Zimbabwe: Banks Face Collapse
Zimbabwe Independent (Harare)
25 January 2008
Posted to the web 25 January 2008
MAJOR commercial banks and other financial houses are facing a critical liquidity crisis largely caused by unlawful speculative investments which are now threatening to ruin the stricken institutions.
Information gleaned from an array of documents shows the situation has triggered tremors within the sector that was hit by a chain of high-profile institutional collapses in 2004. Cash shortages at the banks have compounded the situation as businesses and individuals are unable to access their money.
Almost all the banks — Barclays, Stanbic, Standard Chartered, CFX Bank, Kingdom, NMB Bank, ZB Bank, MBCA, ZABG, FBC, CBZ, Agribank, ABC Corporation, Genesis, Premier, Interfin and Renaissance, as well as building societies such as CABS, Beverley, FBC BS and Intermarket — are in dire straits.
The banks are facing liquidity problems because [continue reading]