14 June 2018
The Governor of the Reserve Bank of Zimbabwe, Dr John Mangudya, has urged people to create a cash light society to ease the need of hard cash in the country.
He was speaking during the launch of Homelink’s $8 million housing project in Bindura yesterday.
Dr Mangudya said there should be more use of plastic money in the country.
“We should create a cash light society where there is more use of plastic money and transfers.
“Money that is transferred through RTGS should be used in the same manner it was deposited in the bank,” he said.
Dr Mangudya said foreign currency should be preserved to support industries.
“Let us preserve foreign currency so that we can promote the growth of industries in Zimbabwe.
“We spent more money on consumption than savings, consumption increases the demand for money hence we have to import more money for the banks,” he said.
The RBZ chief also urged people to save money for future investments.
“Many people going to the banks withdraw money to consume and not for savings.
“We need to reserve the system by ensuring that people save money and you only invest from savings.
“People must save money to improve the development of the country
“People always ask me why are there long queues on bank, it’s because the demand for foreign currency is higher than supply
“We are exporting less goods than what we are importing,” said Dr Mangudya.
He believes the housing project will create employment to the town.
The housing project will increase employment for community and increase income for the town through levies and taxes.
Homelink board chairman, Happymore Mapara, said they are developing houses that are affordable.
“At Homelink, we realise that shelter is a basic human need, a need we all share, one that’s essential to a healthy, happy nation.
“Construction of the housing units is expected to be completed before the end of the year.
“As a result, Homelink has developed a broad housing roll-out strategy that targets to offer affordable housing to all,” Mapara said.
Homelink is a subsidiary of the Reserve Bank of Zimbabwe which was established in 2005 to mobilise foreign currency from Zimbabweans in the Diaspora.