New Zimbabwe.com

Mthuli Ncube Promises To Inject $500m To Ease Cash Shortages

Business Reporter

FINANCE Minister Mthuli Ncube says government will inject a further $500 million into the economy in the first half of 2020 to address the worsening cash crisis.

Thousands of desperate people continue to sleep outside banking halls waiting for banks to open in the morning and withdraw limited amounts.

Some are forced to pay premiums to get cash from mobile cash operators who charge up to 40% per transaction.

To address these cash challenges, Ncube said a further $500 million will be injected into the economy within the first half of this year.

“An additional $500 million in notes and coins will be put into the economy in the first six months of 2020. We expect this to ease the demand for physical cash and you won’t be ripped off by money dealers who sell cash.”

The Reserve Bank of Zimbabwe (RBZ) introduced new $5 and $2 notes and $2 coins to ease shortages of physical cash, but accessing the money in banks remains a challenge as corrupt officials divert cash into the black market.

The government has also announced that it will soon bring into circulation higher denominations.