adminMolline Gagare and Brighton Gumbo Business Reporters
SCORES of Bulawayo residents yesterday swarmed banking halls in the city centre to exchange old Zimbabwean dollar notes and coins for the United States dollars in line with the Reserve Bank of Zimbabwe (RBZ) directive.
The exercise is part of the demonetisation programme, which is aimed at bringing to an end the dispute over Zim-dollar accounts that were rendered useless when the country adopted the multiple currency system in 2009.
The central bank has said Zimbabwean dollar account holders should approach any bank and building society including the POSB and Zimpost to exchange their notes.
By around 9AM there were long winding queues outside banking halls such as Stanbic and Steward Bank with people carrying old notes in plastic bags and handbags.
Others were glued on RBZ notices pasted on the banking walls, specifying the denomination required for exchange.
Some were overheard making phone calls informing those at home to immediately come to the city centre with whatever old notes available at home with others texting messages to friends and relatives via WhatsApp.
Those who spoke to Business Chronicle expressed frustration over the value given in exchange for their notes.
One Irene Mutsvitsvo stormed out of Stanbic Bank in anger accusing RBZ of cheating them.
“I’ll rather go home and burn my money. The value of exchange is far too little compared to the time I’ve kept this money and considering the fact that I had to sweat to get hold of it,” she fumed.
The visibly distraught woman conducted a quick count of her notes totalling Z$1 quadrillion, which she said was being exchanged for only $4.
“The RBZ is taking people for a ride. If the money is worth nothing, then what do they want to do with it?” she blasted.
Another resident, Mike Phiri, said he has piles of old notes in Tsholotsho and said he would rather keep them.
“Considering the expense I’ll incur in the process of travelling to Tsholotsho, it’ll be unwise for me to embark on a journey for this sick money. How can a Z$500 note be exchanged for $2. That money was once someone’s pay. It had value but the economy was just bad at the time. At least $50 would be a fair price or even $20,” he said.
Counting numerous denominations in his plastic bag, Kenos Moyo said he was relieved to be finally getting rid of the old notes as they were a reminder of the hyper inflationary era.
“We’re now past the inflation era. That was a really difficult and painful time. I’m glad to get rid of all this money even though the price isn’t fair. I’ve more than Z$70,000 in this plastic bag and some more in Kezi, my rural home. I’ll call my wife to bring all the money that we’ve been keeping at home,” he said.
Long queues were also observed at Steward Bank with some people making enquiries before surrendering the old notes.
Enos Mpofu who had gone to change his lump sum refused to surrender the notes citing low exchange rate.
“I’m returning home with my money. These people are crazy. I’ll give the money to my grandchildren to play with or I’ll bury it. The RBZ should rethink the exchange rate,” he said.
Other banks said they would start exchanging old notes from today onwards.
The government of Zimbabwe through the Reserve Bank of Zimbabwe began the demonetisation of all Zimbabwe dollar notes and coins in an exercise that will continue until September 30.
The bank has said it will pay any person who was a holder of a Zimbabwe dollar denominated bank account as from 31 December 2008 a flat US$5 for every account that was held with a balance of zero to Z$175 quadrillion.
For any Zimbabwe dollar balances above Z$175 quadrillion payments have been pegged at a rate of US$1 to Z$35 quadrillion.
Holders of Zimbabwe dollar notes can approach any bank, building society, POSB and Zimpost to exchange their notes.
Online Reporter