazzin at asguazzin@bloomberg.net

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