Government has implored that it will ban companies importing fuel using foreign currency obtained from the Reserve Bank of Zimbabwe’s auction system whilst refusing to retail in local currency.
This comes after a lot of companies who sell fuel are charging it in US dollars distancing themselves from the local currency.
Speaking during a post-Cabinet media briefing on Wednesday, Minister of Information, Publicity and Broadcasting Services Monica Mutsvangwa said government has decided to prosecute and cancel fuel trading licences for offenders.
“Cabinet noted with deep concern that some fuel companies are abusing the foreign currency obtained from the Reserve Bank of Zimbabwe auction to procure fuel and then sell the fuel to consumers in foreign currency.
“The companies are supposed to follow laid down regulations, in order to enable the general motoring public to access fuel in local currency,” said Minister Mutsvangwa.
She said the government had been furnished with a comprehensive list of the companies and retail outlets abusing the forex facility and had directed that action be taken.
“The action involves prosecution of offenders, cancellation of fuel trading licences, or a heavy fines as shall be determined by the team of relevant line ministries in conjunction with the Reserve Bank of Zimbabwe as the source of the funds so abused,” said Minister Mutsvangwa.
RBZ has in the past came hard on companies that have been abusing funds obtained from the foreign currency auction system that was introduced last year so as to curb exchange rate instability and improve commodity prices.
