THE Reserve Bank of Zimbabwe (RBZ) on Monday announced it is halting all EcoCash cash-in, cash-out and cash-back facilities with immediate effect.
In a statement signed by the RBZ deputy director, Josephat Mutepfa, this decision was made following the illicit practices of buying and selling money by EcoCash agent lines holders.
“It has come to the attention of the RBZ that some economic agents are engaging in illegal activities, abusing the cash-in, cash-out and cash-back facilities, thereby compromising the public interest.
“Notable activities include the buying and selling of cash through mobile money agents at high rates above the approved charges for cash-in and cash-out, with some economic agents not banking cash sales under the disguise of cash-back services,” the RBZ said.
Illegal EcoCash transactions are causing distortions in the pricing of both goods and services.
“The charging of commissions outside the approved framework adversely affects the smooth operation of payment systems and have the negative effect of distorting the pricing of goods and services,” the RBZ said.
The RBZ has then instructed all EcoCash agents to stop using E mobile money facilities.
“All EcoCash mobile payment system providers and merchants are hereby directed to discontinue cash-back facilities,” RBZ directed.
