Zimbabwe starts closing down service stations insisting on cash

Zimbabwe has so far closed three service stations that are insisting on cash and refusing other forms of payment, according to Energy Minister Fortune Chasi.

He said on his twitter handle that the Zimbabwe Energy Regulatory Authority had shut down Ruyamuro Service Station in Glendale and another one at Nzvimbo Growth Point in Chiweshe because they were refusing other forms of payment except cash.

Engen Harare Street and Robert Mugabe Way was also facing a similar fate after it was reported to be insisting on cash.

“It was reported to the oil company which has summoned the dealer & revocation of dealership is now in progress,” Chasi said.

“Other service stations awaiting due process,” he added.

Zimbabwe has been facing a serious cash shortage for some time and electronic money has become the most popular means of paying for goods.

People are insisting on cash as there is a 30 to 40 percent premium on those who want cash and some are using the cash to buy United States dollars which they can then change to RTGS thus making a 30 to 40 percent profit.

The United States dollar is currently trading at 1: 8 for the bond note but 1: 11.3 for the RTGS dollar.

(200 VIEWS)