Latest News Editor's Choice

Business / Companies

StanChart rapped over transactions

by Staff reporter
25 Aug 2015 at 08:00hrs | Views

Analysts say Standard Chartered Bank Zimbabwe's plans to stop US dollar cross border transactions for selected account holders with effect from next month is a calculated move to avoid penalties associated with dealing with corporates and individuals under the US sanctions regime.

StanChart will stop facilitating cross-border transactions for account holders the bank deems high risk and linked to the ruling Zanu-PF party.

StanChart chief executive Ralph Watungwa, however, said the restrictions do not have a relationship with the current US sanctions regime.

Economist Brains Muchemwa said the decision will not only increase the cost of doing business for StanChart customers, but also put Zimbabwe in the limelight as a risky investment destination.

Source - the herald