Fight money laundering, says Prof Saasa

 

GOVERNMENT. in…………….. collaboration with commercial banks must establish a system that will easily monitor how much money comes in and goes out of Zambia to avoid money laundering, says economist Professor Oliver Saasa.

Prof Saasa said the absence of exchange rate controls did not mean license for money laundering. He said Government must be able to put incentives in collaboration with commercial banks that would easily monitor how much money came and went outside the country.  He said Government and commercial banks would be able to monitor money movements and put up corrective measures if proper regulations were in place.

“Lack of exchange rate controls does not mean allowing money to go fluently including money laundering. There are people who will actually go and pirate and bring money because there are no controls. Lack of control however does not mean allowing wrong doers to come to Zambia and do wrong things,” he said.

Professor Saasa observed that there were certain businessmen who shipped money they made through bureaux de change hence causing capital flight.

“For example you have shop owners who do not want to take their money to the banks but opt to take it to the bureaux de change to buy dollars and ZRA does not even see it and then it goes away,

“There are some who will make money and ship it through the bureaux; that is money laundering and capital flight,” he said.

He said Government must ensure and insist that companies with a turnover of US$2 million have ATM machines in their shops to allow money reach the banks and reduce capital flight.

“Government must ensure that companies with a turnover of US$2 million insist that they must have ATM machines. Customers would then buy goods using the card option,” he said.

One thought on “Fight money laundering, says Prof Saasa

  1. I have observed activities of money laundering activities being funneled within the country, and my concern is with people offering their firms as trustees and shell companies to such activities. I would like to submit that Regulation and Supervision of micro finance companies and trusts be looked into seriously, as such activities seem to be diverting from alleviating poverty but may be the cause of our economic crisis

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