Zimbabwe processed Point of Sale (POS) transactions worth US$2.9 billion in 2016 with POS volumes increasing by 260% during the same period. POS transactions are all payments made at swipe machines using plastic money in the form of debit and credit cards.
According to the Reserve Bank of Zimbabwe 2017 Monetary Policy Statement, the value of POS transactions jumped from US$1.72 billion in 2015 to the US$2.9 billion total recorded in 2016.
You can download Zimbabwe’s 2017 Monetary Policy by following this link
There were 52.41 million POS transactions in 2016 up from 14.54 million in 2015. For the first time since the adoption of a multi-currency system POS transaction values exceeded ATM values, indicating another migration from ATM activity which is also a reflection of cash circulation through registered banks.
These changes are all attributed to the cash crisis in Zimbabwe which plagued the country throughout 2016 and has continued to affect transactions in cash. Zimbabweans have been forced to adopt cash alternatives which include plastic money as well as mobile money services.
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4 comments
How much of that amount is revenue for Zimra?? Stand to be corrected but I think they get 5 cents for every swipe one makes. Nice one Chinamasa!
Here is the danger – as banks see more revenue from transaction charges, they become less inclined to give out loans and mortgages – thereby depriving the economy of capital for new businesses, machinery, factories etc. Zim banks are lazy – don’t even think that it won’t happen – it will. They were too lazy to try find ways of accommodating informal sector and that’s how mobile money became such a force. Saka when they see the profits rolling in from card swipes while they sit on their hands, they will simply close the loan offices upstairs. That farmer who wants to buy a combine harvester – that dude with 5 – 10 kombis who now wants to bring in a bus – that trader who now wants to set up her own factory – who is gonna lend them this money now??? Foreign banks can – but that depends on whether we get along with the home countries of those foreign bank. If they don’t like your politics, they can cut you off anytime. We just slipping deeper and deeper.
FBC is one such bank with EXTREMELY RIDICULOUS bank charges!
F*ck the banks!