The High court of Zimbabwe has invalidated the exchange control directive which arbitrarily imposed the conversion of the USD balances to RTGS dollar.
Justice Happious Zhou who presided over the matter set aside currency separation, declared it illegal, null and void.
Justice Zhou said the apex bank should have preserved all balances in United States dollars, with its directive affecting only future transactions.
“No reasonable person who had applied his or her mind to the matters in question would have taken the decision which has the effect of eroding a person’s investment or savings in this manner.”
In 2018, the Reserve Bank of Zimbabwe announced fiscal and monetary changes including a 2 percent tax on money transfers and conversion of account balances into RTGS.
Honourable Tendai Biti successfully won the case against CABS, the Reserve Bank of Zimbabwe and the Ministry of Finance.
Biti whilst arguing the matter, simply stated “you cannot give me goats when i gave you cows.”
Justice Zhou ordered all USD debts to be paid in forex not in rtgs and all rtgs ones as such.