RBZ slash ZIPIT limits

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By Staff Reporter

The Reserve Bank of Zimbabwe (RBZ)’s Financial Intelligence Unit (FIU) has with immediate effect directed Zimswitch Technologies to reduce Zimswitch Instant Payment Interchange Technology (ZIPIT) daily and monthly limits.

Previously monthly transactions which had no cap will now be limited to $100 000 while daily transactions limit is now $20 000.

The directive was communicated by FIU director-general Wonder Kapofu to Zimswitch Technologies chief executive Cyril Nyatsanza through a letter.

Kapofu said the move was necessitated by the way the platform was being abused for money laundering.

“Until such time when adequate safeguards are built into the ZIPIT system to minimise the money laundering risk, Zimswitch is directed to implement with immediate effect daily and monthly ZIPIT limits of $20 000 and $100 000 respectively,” he said.

Kapofu said the new limits were set up cognisant of the fact that very few Zimbabweans earn more than $100 000 per day and those who do not have other payment options available for higher value transactions.

He justified the new development saying that the current ZIPIT limits of $100 000 per day allowed a customer (subject to any bank specific limits) to move about $3 million per month using a single account and much more if he/she is multi-banked and or uses third party accounts.

The FIU also revealed that ZIPIT system causes challenges makes for banks, regulators and law enforcement agencies to speedily identify counter parties to a transaction or to identify multi-banked user

 

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