Zimbabwean banks are under siege as they wrestle against inhibitive costs including importing Automated Teller Machines (ATMs )while the total landing costs has to go through extra VAT costs and duty before the installation cost are even considered, hampering the growth of mobile money in Zimbabwe.
Speaking during the recently held mobile money and digital payments conference, CBZ Divisional Director, Mr Tawanda Matembo revealed that it costs them a whopping $31 000 to land a single ATM in Zimbabwe, where 30 % of the cost are nothing but Zimbabwe taxing system cost.
“It cost us $31 00 to land a single ATM in Zimbabwe a much more exorbitant cost compared to other countries,and we are also subjected under 15% VAT costs and another 15 % duty for importing which is a heavy cost to institutions and retrogressive” said Matembo.
He also said most banks are now resorting to much cheaper Point of Sale (POS) machines which land at $510 to allow consumers to swipe at various terminals across the nation.
The government had initially scrapped duty on ICT, while Hon Nelson Chamisa was the ICT minister, a move which was then reintroduced when Shamu came in, causing many to blame him for sleeping on the job.