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Wednesday, February 15, 2017

How can Zimbabwe run a cashless economy. A laymans point of view

Zimbabwe could be the last independent country in Africa.
After years of economic oppression from foreign powers trying to impose their will on a people who want to live free from external influence, the spirit of Zimbabwe is only even more resilient.
In this vain, the Zimbabwean youth have to solve the problem of transactions and do away with using bond notes. Granted that things are really bad due to endless sanctions from 'master' (said in southern states slave voice tone), but being the home of one of Africa's billionaire business men, who happens to run a comms empire, then 75% of the work is done.
The western countries use electronic money transfers all the time, and now the made it easier with services such as a mobilee phone card reader that attaches to any android phone or iphone as described here: https://www.chargify.com/blog/how-to-choose-the-best-smartphone-credit-card-reader-for-your-business/.
Now Zimbabwe has an opportunity to tak advantage of this technologyby bringing the banks, telecoms and the public stake holders who are the merchants that need to transact 24/7. So the main problem being the lackof cash can be mitigated by availing as many people as poSsible with visa cards, then create a reliable internet backbone dedicated to cash transfers, and then engaging every merchant to have the mobile phone gadget which can be bought for 10 USD or provided for free from suppliers like www.payanywhere.com who charge an average of 2.7% per swipe.
What this would potentially do for Zimbabwe is reduce the need for carrying cash. A lot of Zimbos need cash to get transport, buy phone credit, buy a snack, pay for hair cut, pay for fuel, buy groceries, etc. Now the government is not in a position to release the sums required for these transactions,however if the money stays within the banking system but can be transfered accordingly for the required services, then every body wins.
So if the bus conductor, corner store clerk, street hawker are all educated to use the mobile credit card readers, then electronic payments can resolve the issue of bond notes so that everyone can access the goods and services they need without drawing cash.
Zimbabwe can be the first completely cash less society, the young leaders just have to step up and take their place.
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