Malawi and Mozambique want to increase trade flow in specific corridors in both countries
Central Bank and partners on alert for counterfeit money – Noticias
1:50 CAT | 05 Mar 2020
File photo: Noticias
In an effort to reduce counterfeiting, the Bank of Mozambique and other credit institutions and financial companies yesterday made a commitment to share responsibilities in the circulation of metical notes and coins.
As regulator of the financial system, the Bank of Mozambique, together with representatives of commercial banking, initialled a memorandum of understanding in which the parties undertake not only to guarantee the verification of the authenticity of money but also to control the selection, distribution and handling of bank notes and coins.
The country has recorded sporadic cases of counterfeiting, usually using computer equipment.
Under the agreement signed yesterday, the central bank, as the issuing entity, is responsible for ensuring the integrity of the metical notes and coins in circulation, monitoring the level of their quality, and educating the public in handling and conservation.
In turn, credit institutions and financial companies have responsibility for selecting and verifying the authenticity of money crossing their hands, not only to protect themselves from losses due to counterfeiting, but also to ensure that notes and coins in circulation are genuine and of good quality.
According to the governor of the Bank of Mozambique, Rogério Zandamela, the partnership will also contribute to improving the management of notes and coins, and will promote greater efficiency by ensuring that the selection, counting, transport and distribution of metical notes and coins takes correctly and economically.
“Appropriate regulations will soon be issued to make the division of responsibilities operational,” Zandamela said.
Noticias has learned that this measure is part of a process of modernising the Mozambican financial system undertaken by the Bank of Mozambique with the support of the Central Bank of Norway.
The agreement was initialled by Governor Rogério Zandamela and the managers of 20 credit institutions and financial companies operating in Mozambique, including banks such as Milenium Bim, BCI, Standard Bank, Absa, Banco Único, MBC, UBA and Capital Bank, among others.
Source: Noticias
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