Online Reporter
Richard Muponde
Senior Reporter
THE Reserve Bank of Zimbabwe’s (RBZ) Financial Intelligence Unit (FIU) is expanding operations to other cities and towns outside Harare in a move aimed at consolidating the stability of the Zimbabwean Gold (ZiG) and ensuring nationwide compliance with currency exchange regulations.
A massive recruitment drive of FIU inspectors has started while plans to establish offices in Bulawayo by May are at advanced an stage.
The decentralisation will continue in other provinces, targeting areas with lower compliance levels.
In previous years, Zimbabwe has experienced currency volatility caused by economic saboteurs through currency manipulation.
But over the past five months, the ZiG has been stable, with parallel market rates now almost at convergence with the official rate.
This stability came after the FIU launched blitzkriegs targeting businesses, banks and the informal sector to restore sanity in the economy.
In an interview with The Herald, FIU director-general Mr Oliver Chiperesa emphasised the need for the unit’s expanded presence to consolidate the current economic stability and tackle pockets of resistance to compliance, particularly in areas outside the capital city.
“The FIU currently has offices only in Harare, and this year we are starting to move to other centres, starting with Bulawayo. At the moment, we are recruiting inspectors to beef up the current numbers,” he said.
Mr Chiperesa attributed the stability of the ZiG to heightened compliance among businesses, bolstered by efforts from the FIU, the security sector, and the Government crack down on currency manipulators and economic saboteurs.
The FIU director general acknowledged that compliance levels remain inconsistent in areas where the FIU does not have a permanent presence.
“We have been receiving reports from other centres that businesses there have lower compliance levels. We have been sending some teams on an ad hoc basis to those centres, and we found that indeed in areas where the FIU does not have a presence, compliance levels among traders tends to be lower,” he said.
Compliance means businesses across the country must accept all currencies under use in Zimbabwe, and all methods of payments.
Mr Chiperesa said to address this gap, the FIU’s expansion drive will ensure that traders in all provinces adhere to currency regulations.
He said the establishment of permanent offices in Bulawayo is a first step, with plans to review and expand to other towns and cities in the future.
“We want to make sure we have a presence in all major centres of the country, starting with Bulawayo. We will review where else we need to deploy permanent FIU offices,” Mr Chiperesa said. He reiterated the FIU’s commitment to enforcing regulations and making sure that the stability being enjoyed at the moment is maintained.
“We want to consolidate the current stability and make sure that businesses in all provinces are complying with the monetary requirements,” Mr Chiperesa said.
Sharp disparities between official and parallel market exchange rates fuelled economic instability in the past.
However, the Government and the central bank have made concerted efforts to stabilise the ZIG through regulatory enforcement and interventions targeting black market operators.
