News / National
Zimbabweans sleep outside banks to access money
03 Jun 2017 at 17:32hrs | Views
A shortage of cash in Zimbabwean banks is forcing citizens to sleep on pavements as they wait to access their money.
Zimbabwe ditched its own currency for the US dollar and other foreign currencies in 2009.
Last year's cash shortage forced banks to impose a daily maximum withdrawal.
Most people are limited to withdrawing a maximum of R400 a day.
Economic analyst Nelson Banya says there is a crisis of confidence in the economy in general and the financial sector, the banks, in particular.
"This is shown by the dearth of new cash deposits into the system. The financial system does say in terms of official figures that they are sitting on $6-billion (R76.8-billion) in deposits, but anecdotal evidence points to the fact that there is very little if any physical cash deposits going into the system ...
"That is then manifesting in the long lines that refuse to go away. People are simply drawing cash out from the system."
Zimbabwe ditched its own currency for the US dollar and other foreign currencies in 2009.
Last year's cash shortage forced banks to impose a daily maximum withdrawal.
Economic analyst Nelson Banya says there is a crisis of confidence in the economy in general and the financial sector, the banks, in particular.
"This is shown by the dearth of new cash deposits into the system. The financial system does say in terms of official figures that they are sitting on $6-billion (R76.8-billion) in deposits, but anecdotal evidence points to the fact that there is very little if any physical cash deposits going into the system ...
"That is then manifesting in the long lines that refuse to go away. People are simply drawing cash out from the system."
Source - eNCA
