RBZ repays raided bank accounts

The RBZ has issued $300 million worth of Treasury Bills to local banks to compensate companies whose foreign currency accounts it raided during the hyperinflationary era.

The move is mean to forestall legal claims by the companies against the banks following a landmark ruling by the Supreme Court ordering Standard Chartered Bank to reimburse US$45 000 seized for a Chinese-owned firm China Shougang International's account by the State in 2007.

It could not be established how much banks owe private companies, non-governmental organisations and other institutions for foreign currency raided by the RBZ to meet what was then described as pressing national obligations.