Treasury has pledged to work with domestic financial safety net players and members of the International Association of Deposit Insurers (IADA) in strengthening frameworks aimed at extending deposit protection to financial technology linked deposits.
Members of the IADI are attending the annual regional committee meeting in Victoria Falls being hosted by the Deposit Protection Corporation of Zimbabwe with a view to share ideas on how best to enhance depositors’ protection.
In a speech read on his behalf, the Minister of Finance and Economic Development, Dr Ignatius Chombo said Zimbabwe has prioritised financial inclusion and challenged regional deposit insurers to find innovative ways to extend protection to consumers of financial technology products.
Reserve Bank of Zimbabwe (RBZ) Deputy Governor, Dr Jesimen Chipika said on its part, the apex bank has come up with guidelines aimed at managing the risks associated with the introduction and operation of electronic payment schemes.
IADI Regional Chairperson, Mr John Chikura and IADI Secretary General, Mr David Walker stressed the association’s resolve to help member countries to create sound regulatory frameworks to provide depositor protection in face of the growth in financial technology linked products.
The growth in digital financial services and products in Africa, especially those linked to mobile money services, has brought about new challenges and opportunities for regional government and deposit insurers.