Reserve Bank of Zimbabwe (RBZ) Governor John Mangudya has revealed that individuals and businesses who use three-tier pricing or refuse electronic money will soon face arrest. According to the governor, the law which will enable law enforcement officers to arrest such people is already in Parliament and is awaiting Senate approval. Mangudya revealed this while presenting the 2018 Monetary Policy today at the Reserve Bank of Zimbabwe (RBZ).
Since the cash shortages started almost 24 months ago, the RBZ has insisted that the multi-tier price system is illegal, although it had no means of enforcing its directive. The introduction of the bond notes also worsened the situation as some businesses had three prices, one for United States Dollars and other foreign currency, one for bond notes and one for electronic money. Mangudya also warned businesses that were hiking prices to respect the new political dispensation in the country.
The governor also said that Zimbabwe was going to continue using the multicurrency system until when the economy has sufficiently recovered. Mangudya insisted that the economic fundamentals were still too weak for Zimbabwe to introduce its own local currency.
On the issue of cash shortages, Mangudya said that the problem will take time to fix and that the cash queues were not to disappear overnight.