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Terence Mukupe

COMPANIES and retailers are the biggest culprits of money externalisation in Zimbabwe, which has resulted in a cash deficit of nearly $1 billion, Parliamentary Portfolio Committee on Finance and Economic Development member Terence Mukupe said.

Addressing delegates to a retail summit on externalisation of funds, Cde Mukupe said people were pointing fingers at politicians and the government as the big exporters of money but companies were the biggest culprits from the papers that the government has.

Statistics indicated that a total of $1,8 billion was externalised last year illegally and legally by different people and during the first quarter of this year $50 million was shipped out.

“Last year a total of $1,2 billion was actually taken out by corporates and two of the culprits (Zimplats and BancABC) have been fingered already by the authorities.

“Individuals externalised $684 million last year and we’ve the Panama Papers that have come out and the individuals that are there are running retail companies and they’re using their executives that are involved in the exportation of money,” he said.

Cde Mukupe said most of the supermarkets are no longer giving cash back but people were buying with money.

“Where are you putting the money you’re realising? he asked.

Cde Mukupe said Zimbabweans have a collective responsibility to reduce the externalisation of money.

“To reduce that the government has stated that people must start to use the Point Of Sale systems and it’s surprising that some of the biggest wholesalers in the country don’t have Point Of Sale systems,” he said.

Cde said as a result a number of retail shops in the country were externalising money.

“Their products are only bought with cash and we don’t know where they’re banking their money because when you ask for a cash back it’s a nightmare for you to get one,” said Cde Mukupe.—BH24.