bank crisis hits zimbabwe, stock market under threat
There are very uncomfortable whispers in the business community at the moment in the halls of corporate Harare is the insolvency state of the banks and other institutions.
You see there individuals who in their account hold more than ten times what the bank can give it which means they could in reality get the banks closed down. You see there are people making trillions of dollars that the system cannot service. There is a cry for bank limits to be increased but reality is the money just isnt there is it?
Then with the news that you will now have to go to Fidelity Printers to get your chequebook printed even with the increase in daily limits the money you get from the bank is not worth the paper you write it on and it has been like that for a while.
You see the banking system has been crying foul about the fact that it has had to absorb the costs when it comes to charges for the printing of chequebooks. Currently they can only charge 2500 in fees but one cheque book was about 700 million the other day. The discrepancy is there for all to see. Only that you can’t use cheque cause noone is accepting cheque payments.
Meanwhile a source says the stock market could be shut down for a while. Word is that the companies listed are getting a bit uncomfortable with the numbers and so for liquidity reasons they don’t see it a good idea being in the stock market. Getting out is complicated because of the rules. So they are pushing for a suspension at least.
It’s testing times…