The ongoing Eurozone crisis has revealed the fragility of intergrated global financial markets. The pound and euro currencies have weekened against the United States Dollar in the recent past and the trend may continue until there is sanity and policy direction with regards to the interventions being done in Europe.
Companies holding on to Euro and Pound currencies have been posting significant exchange losses over the past 3 months losses which will definately have negative impact on profitability.
The rand is softening against the USD and this sounds to be good news for any Zimbabwean company with significant import component to its inputs.
Dony Mazingaizo has interest in IFRS and Financial Management
