Zimbabwe’s Econet curbs mobile-money transactions on regulator’s order

22/10/03. Strive Masiyiwa, CEO of Econet Wireless International.

22/10/03. Strive Masiyiwa, CEO of Econet Wireless International.

Published Aug 26, 2020

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By Ray Ndlovu

JOHANNESBURG - Econet Wireless Ltd. is imposing restrictions that limit the size and range of transactions on its mobile-money platform to comply with an order from the Reserve Bank of Zimbabwe.

The central bank is seeking to curb foreign-exchange trading in the black market that it blames for weakening the local currency. The government has accused Econet’s mobile-money unit, EcoCash, which accounts for 98% of commerce in the country, of facilitating such dealings, which it has denied.

EcoCash has limited daily transactions to Z$5,000 ($60) for individuals, restricted its wallet service to one per customer and abolished agent lines, which previously could process large transactions, the company said in a statement.

The central bank has extended an Aug. 15 deadline for all mobile-network operators to process their mobile-money operations through ZimSwitch, a state-owned national payments system, to Sept. 30.

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