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Business Reporter
THE Reserve Bank of Zimbabwe (RBZ) has given money transfer company, InnBucks, which operates under Simbisa Brands, greenlight to bounce back and now operates as a product of Ndoro Microfinance Bank Limited, a registered microfinance bank.
In April, the Reserve Bank of Zimbabwe suspended InnBucks from foreign currency exchange trading as it moved to instil sanity and stability in the financial services sector.
In a joint statement, InnBucks, Ndoro Microfinance and Simbisa Brands announced the return after what it called constructive engagements with the regulator, which resulted in the licensing of InnBucks product.
“We are pleased to advice all our customers and stakeholders that the regulators have authorised the launch of the InnBucks product.
Existing InnBucks account holders will have their accounts automatically reactivated,” reads the statement.
“InnBucks now operates as a product of Ndoro Microfinance Bank Limited, a registered microfinance bank. This arrangement will bring additional services and benefits to InnBucks customers.”
According to the statement, the network has more than 260 Quick Service restaurants of Simbisa Brands limited.
When InnBucks was suspended, there were mixed reactions from a cross-section of its clients as some decried the move citing the need to promote financial service innovation and consumer convenience.
Others welcomed the decision saying to protect the transacting public, non-compliant players should not be allowed to operate.
At that time Central Bank governor Dr John Mangudya had said InnBucks had not fulfilled laid down operating regulations.
“In November 2021, the bank directed InnBucks to apply for and obtain necessary approvals in order to continue offering the service.
“To date, the company has not yet regularised the service as directed, hence the inevitable regulatory intervention by the bank.
The cessation of the service means that customers shall no longer be able to deposit funds into the InnBucks account or transfer the funds to third parties.”
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