Treasury Orders Ministries And Councils To Stop Charging For Services In Forex

Treasury has directed Government Ministries, Departments and Agencies (MDAs) as well as local authorities to stop charging for goods and services in foreign currency.

In a letter to all MDAs and local authorities, Permanent Secretary in the Ministry of Finance and Economic Development George Guvamatanga said charging for goods and services in foreign currency is illegal. He said:

Any collection of fees and levies for services rendered in foreign currency by Government Ministries, Departments and Agencies, as well as local authorities is illegal and should be in local currency at the prevailing interbank rate unless granted exceptional written approval by Treasury.

… Section 78(1) of the Public Finance Management Act (CAP 22:19), empowers Treasury to prescribe or issue instructions or directions to ministries, whether individually or collectively, concerning the determination of any sales or fees, other charges or rates relating to revenue accruing to the Consolidate Revenue Fund.

The directive came as some Government agencies, as well as local authorities, have been demanding payment for some services exclusively in foreign currency.eBusiness Weekly