The Reserve Bank of Zimbabwe has on the 30th of September banned all cash-ins, cash-outs and cash-backs by mobile money agents.
The central bank argues that the agents were promoting and or participating in money laundering which has undermined the economy of the country.
Newz Wire, a local publication has however observed that shutting out Ecocash, a subsidiary of Strive Masiyiwa’s Econet Wireless, was not sustainable.
The publication added that the move was equal to addressing a symptom instead of the underlying issues.
Newz Wire observes that when Ecocash was launched in 2011, it was adopted to help lessen the effects of the cash shortage crisis. The publication cites Ecocash as having said:
With critical shortage of US dollar notes, the Econet system will completely eliminate the need for any notes for purchases below US$20.
The publication observes that the RBZ is yet to find a lasting solution to the cash shortages crisis.
It also admits that Ecocash Agents were taking advantage of the crisis and they were not going to do so if the situation was normal.
To further support their point, Newz Wire Live cites RBZ governor’s speech in which he indicated that the cash crisis was giving agents room to engage in illegal transactions in foreign currency and to selling cash at a premium.
More: Newz Wire Live