ZSE formally suspends trading following Government directive

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ZSE formally suspends trading following Government directive

THE Zimbabwe Stock Exchange (ZSE)  said on Monday it had suspended trading “until further notice” in  compliance with a government directive after the bourse was listed  among platforms allegedly being used to sabotage the economy.

Government last Friday singled out mobile money platforms and the ZSE  as vehicles that were being used to undermine the economy through  tinkering with the exchange rate by promoting illegal exchange rates  and currency trades.

And while government wanted to suspend use of mobile money platforms  across the board, until the sector was cleaned up, the Reserve Bank of  Zimbabwe later spared the public which relies on the platforms for  daily transactions, after a huge outcry.

 Businesses on the other hand were limited to primarily using mobile  money for receiving payments.

 The ZSE said trading would remain suspended as consultations are  on-going with stakeholders.

 “Whilst we await guidance from our regulators on the operational  modalities going forward, we notify our stakeholders that trading has  been suspended until further notice,” said ZSE chief executive, Justin  Bgoni.

 Government accused the ZSE of harbouring “fake counters” that were  also using the Old Mutual Implied Exchange Rate in the conduct of  their business promoting the existence of many exchange rates in the  economy.

 The ZSE, whose operations are overseen by the Securities Exchange  Commission of Zimbabwe, is yet to respond to the allegations. Chronicle

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