The ability of the retail and wholesale sector to comply with a central bank’s minimum $20 per day cashback payout to clients is being hampered by the increased uptake of electronic transactions which has now recorded a 95 percent uptake.
It emerged at the 2018 retailers and wholesalers indaba in the capital today, the surge in plastic money usage has resulted in the sector demanding more point of sale machines.
The industry is however being now overwhelmed by the rise in demand of cashbacks, said a retailer Mr Archie Dongo.
“We are just focusing on the future relating to what can be done to sustain requirements of the industry in the future,” he said.
While embracing plastic money transactions is in line with global trends, retailers are now focusing on price stabilisation policies in line with government policy directives, said Retailers Confederation of Zimbabwe president Mr Denford Mutashu.
“It is just about what can be done to consolidate the sector at a time we are all pondering about the rise in demand for the cashbacks,” he said.
Some of the key features of the meeting included the impact of foreign currency shortages on pricing models, product availability, projected inflationary trends, mechanisms to stamp out profiteering, continuation of market forces on pricing models among other issues.