Paul Nyakazeya, Group Digital Editor 
TRANSACTIONS processed through the National Payment System (NPS) rose to $15,19 billion during year ending January 3, 2020 from $2,46 billion recorded during the same period last year, as money supply increased in response to inflationary pressures.
According to latest figures from the Reserve Bank of Zimbabwe, Real Time Gross Settlement (RTGS) transaction values stood at $10,37 billion, up from $1,55 billion realised last year.
The distribution of NPS transactions in value terms was RTGS, 69 percent; mobile, 22 percent; Point of Sale (POS), 10 percent and Automated Teller Machine (ATM), 0,18 percent.
An ongoing liquidity crisis has seen Zimbabweans warm up to electronic payments. In response to the worsening cash crisis, the central bank encouraged the use of plastic money, which resulted in the roll-out of more point of sale terminals in supermarkets and retail businesses.
Most service providers in both the public and private sectors have adopted mobile money as a means for processing payments, placing the channel as the most common alternative for the country’s unbanked population which is largely dominated by the informal sector.
“NPS transaction volumes declined by 3,25 percent, to close the week ending January 3, 2020, at 34,05 million transactions from the previous week ending December 27,” said RBZ.
Mobile-based transactions contributed 78,82 percent of the total volume of transactions, followed by POS, 20,11 percent; RTGS, 0,71 percent; and ATM, 0,35 percent.
Meanwhile, average deposit rates for savings and deposits of three- month tenor remained unchanged at 4,74 percent and 5,46 percent, respectively from the last week of December.
Average rates for deposits of one-month tenor, however, gained 0,06 percentage points to close at 5,22 percent during the same period.
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