Zimbabwe slashes registration fees for bureaux de change
11-07-2017 The Reserve Bank of Zimbabwe (RBZ), Zimbabwe’s central bank revised a major reduction in registration fees for bureaux de change in the country, says it would enhance the ease of doing business, foster financial inclusion and eliminate illegal money changers.
$ 1,000 to $500, while $800 to $250 renewing fee for head office
$ 4oo to $200, while $200 to $100 renewing fee for urban office
$ 200 to $50 while $100 to $5o renewing fee for rural office
The majority of licensed money changers who previously operated shut down operation when Zimbabwe adopted use of multiple foreign currencies in 2009 as the US dollar which was the main reference currency (the other is South African Rand) for the business, is now officially used on the market.
Since Zimbabwe announced the bond note currency last November, street traders have dominated the market. It is an effort to enhance ease of doing business and foster financial inclusion and the level of participation in the financial service sector.
The instability of Zimbabwe’s financial market concerns foreign investors as well as local citizens. Hyperinflation in Zimbabwe was a period of currency instability that began in the late 1990s shortly after the confiscation of private farms from white landowners, towards the end of Zimbabwean involvement in the Second Congo War. During the year from 2008 to 2009, it was even difficult to measure Zimbabwe’s hyperinflation because the government of Zimbabwe stopped publishing official inflation statistics. However, Zimbabwe’s peak month of inflation is estimated at 79.6 billion percent in mid-November 2008.
The impact of market risk on corporate activities should never be undermined for the fragile financial markets in African countries and hence the corporate sector should be aided in the elimination of market risk.
IS ZIMBABWE ON ITS MISSION TO RESTORE ZIMBABWE’S ECONOMIC STABILITY? HOW DO YOU THINK?