No Plans to Withhold Forex From Diaspora Remittances - RBZ
"Diaspora remittances are treated as free funds, which recipients can receive in foreign currency and change freely at their instance and preferred licensed agencies" - RBZ
No Plans to Withhold Forex From Diaspora Remittances – RBZ
Harare, Zimbabwe – The Reserve Bank of Zimbabwe (RBZ) has issued a statement clarifying that there are no plans to change the current Diaspora Remittances Policy, which allows recipients to receive foreign currency freely without forced exchange.
In the statement signed of by the central bank governor John Mushayavanhu, dated today 16th August 2024, the RBZ said that remittances are crucial to the economy, accounting for 17% of foreign currency receipts, and the Bank will continue to explore incentives to boost flows, not hinder them.
This follows the circulation of a video in which a senior RBZ official suggests that the central bank was exploring ways of withholding foreign currency earned through remittances.
Read statement below:
DIASPORA REMITTANCES POLICY CLARIFICATION
The Reserve Bank of Zimbabwe has noted the circulation of a video on social media whose discussion was focused on strategies for formalization of the informal sector and the resultant concerns from the market regarding misconstrued plans to review the current Diaspora Remittances Policy.
No Plans to Withhold Forex From Diaspora Remittances – RBZ
Accordingly, the Reserve Bank wishes to put it on record that there are no plans to introduce a New Diaspora Remittances Policy. In terms of our current Exchange Control regulations, Diaspora remittances are treated as free funds, which recipients can receive in foreign currency and change freely at their instance and preferred licensed agencies, as is the best practice globally. For the record, the diaspora remittances have continuously supported the economy, accounting for 17% of the total foreign currency receipts. Given the importance of remittances in the economy, the Reserve Bank will continue to explore incentives to boost remittance flows and not to hinder such as misconstrued.
Diaspora Remittances Propping Up Zimbabwe Economy
The Reserve Bank would like to assure the public and all stakeholders that recipients of diaspora remittances will NOT be FORCED to change their free funds at the point of collection and at any other time.
