A national payment system is a configuration of institutions supported by an infrastructure of technology driven processes and practices. This helps to facilitate commercial and financial transfers between buyers and sellers. A country’s payment system greatly reflects its banking and financial history as well as the development of supporting communication and technology platforms.
The Reserve Bank of Zimbabwe (RBZ) has reported that electronic transactions now dominate the national payment systems in the country. This shift towards electronic transactions is a result of technological advancements and various efforts made to promote financial inclusion and efficiency in the financial system. The RBZ has been implementing measures to improve the electronic payment infrastructure in Zimbabwe. Some of these measures include implementing real-time gross settlement systems (RTGS), mobile banking services, and promoting the use of electronic wallets and cards. As a result electronic transactions have become the preferred method of payment for many Zimbabweans, greatly reducing the reliance on cash transactions.
Mobile money services such as EcoCash, OneMoney, and Telecash have become the norm in Zimbabwe and these are being widely used for various transactions including bill payments, transfers, and purchases. These services have become increasingly popular due to their convenience, speed, and accessibility especially in a country where traditional banking services are limited. Additionally, the use of electronic transactions has also helped to combat the issue of cash shortages in the country as individuals and businesses are able to conduct transactions digitally instead of relying on physical currency. Overall, electronic transactions have become an integral part of the national payment system in Zimbabwe, and are likely to continue to grow in popularity in the future.
The Reserve Bank of Zimbabwe says the value of electronic transactions processed through the national payment systems end of 2023 increased by 33% from $84, 44 trillion to $ 112,15 trillion within the period of one year.
While electronic transactions have numerous benefits, such as convenience, speed, and efficiency, there are also some disadvantages associated with using electronic payment systems in a national context. Some of the potential drawbacks include:
1. Security concerns: Electronic transactions are vulnerable to cybersecurity threats such as hacking and identity theft. This can result in financial losses and compromise personal information.
2. Reliance on technology: Electronic payment systems rely on technology infrastructure, such as internet and electricity. Any disruptions or outages in these systems can pose challenges for individuals and businesses relying on electronic transactions thus bringing businesses to a standstill.
3. Transaction fees: Some electronic payment systems may charge transaction fees, which can add up over time and increase the cost of using such platforms.
4. Limited accessss: In some cases, individuals in remote or underserved areas may not have access to electronic payment systems, limiting their ability to participate in the formal economy.
5. Privacy concerns: Electronic transactions often require individuals to share personal and financial information, raising concerns about privacy and data security.
6. Risk of fraud: Electronic transactions can be prone to fraud, such as unauthorized transactions or payment disputes, which may require additional time and resources to resolve.
Overall, while electronic transactions have revolutionized the way payments are made, it is essential to be aware of the potential disadvantages and take steps to mitigate risks associated with using electronic payment systems.
The following survey reports are available
- Sectorial-Based Salary Survey Reports
- National Salary Survey Report (Consolidation of 13 Sectors)
- Non-executive Directors Fees Survey Report
- Human Resource Policy Documents