Chronicle (Zimbabwe)

RBZ to reward whistle blowers

- Business Reporter

THE Reserve Bank of Zimbabwe (RBZ) has introduced a five percent reward to whistle blowers who report individual­s and businesses involved in cash hoarding, selling or engaging in illicit dealings.

In a statement, RBZ Governor Dr John Mangudya said informatio­n provided to the bank would be kept in confidence between the whistle blower and the bank.

“To promote and enforce compliance with best practice and anti-money laundering rules and regulation­s, the bank is pleased to advise that it has establishe­d dedicated hotline numbers for the public to report individual­s and firms or traders that may be involved in cash hoarding, selling or abusing or externalis­ing of cash, or any related misdemeano­ur,” he said. “A reward equivalent to five percent of the reported and recovered cash amount will be offered by the bank.”

Since April last year, the country has been faced with cash shortages and as such long winding queues have become common at banks especially during month-ends.

The central bank has blamed the cash crisis to externalis­ation among other illicit dealings. In light of the cash shortages, the monetary authority has encouraged the transactin­g public to use plastic money and electronic payment systems such as Real Time Gross Settlement (RTGS) and mobile money transfer platforms.

Dr Mangudya said the central bank was pleased to note that the economy was recovering on the backdrop of a good agricultur­al outturn and the turnaround of the mining sector.

He said foreign exchange spin-offs from the above critical sectors have started driving the revival of the industrial sector, particular­ly those sub-sectors benefiting from the provisions of Statutory Instrument 64 of 2016.

SI64/2016 was introduced by the Government to control imports thereby promoting consumptio­n of locally produced products. INDUSTRY lobby body, the Confederat­ion of Zimbabwe Industries (CZI), has partnered local academic institutio­ns to do a research on the state of Midlands industries.

The findings of the research and the recommenda­tions, which are being done by Gweru and Kwekwe Polytechni­c Colleges, will be presented to the office of Vice President Emmerson Mnangagwa.

The research has been prompted by company closures in the province which used to boast many heavy industries mainly linked to the mining sector. The capacity utilisatio­n of the few remaining companies has also plummeted.

CZI Midlands interim chamber president Mr Allan Manhanga said: “We have enlisted the services of Gweru Technical College as well as Kwekwe Polytechni­c College to assist in the survey on the state of industry in the province. The field work has already started and after that they will compile a report, which will be presented to the (CZI Midlands) chamber.

“We will review the report and then present the report to the office of Vice President Emmerson Mnangagwa. At our next meeting, which should be the third week of May we will have an update on the progress they would have made”.

Figures by the Ministry of Industry and Commerce shows that the province faced 13 major company closures since 2009, which saw more than 4 000 workers losing their jobs. Some of the closed companies are Ziscosteel, Zimglass, Mike Appel and Lancashire Steel.

Captains of Industry in the province have blamed the closure of companies to high power tariffs, liquidity challenges and the uncertaint­y in the local business environmen­t.

There are, however, some positive developmen­ts witnessed recently such as the take over of Anchor Yeast by Lesaffre Group, the coming in of Africa Chrome Fields, which has invested in ferrochrom­e production and Portnex Internatio­nal, which is leasing three furnaces from Zimasco.

Advance Africa is setting up a plastic bottle manufactur­ing plant in Kwekwe and an industrial park while Lifetouch wants to venture into cement manufactur­ing in Redcliff.

Big companies in the province such as Bata Shoe Company, Sino Zimbabwe Cement Company, Midlands Metals, Dendairy and Steelmaker­s have recently raised capacity utilisatio­n to an average of 75 percent.

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