LIVINGSTONE MARUFU AND TANATSWA KANDENGA
The Reserve Bank of Zimbabwe (RBZ) yesterday backtracked on its earlier intention to question companies and individuals who would surrender at least ZWL$100 000 when the Zimbabwe dollar’s lifespan ends at the end of this month, Business Times can report.
Announcing the decision last week, the new Reserve Bank of Zimbabwe (RBZ), Dr John Mangudya, said the Know Your Customer (KYC) and Customer Due Diligence (CDD) principles will apply when individuals and businesses surrender the cash exceeding ZWL$100 000.
“For the avoidance of doubt, the Bank advises the public and businesses that the Know Your Consumer (KYC) transaction limit of ZWL$100 000 does not apply to proceeds from legitimate business transactions during the transition period to April 30 2024,” Dr Mushayavanhu said.
He added: “The Reserve Bank has, however, taken note of the concerns of the public emanating from the rejection of the Zimbabwe dollar notes to be demonetized, which has resulted in the unavailability of “change this forcing businesses, mainly commuter omnibuses to round-off prices to US$1, In this context, the Reserve Bank would like to reiterate that the Zimbabwe dollar notes currently in circulation are still valid and remain legal tender until April 30 2024. Accordingly, the Zimbabwe dollar notes should continue to be used for transactional purposes at the announced ZiG/ZW$ conversion factor of 2498.7242.”
Dr Mushayavanhu said the Zimbabwe dollar remains legal tender for all domestic transactions until April 30, when the Zimbabwe Gold (ZiG) notes and coins will come into circulation.
“Between now and April 30, 2024, the bond notes are still legal tender; banks can pay them out to customers, and people should be able to use those to transact and for change.
“It is only after the 30th that we will be introducing the new notes and coins,” he said.
