Multi-directional change: Regulating public transport fares and payments in Zimbabwe

Abstract

As of March 2009, there was the cessation of the Zimbabwe Dollar as the nation's currency and the introduction of multi-currencies. The shift to foreign currency brought with it a host of foreseen and unforeseen changes. While the economy has been stabilised, one of the challenges of adopting foreign currency has been the scarcity of all denominations of these currencies, particularly coinage, where there is no availability of each amount from the smallest to the largest value. This has increased chaos in trade, particularly in the public transport industry as there is no fixed or regulated amount for each journey taken, partially because of the unavailability of coins for change. As a result, many public transport users are short-changed or delays and commotion results from the attempts by public transport operators to obtain change for their customers.<br/><br/> It is necessary for regulation to the public transport industry regarding change to be put in place. Recommendations put forward include the adoption of regulations by the Ministry of Transport where minibus operators are required to buy coins from vendors. Additional recommendations are given to the Reserve Bank or National Treasury to, through the banking sector, sell coins to public transport operators. Further recommendations suggest the introduction of a ticketing system to be adopted.