HARARE, October 11 (The Source) – Econet Wireless Zimbabwe’s mobile money platform, EcoCash on Wednesday suspended the use of its debit card to pay for international transactions, as the country’s foreign currency shortage intensifies.
Local financial institutions have been finding it hard to meet foreign payment obligation on the back of low nostro balances. In August, Econet capped monthly online purchases at $50.
“Due to the prevailing foreign currency challenges, we regret that with immediate effect Ecocash will be suspending international transactions on the debit card,” said Econet in a statement.
“However, with effect from 1 November 2017, we are happy to advise that you will be able to transact with the debit card outside Zimbabwe upon refunding your card at your nearest Econet shop.”
The card will remain in use within Zimbabwe as all local limits remain unchanged.
Zimbabwe has been in a deepening cash crisis since March last year as a widening deficit and a stronger US dollar, its adopted currency since 2009, weighed heavily on the economy.