As 65 illegal forex dealers appear in court, few seem to care, and here is why

person in handcuffs holding bundles of cash — Photo by Tima Miroshnichenko on Pexels.com

The National Prosecuting Authority (NPA) says 65 illegal forex dealers have appeared before the courts.

The whole situation has, however, created little to minimal interest in people, and we will explain why.

Here is what the NPA said first of all:

Sixty-five people were arraigned before the Harare Magistrates’ Court facing charges of contravening section 5(1)(a)(ii) of the Exchange Control Act [Chapter 22:05] as read with section 4(1)(a)(1) of the Exchange Control Regulations SI 109 of 1996 “Dealing in foreign currency”.

The accused persons, some of whom were found in possession of point of sale (POS) machines and various credit and debit cards, were apprehended at various sites and points across Harare.

They appeared in court on the 20th of April and were remanded in custody to the 22nd of April 2024 for bail applications.

The boy who cried wolf might be the go-to scenario. In this instance, the boy is the state and the wolf is the, well new policy.

There has been no interest in this development because as far back as 2005, a new policy has resulted in the arrest of illegal forex dealers.

For many, it feels like another case of showmanship, where the new idea appears to be doing something. Many expect settings to return to what they were before.

After all, it is nearly 20 years of the same dance, and the result has largely been the same.

Part of it stems from the belief that those arrested are not the real dealers. Many are seen as runners, and the real drivers of the industry, while not faceless, are untouchable.

The new Reserve Bank of Zimbabwe (RBZ) governor, Dr John Mushayavanhu, should not take this as a slight on his intentions. He probably means well.

There is also this.

Yes, he says 80% of transactions locally are in United States Dollars (USD). And then he adds that those wishing to pay for foreign services in USD can get it, no hustle. Included are personal expenses like school fees and the such.

Except a lot of those in that 20% probably want to pay their rent. No one is accepting rent in local currency as we speak. And that includes the stronger ZiG.