HARARE, Zimbabwe — The economic turmoil in Zimbabwe, exacerbated by the volatility of its new gold-backed currency, the ZiG (Zimbabwe Gold), has seen a remarkable surge in unofficial night bazaars across the capital. These informal markets, illuminated by cellphone flashlights and fluorescent lamps, offer an enticing alternative to struggling traditional stores, making it easier for consumers to find affordable prices on essential goods.

With rising prices diminishing the viability of formal retailers, many shoppers, like Batsirai Pabwe, have turned to the night bazaars to save money. "It’s my first time shopping here. My friend told me that it’s much cheaper than the supermarkets,” said Pabwe, who filled his bag with groceries for just $20, a stark contrast to the limited items he was able to buy at a supermarket for the same amount just a week prior.

The introduction of the ZiG in April was intended to stabilize the economy following years of hyperinflation that once reached a staggering 5 billion percent. However, the gap between the official exchange rate and the black market continues to widen, forcing many to rely on the more stable U.S. dollar instead. This persistent instability has rendered local store prices uncompetitive, driving consumers to the nocturnal open-air bazaars.

An industry representative from the Retailers Association of Zimbabwe noted in September that the situation for formal retailers is "clearly untenable," with many warning of imminent store closures. In fact, one of Africa's largest grocery chains, Pick n Pay, reported during the same month that it had written off its investment in Zimbabwe due to deteriorating economic conditions.

Gift Mugano, an economics professor, pointed out the significant challenges facing traditional stores, stating, "In every transaction business is doing in the formal setup, it’s making an exchange rate loss that cannot be compensated." He added that the informal sector thrives under the current circumstances, as traders can circumvent the pressures of high operational expenses, taxes, and regulations, creating an environment where lower prices can be sustained.

As the sun sets, areas throughout Harare become bustling centers of economic activity, where vendors like Oswald Gari take to the streets to sell their wares when police presence diminishes. Gari, responsible for supporting six children and four nephews, commented, “Business is booming,” describing how the night trade is now his primary source of income amid a bleak economic landscape where formal employment has become nearly nonexistent.

With over 80% of Zimbabwe's employable population engaged in the informal sector, the shift towards night bazaars appears to be a growing trend, as residents seek to navigate the maze of fluctuating currency values and limited purchasing power. For many, including Pabwe, these night markets represent not just a shopping option but a necessary lifeline in a country grappling with profound economic instability.

For more information, please refer to the original articles from AP News and Los Angeles Times.