Blocked funds: African Century banks on government

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AFRICAN Century is optimistic that the government will deliver on its promise to settle legacy foreign debts, which were registered as “blocked funds”.
Between 2015 and 2019, a number of companies could not remit payments to foreign suppliers and shareholders due to foreign currency shortages in the country.

After the introduction of an interbank rate of exchange, and conversion of bank balances to RTGS in July 2019, the government assumed the legacy foreign debts of some corporations, which in turn remitted to the bank the ZWL equivalent of the obligations at a rate of 1:1 with the US$.