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Zimbabwe Bond Notes Set to Benefit Illegal Foreign Currency Dealers


FILE: An unidentified man displays the equivalent of $100 United States on a scale in Harare, Wednesday, March, 5, 2008. The Zimbabwean currency tumbled to a record $25 million for a single US dollar.

FILE: An unidentified man displays the equivalent of $100 United States on a scale in Harare, Wednesday, March, 5, 2008. The Zimbabwean currency tumbled to a record $25 million for a single US dollar.

Some illegal foreign currency dealers in Masvingo city say the proposed introduction of bond notes within the next two months is likely to boost their black market activities that were almost crippled by the adoption of multiple currencies following the dumping of the worthless Zimbabwe dollar in 2009.

Some of the dealers told Studio 7 that they are likely to take advantage of local people's discontent over the bond notes to make maximum profits from selling and buying the United States dollar which may almost vanish from banks after the introduction of the coupons.

Andrew Gumisai, who operates along Robert Mugabe Street in the city, said he was happy because the bond notes could be similar to the defunct Zimbabwe dollar as they are likely to stimulate the black market exchange rate.

The forex dealers have been struggling to make ends meet as Zimbabweans were accessing multiple currencies at local banks until recently when some of them almost ran out of the United States dollar. Some of foreign currency dealers made a fortune before the adoption of multiple currencies.

Black market dealer, Albert Hashu, said the bond notes will mean that people, who want to travel to other countries to import goods, will have no choice but to get foreign currency from them.

“You know people always say the wonderful old days but now we are awaiting to see the wonderful new days. We welcome the new bond notes to us it’s a good move, everyone was now using forex so it was difficult for us to make money through the foreign currency exchange deals so the coming of the bond notes is good for us because everyone will come to us, those for instance at flea markets when they want to buy their goods out of the country they will come to us with bond notes for forex and we will make money.”

Tofaneyi Tsobho, another forex dealer operating at Chicken Inn Food Court in the city, concurred, adding that they are eagerly waiting for the bond notes.

“For us I think it’s an opportunity to make money like we used to do during the 2008 era. It’s a blessing in disguise, even if the bond notes are not going to be used like the Zim dollars people will still come to us for an exchange rates to get forex when they want to go to buy things outside the country.”

Central bank governor John Mangudya says the bond notes are designed to promote exports in a nation facing serious economic problems.

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