Latest move has incurred as Reserve Bank of Zimbabwe (RBZ) has issued a letter of suspending all ecocash cash in, cash out and cash back facility as a gross measure to end the illegal trade of foreign currency on the black market which every Ecocash agent has turned out to be.
RBZ Letter reads
1. It has come to the attention of the Reserve Bank of Zimbabwe that some economic agents are engaging in illegal activities abusing the cash-in, cash-out and cash-back facilities thereby compromising the public interest objectives of national payment systems in the economy.
2. Notable activities include the buying and selling of cash through mobile money agents at high rates above the approved charges for cash-in and cash-out with some economic agents not banking cash sales under the disguise of cash-back services.
3. The charging of commissions outside the approved framework adversely affects the smooth operation of payment systems and have the negative effect of distorting pricing of goods and services.
4. In view of the above, all mobile payment system providers and merchants are hereby directed to discontinue cash-in and cash-out with immediate effect.
5. Furthermore, all economic agents arc, with immediate effect. directed to discontinue cash-back facilities.
6. Banks, mobile payment system providers and other economic agents arc reminded of the need to ensure that the entire ecosystem operates within the confines of the law and enforce compliance.
Please be guided accordingly.
J. Mutepfa (Mr.)
DEPUTY DIRECTOR FINANCIAL MARKETS, NATIONAL PAYMENT SYSTEMS
30 September 2019