Categories: EconomyWhatsApp

RBZ Outlaws Promoting Of “Illegal” Forex Trade In WhatsApp Groups

Share

Another day another interesting regulatory measure by the Financial Intelligence Unit ( by extension the RBZ). This time the target being money changers operating on WhatsApp groups.

Here’s the FIUs full statement:

ACTION AGAINST ILLEGAL FOREIGN CURRENCY TRADING ADVERTS

advertisement

1. The Financial Intelligence Unit (FIU) has been monitoring social media platforms where foreign currency dealers have been advertising and promoting their illegal trade. The FIU is aware of WhatsApp groups that have mushroomed in the country for the specific purpose of promoting and facilitating illegal foreign currency trade.

2. The FIU, in collaboration with the police, banks, mobile money / mobile phone service providers and relevant regulatory agencies, has embarked on an exercise to identify and take action against individuals who create, advertise on or participate (actively or passively) in WhatsApp groups or other platforms for illegal foreign currency trading.

3. The FIU and relevant institutions will take the following immediate actions:

• The mobile phone numbers used to join or advertise on the illegal groups will be shared with mobile phone operators and POTRAZ for barring;

• Other mobile phone numbers registered in the names of such persons will also be identified and barred;

• Any mobile money wallets registered in the names of such persons will be frozen and the persons barred from accessing mobile money services with any operator;

• Bank accounts owned by a person so identified will be frozen and the person will be blacklisted and barred from accessing banking services with any bank; and

• Identified persons will be investigated and prosecuted for illegally trading in or advertising illegal trading in foreign currency.

4. Members of the public are requested to report to the FIU any person, mobile phone number or bank account that continue to be used to engage in or advertise illegal foreign currency activities, using the following contact details:

FIU mobile and WhatsApp number: 0714039897
Financial Intelligence Unit 15 June 2020

If that statement is too long for you to read, the FIU is basically saying, they are banning the advertisement of foreign currency trading on WhatsApp and if you’re caught promoting such your number will be barred.

Not only that but any other number registered in the same name will also be banned and so will be all mobile money accounts in the same name.

To take it a step further, bank accounts owned by people identified to be advertising money changing services on WhatsApp will also be banned and the persons responsible for the accounts will be blacklisted, meaning no future bank accounts for those caught doing.

Finally, those caught advertising illegal forex trade in WhatsApp groups will be prosecuted, though it’s not clear whether punishment will result in a fine or imprisonment.

Will this work?

Again, I still believe that the RBZ and the FIU are going down the wrong hole with all these measures. When they blocked EcoCash agents a month ago – they rate actually skyrocketed and even after placing those limits, the effects are yet to be felt by ordinary Zimbabweans.

The biggest problem right now is the fact that the RBZ has refused to remove the fixed rate and when they have done so they have always reverted back to a fixed rate. First it was 1:1, then 3:1 and then weirdly 25:1 because of COVID-19.

The market has always reacted negatively to these fixed rates because they are not a true reflection of the strength of the ZW$ but instead just a way for the political elite to access forex at a much lower rate than businesses and citizens.


Quick NetOne, Telecel, Africom, And Econet Airtime Recharge

If anything goes wrong, chat with us using the chat feature at the bottom right of this screen

View Comments

Leave a Reply

Your email address will not be published.

Recent Posts

U.S govt putting pressure on Kenya over digital tax

A couple of months ago Kenyan President Uhuru Kenyatta approved the 2020 Financial Bill. The…

September 25, 2020

Podcastle, a Chrome extension that turns articles into podcasts

The one problem that I have had with text-to-speech software is that it often doesn't…

September 25, 2020

PropertyPro expands to more African territories including Zimbabwe

PropertyPro is a Nigerian-founded startup that offers a property portal with the aim to meet…

September 24, 2020

You can now buy ZESA tokens online on Techzim Market!

A number of Techzim Community members have been asking if they could buy ZESA tokens…

September 24, 2020

ZimArt Shop, an eCommerce platform for visual artists

Antfarm Zimbabwe, a local website and software development company, has announced the launch of an…

September 24, 2020

Rocket League goes free-to-play – See why the game was played by 75 million people

Another one! This has been a crazy week for PC gamers. From Football Manager 2020…

September 24, 2020