Ecocash Has Opened A New Remittance Centre In Harare
Ecocash has opened a new remittance centre at Joina City, located at the centre of Harare, Zimbabwe, which allows customers to receive money from both local and international sources.
The company said the remittance centre provides an integrated platform for all remittance-related services, including the EcoCash Cash-In and Cash-out services.
Ecocash said the centre aims to streamline the money transfer process, facilitating quick and secure transactions and ensuring a seamless customer experience.
The remittance centre is open for longer hours, including on Saturdays and half-day Sundays, to offer additional convenience to customers. The latest development comes after the recent reduction of the Intermediated Money Transfer Tax (IMTT) from 2% to 1% by the government, which has been widely applauded by the market and has resulted in an increase in the usage of mobile money services in the country.
Ecocash has been operating on low key since July 2020 when the Reserve Bank of Zimbabwe (RBZ) blocked EcoCash agents from conducting cash-in and cash-out transactions, citing concerns over illicit foreign currency dealings. The move was aimed at curbing the activities of illegal foreign currency dealers who were using EcoCash agents to exchange cash for foreign currency at exorbitant rates, causing distortions in the foreign exchange market.
The RBZ also accused EcoCash of failing to implement adequate Know Your Customer (KYC) and Anti-Money Laundering (AML) measures, which it claimed had facilitated illegal activities. The move caused significant disruptions to the operations of EcoCash agents, who had to suspend cash-in and cash-out services, leading to an outcry from customers who relied on the service for their daily transactions. The RBZ later reversed the decision, allowing EcoCash agents to resume cash-in and cash-out transactions, subject to new regulations aimed at curbing illegal activities.
Ecocash has implemented a new licensing system for its agents, which involves thorough vetting to ensure compliance with regulations and the mitigation of risks associated with illicit activities. According to an Ecocash officer who spoke to Pindula News, the new licensing system requires agents to provide proof that they have installed CCTV and panic buttons, among other requirements. The new guidelines are aimed at ensuring that only businesses that meet the required standards are licensed to offer EcoCash services, thus reducing the risk of illicit activities such as money laundering and illegal foreign currency trading. As a result, only big retailers or businesses that can meet the stringent requirements have been able to obtain the licenses.
