By Farai Maguwu| Again Zimbabwe is going down because of an individual who plays front for some powerful politician(s).
The latest national crisis triggered by Kudakwashe Tagwirei is the withdrawal of DEUTSCHE Bank’s correspondent banking services from Stanbic Bank – one of the most trusted banks in Zimbabwe.
This move is linked to some of the bank’s clients, principally Kudakwashe Tagwirei who has emerged as the kingpin of a well oiled national and transnational organized crime syndicate whose business empire has now captured financial, transport, fuel and mining sectors of Zimbabwe.
Tagwirei’s companies such as Bindura Nickel Corporation and Freda Rebecca transact through Stanbic. The opaque nature of and allegations of illicit activities against these institutions have made Stanbic transactions difficult to handle at the international level.One of the banks transacting through Stanbic is CBZ.
In 2017 CBZ Bank was fined $385 million by the US Office of Foreign Assets Control (OFAC) for handling some transactions on behalf of ZB Bank, then under US sanctions. In 2020 it was warned for continuing to undermine S541.201 of the Zimbabwe Sanctions regulations.
This move by the Deutsche Bank has further raised the cost of doing business in Zimbabwe. It means Zim businesses which transacted through Stanbic now do it through a South African intermediary at a premium cost.Zim must now address the risks at the heart of this international isolation.
This calls for internal dialogue and stern measures aimed at tackling corruption, organized crime, violence and human rights. We need inclusivity, good governance & property rights and stability. It is NOT impossible. It needs political will.