News 24 reports on 5 ways Zimbabweans are hedging themselves against Bond Notes:
- Setting up cash-burning companies. These are already operational and offer rates of around 10%. A typical burning transaction is that a customer would have $110 in the bank which they’d like to convert to cash. They then approach this burning company and buy cash. They’d receive $100 cash in exchange for a transfer of the $110.
- Smuggling. That is bringing in products from outside that are in short supply in Zimbabwe. Such products as fuel and import banned products.
- Buying company shares on the stock market. Zimbabweans have been reported to be rushing to convert their banked money into shares by buying equities on the Zimbabwe Stock Exchange.
- EcoCash Ecocash has allowed people to move money around while avoiding the banks, which are seen as being inflexible in allowing people to withdraw their cash.
- Keeping their money out of banks. Zimbabweans are withdrawing their money en masse as well as avoiding banking it at all.