This archive report was first published on 17 October 2019.
October 17, 2019
Burundi's government has intensified its crackdown on black market currency traders, arresting over 40 people in recent weeks.
The move comes as the country grapples with a severe shortage of foreign currency, which has been exacerbated by the freezing of foreign aid in 2016.
President Pierre Nkurunziza's decision to run for a third term despite opposition protests led to the aid freeze, which has had a devastating impact on Burundi's economy.
The central bank has struggled to maintain a stable exchange rate, with the dollar fetching around 2,900 Burundian francs on the streets of Bujumbura, nearly double the official rate.
Many businesses are struggling to import essential goods, with some importers unable to pay for supplies due to the lack of foreign currency.
"We no longer make profits since we cannot continue increasing the prices of our goods in order to avoid losing clients," said one woman who imports decorations for weddings.
Foreign exchange traders in Bujumbura have resorted to purchasing dollars from neighboring Democratic Republic of Congo to sell on the black market, as they are unable to buy them at the official rate.
"To avoid arrests by the police, hard currency is now exchanged secretly with friends or acquaintances," said a trader who declined to give his name.
