Zimbabwe reversed a ban on mobile money cash buying and selling, after two days of outcry and criticism levied of the government which is embroiled in economic crisis.
The Reserve Bank of Zimbabwe announced on 30 September the clampdown on buying and selling cash through mobile money was necessary due to agents overcharging customers. On 2 October the bank released another statement to reinstate buying and selling.
New rules and improved monitoring will be enforced by the Reserve Bank of Zimbabwe and mobile money providers. Taking cash out is now capped at only $100 (Zimbabwean dollars) per transaction ($0.28).
Zimbabwe has seen a chronic lack of cash in the country in the past few years, which drove merchants to adopt foreign currencies and electronic cash platforms such as Ecocash, an arm of the nation’s largest operator Econet.
Josephat Mutepfa, Reserve Bank of Zimbabwe deputy director of financial markets and national payment systems, said the original ban was to protect victims from agents abusing the system.
“Payment systems by their nature play an important role of providing a mechanism or highway to facilitate economic activities in the country. As such, the Reserve Bank continues to promote digital financial services which contribute to financial inclusion and stability”, he added in a press statement.Subscribe to our daily newsletter Back