Wednesday, October 2, 2019

Umpteenth Cash Crisis Solution From RBZ - Will it Work This Time Around

ViewsThe Reserve Bank of Zimbabwe has announced that it will be injecting cash into the economy to ease the demand for it.

In a statement, the bank said it would do it in such a way as not to change the money supply.
Well, they will exchange existing RTGS balances with banks for cash so that the money base remains unchanged.
The demand for cash had resulted in some mobile payment agents charging a premium as high as 60%, selling cash. It also saw a multi-tiered pricing system which would have a lower cost for cash payments than electronic ones.