* Banks may only keep up to 25 pct of balances offshore from
March 1
* C.bank says about $450 mln held in offshore accounts
* Zimbabwe mulls $50 mln infrastructure bond, analysts
cautious
By Nelson Banya
HARARE, Feb 16 (Reuters) – Zimbabwe will limit the
amount of cash local banks can hold in offshore accounts,
Finance Minister Tendai Biti said on Thursday, in its latest
move to ease a dollar crunch in the wake of the collapse of its
own currency.
The southern African country has been battling a dollar
shortage since the start of 2012 due to a lack of dollar inflows
on foreign investor concerns over government policies.
The country gave up using the Zimbabwe dollar in February
2009 after it was destroyed by hyperinflation that peaked at 500
billion percent. It switched to using foreign currencies
instead, mostly the U.S. dollar.
Biti said on Thursday that banks will have to repatriate
from March the bulk of funds they hold in so-called Nostro
Accounts, or offshore accounts used for international payments
and forex trades.
“With effect from March 1, 2012, banks will, therefore, be
required to maintain in their Nostro Accounts a maximum of 25
percent of their balances off-shore,” Biti said in a statement,
adding that the ratio of offshore balances would be raised to 30
percent from June 1.
Continued…
