Govt Fretting Over Foreign Currency Black Market

The banning of the multi-currency system has failed to eradicate the illegal trade of foreign currency on the streets.

There is a general belief that some people in high offices are responsible for fueling the illegal trade of money.

President Emmerson Mnangagwa told a Zanu PF women’s league national assembly meeting at the party’s headquarters last Friday that the government is still trying to figure out how to deal with the trade. He said:

You have mentioned the issue of money changers selling our money to the people; yes, we see that on TV and we are still asking ourselves what we can do to deal with that. It is something that we are still looking at.

ZANU PF secretary for women affairs, Mabel Chinomona had on earlier lamented the proliferation of money changers, asking rhetorically who was funding the dealers. She said:

President, you said no more to money changers, but we have seen them coming out in their numbers and now they are using cars near the post office.

Our people are going there looking for money, our local currency is being sold there. The question is who is giving those people that money. You find them with new notes and the question we want to know is: Who is funding these people?

Meanwhile, MDC secretary for economic affairs, Tapiwa Mashakada said that it is not possible to eliminate the vice more so in Zimbabwe where the government has been accused of fuelling the black market. Said Mashakada:

Under normal circumstances banks and bureaux de change sell or buy forex on a willing-buyer, willing-seller basis, provided the forex is available.

In the case of Zim, the official forex market (interbank market) is dry, hence buyers and sellers go to the parallel market, where they can get forex.

It is alleged that the government is the main driver of the parallel market because questions are raised when new bond notes are traded on the black market.

It is illegal, but in this case, it is the only reliable source of forex. No country has managed to eliminate the parallel market. It can only be minimised.

More: NewsDay

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4 comments on “Govt Fretting Over Foreign Currency Black Market

  1. Do they need sangoma to know that they simply need to supply enough money into the banks. Nyika yapererwa hakuna muchengeti.uku fuel vakwidza

  2. The president knows the source of the problem. The top gvt officials fund the black market and most of them are policemen ‘s wives

  3. The black market is being funded by the reserve bank that is not putting money on the interbank table and the WaBenzi/Rangie/Fortuna cartels in Harare. The Govt (Mnangagwa et al) know exactly who they are, but it is the easiest source of foreign exchange for them. They claim that the withdrawal of forex from the daily trade has swelled the coffers of the Reserve bank immensely, but why do we still have no fuel, why do we have no Zesa????? Somebody must be stealing it all. Why is the Queen the sole importer of fuel into this country????

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