Government blacklists companies for fueling parallel market

Online Desk |  1 year ago | top

Government has blacklisted 19 companies it had contracted for various services for fueling speculative currency exchange rates and driving parallel market activities that lead to economic instability. 

in a statement yesterday, Finance and Economic Development Minister Mthuli Ncube said the move follows investigations by the Financial Intelligence Unit (FIU) which showed that contractors including Mwendo Africa, Redan Coupon, Nariox, New Age Marketers, Pepwit Investments , Tirumi Investments and Nisbank Enterprises would offload huge amounts in local currency on the black market to purchase foreign currency. 

The companies are also accused of engaging in transactions not related to their line of business and purchasing fast moving consumer goods from various manufacturers for sale exclusively in foreign currency. 

Minister Ncube said the Procurement Regulatory Authority of Zimbabwe will be advised to blacklist the entities from doing business with the government. 

The measures being implemented are in sync with the announcements by President Emmerson Mnangagwa in May this year, which managed to instill discipline and curb speculative behaviour.