No cash for individuals, says BAZ

Dr Jinya

Dr Jinya

Enacy Mapakame Business Reporter
The Bankers Association of Zimbabwe (BAZ) says banks are currently prioritising exporters for cash withdrawals and foreign currency allocation over individual account holders due to the prevailing cash shortages. Responding to questions at the recently held ZimTrade annual exporters’ conference held in the capital, BAZ president Dr Charity Jinya said physical cash – being bond notes and US dollar notes – is in short supply while nostro balances are also running low.

As such, local banks had a mandate to prioritise exporters who oil the economy, ahead of consumptive purposes. This, she said, would enable industry to increase production for the export market.

“For people who are not exporters, the likelihood of getting cash from banks are slim, under the current situation. That is why we are encouraging the use of plastic money When we receive cash, we have to think if we should give it to individuals or companies that will generate more cash and foreign currency. This is a difficult decision we have to take, we have to face the truth, cash is a scarce commodity and therefore it should be rationed. That is why we are encouraging the use of electronic platforms,” she said.

Zimbabwe has been experiencing foreign currency shortages since early last year resulting in long queues at banks. This has also led to the mushrooming of illegal cash dealers selling cash in the form of bond notes or the United States dollar at a premium.

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  • Truth

    I am being taxed for the money that I am denied access to, senior government officials should stop making foreign trips because they the ones who are just consuming with no production. President should cut his foreign trips and seek medical attention in here and his colleagues. Civilians are being punished because of arrogant and selfish rulers. God have mercy on Zimbabwe this is worse than what Israelites experienced in Egypt and Babylon I presume. You have tried all solutions and have failed and there is one constant variable that is still in the mix Zanu PF must Gooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooo then we see what others can offer. Zanu PF you are not Alpha and Omega.

  • Kusvikazvanaka

    I read and understand that consumptive purposes should use ‘PLASTIC Money” ….well…If you are to pay LOBOLA, you just ask whether the inlaws have a running Ecocash and there we go…Welcome to the land of PLENTY!!

  • kutototo

    Why are you giving exporters bond notes, why not just reserve US dollars for exporters and allow us the ordinary people to withdraw bond notes.

  • Hombarume

    Babylon. Until we say meeeehhh like a goat.
    This is painful.
    Not even in Somalia or South Sudan are people limited to their cash…

  • Kwangwari Gwayendepi

    When you live in a failed state that’s exactly what it means. The regime owns you and all your possession kikiki

  • mpengo

    The Banking industry is the most hated of all.

    For the second time (first time during the infamous 2008 hyperinflation)…they have some blame to share for the current situation. From rogue tellers to bank managers, they are a lot that are greatly despised by people and are only good for eroding the trust we should have in them.

  • Masambara2

    It appears to me there is no clue to the current situation. Its sad my Generation is witnessing “Economic Vandalism” at un-imagined proportions. If someone is not an “Exporter” but directly brings Cash from the Diaspora they do not get their cash from the Bank!. What this basically means is that Diaspora cash originally destined for Zimbabwe will now be re-routed to neighbouring Countries. Initially it was Gedye-Gedye but it appears we are “clever fools”. Which Investor would want to come into our Economic situation where they bring Foreign currency are not allowed by circumstances to repatriate their profits out of Zim because of a dubious “Priority List” on Foreign currency allocation. The Privileged few are ripping us off. Itai Henyu!

  • Madara

    the government caused this… they wont stop it.

  • karina mathews

    what about transport you can not swipe your way to work

  • karina mathews

    but you can’t wipe your way to work

  • dusty

    Vanozviziva havenei nesu. ndivo varidzi vezvitoro zvacho.

  • Muonesi Mukuru

    Do not forget Zanu-Pf needs $8m for the Congress

    Ever since it has been trying to solve a problem by creating more problems, Shooting oneself in the foot!

  • Jonso

    You speak with authority, without realising the implications of your statement. What if the people react by passing a vote of no confidence in the banking system. Will the banks exist? Zimbabwean banks are for the poor, the poor who have no voice.

    • Trex1

      The vote of no confidence was passed long ago. The lady is just putting the cards on the table. Saka nyaya iripo is kungotsva makanyarara!

  • Trex1

    Register to Vote.

  • Trex1

    Hadzina access to anything, he nis in the queue waiting for cash too.

  • Trex1

    This pill is the size of an orange, it cannot be swallowed.

    • NUTTY DREADLOCK

      haahaha then it must be sliced

  • The Awakened

    Comments making far more better reading than the newspaper no wonder I’ll never buy a newspaper again nor make a deposit. Really telling me I wake up for nothing. As you drive around in you posh cars remember that we are not going to accept being second class citizen in Zimbabwe. Grace even Imelda had to pay the piper. **

  • micah

    so you cant get your cash from the bank, at the same time you cant get your cash at the Black market as cash traders are beeing banned,so ndokwira combi ne swipe here

  • Sipambi_263

    You can call it “rubbish” for sure, but you still have not earned the USD. You will not have it.

    • Madara

      i have earned the USD. the money came from my wallet in cash… into my bank account. which i thought would be safer at the time. i guess now its so safe that even i cant have access to it.

    • Madara

      also, we dont have a local currency. so all money is in USD. whats in your account is empty promises.

    • mina ngedwa

      chindipaiwo bond racho nditenge hangu matimati nemagaka hakuna swipe ikoko

  • Sipambi_263

    Unfortunately I have to agree with you. If I deposit hard cash and am then advised I will not be able to get it when I want it, the result does not need rocket science. Only the fool will deposit in the bank. I will keep the hard currency until I make a purchase (but for which I will demand real prices!!).

  • Rook

    Why would exporters withdraw bondnotes from the bank. Bond notes are for domestics use only and why can’t they use non-cash payment alternatives. If they are really conducting their businesses formally, why would they need hard cash to conduct business externally. There are lots of payment options available to international transactions without the need for hard cash save for small amounts for travel and subsistance allowances. There is no reputable export business that is run on a cash business. In fact, legitimate international transactions are done through banking channels and these donot include handling of physical cash. There is something BAZ is not telling us because modern cross-border transactions are never conducted in the manner they are suggesting.

  • Sipambi_263

    I think you have asked a very good question. I look forward to someone in authority (at the banks for a change) answering this. Perhaps they are saying they move the cash to nostro accounts rather than hand exporters (importers) actual cash.

  • Sipambi_263

    I agree, it was “far much better” for you. Please don’t include me in that.

  • ivhukuvanhu chete chete

    Dzokera ku”Rhodesia” tione ukafuma urimupenyu!
    What do you export to demand cash?

  • The Witchdoctor

    It’s not the businesses, someone is hoarding cash to buy anniversary rings, mansions in SA, Roylce rocyces hence starving the businesses and they end up buying forex on the parallel market to sustain their bread and butter