Reserve Bank reads riot act to errant bureau de changes

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Report by Nigel Pfunde and Nyashadzashe Ndoro

The Reserve Bank of Zimbabwe has read a riot act to errant bureau de change operators who are practicing unwarranted behaviour bent on demonising the essence  of the re-introduction of such by the Reserve Bank of Zimbabwe, Zim Morning Post has learnt.

Zim Morning Post learnt that some bureau de changes are  posting their cash holdings on social media creating an artificial availability of hard currency  on the market.

Essentially, a bureau de change, is a business where people can exchange one currency for another and in Zimbabwe makes part of the interbank forex market.

RBZ governor John Mangudya said in a statement Friday  that such behaviour will not be tolerated since it triggers speculated behaviour that the apex bank is on a mission to eradicate.

“ Reserve Bank Of Zimbabwe  would like to warn banks and bureaux de change from abusive behaviour of posting their cash holdings on social media,” read part of the statement.

The Apex bank has declared war on such perpetrators and  vowed to take stern action in line with the spirit of championing the economy resuscitation process spearheaded by President Emmerson Mnangagwa and the new dispensation.

“The central bank shall take stern measures against such practice of posting pictures of bond notes on social media and investigations are underway to pinpoint the culprits,” further read the statement.

Recently, the RBZ licensed more than 26 bureau de changes, in a move that was well calculated, in earnest ,to increase the number of participants in the interbank foreign exchange market.

This development was aimed to improve market efficiency in support of the currency reforms introduced by Finance Minister Mthuli Ncube when he abolished the multi-currency system.

Some rotten apples in the basket have adopted this appalling behaviour of using social media to ‘misinform’ the market.

However, the majority have been acting according to book with some of them (names withheld) actually assuming the role of informing citizens on the dynamics of the financial market through sponsored ‘ market watch’ columns as part of corporate social responsibility programmes (CSR) in tandem with world’s best practice for financial institutions.

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