Zimbabwe’s public sector workers have accepted a one-off payment of $45 (£36) as part of wage negotiations, after they rejected an offer of a $10-a-month wage increase earlier in July.
Last month, June inflation surged to 175%, the highest in over a decade. This prompted fears of a return to the era of hyperinflation.
The agreement averts a potential strike, for now.
But negotiations for a more permanent wage hike continue.
Workers are demanding a 10-fold increase in salaries as a cushion against rising prices.
The economy has worsened since 2017 when President Emmerson Mnangagwa took over power following the ousting of Robert Mugabe.
Instead of the promised prosperity, Zimbabwe has lurched from one crisis to another with shortages of bread, electricity and fuel.
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