Central Bank committed to settling blocked funds

By ZBC Reporter
RESERVE Bank of Zimbabwe (RBZ)Governor, Dr John Mangudya said the Central Bank is committed to settling blocked funds with 730 applications amounting to US$1.2 billion having been processed to date.
Speaking during his presentation of the 2020 Monetary Policy this Monday, the Governor hinted that requests were going through vigorous vetting to ensure there is no double-dipping.
“Government through the bank is committed to orderly settlement of blocked funds – cash flows generated in Zimbabwe by foreign entities that could not be repatriated to foreign suppliers due to foreign exchange shortages or commonly referred to as foreign exchange legacy liabilities,” Dr Mangudya said.
“To date, Exchange Control has processed and validated blocked funds in an amount of US$1.2 billion from 730 applicants out of 1 080 requests.”
The Governor said 350 transactions are still being processed for finalisation before month-end.
“Of those processed 299 transactions with a value of US$861 million were rejected for various reasons ranging from double-dipping to lack of supporting documentation.
“The balance of 350 transactions with a value of US$457 million are being processed for finalisation by February 29, 2020. The validated blocked funds exclude the legacy foreign exchange obligations of US$361 million under the RBZ Debt Assumption Act.”