- Published Date
- Johanna Ileka
- Hits: 773
The Bank of Namibia (BoN) says it has observed a rapid increase in the illegal trade of foreign currencies over the last five years.
The illegal activities involve individuals and business persons engaging in foreign exchange trading without the necessary authorisation from the central bank.
According to Ndangi Katoma, the central bank’s director of strategic communications and financial sector development, BoN has on several occasions warned the public through notices in the media on the severity of illegal trade in foreign currency, as well as the penalty involved. Therefore, the entities and or individuals that are involved in such illegal transactions should be aware of their violations.
“Any person or corporate entity that contravenes or fails to comply with the Exchange Control Regulations (1961) as amended, shall be guilty of an offence. Upon conviction, such person or corporate entity shall be liable to a fine not exceeding N$250,000 or imprisonment for a period not exceeding five year or both,” cautioned Katoma.
Katoma stressed that illegal foreign currency trading undermines economic development, through compromising of operations of formal foreign exchange markets, leading to negative effects on the role of the banking sector in the economy. “It must therefore be tackled by all means,” he said.
“Typically, illegal trade in foreign currency may result in the mushrooming of what is termed black market, low confidence in local currency, and loss of foreign exchange earnings by the authorities.
“Illegal trading in foreign currency also provides fertile breeding ground for money laundering activities and a high risk in terrorist financing,” added Katoma.
He further appealed to law-abiding citizens to assist law enforcement agencies and the Namibian Police by reporting such activities immediately as they become aware of them, or alternatively, alert the Bank of Namibia on: 061-283 5125.
- Articles In This Category
- NBC appoints CCO (1051 hits)MarketsThe Namibian Broadcasting Corporation (NBC) has appointed Alex Shimuafeni to the newly created position of Chief Commercial Officer with effect from...DBN explores opportunities in Kunene (979 hits)MarketsKunene is classified as one of Namibia’s least developed regions. Highlighting the need for regional development, Governor Josua Hoebeb, said that...Public warned of U-Care operations (383 hits)MarketsThe Bank of Namibia together with the Namibia Financial Institutions Supervisory Authority (Namfisa) has warned the public against dealing with a...New Deloitte partner (482 hits)MarketsDeloitte this week announced the appointment of Erwin Tjipuka as partner at the firm since 02 October. The auditing firm said Tjipuka’s...NBIC paves way for innovation (604 hits)MarketsThe Namibia Business Innovation Centre (NBIC) will host an interactive “idea creation workshop” with the expertise of the Institute of Leadership...CRAN plans for future (907 hits)MarketsThe Communications Regulatory Authority of Namibia (CRAN) is crafting its strategic plan for 2012/2013. In order to benchmark itself against other...Houses for growth (27 hits)MarketsVincent Hailulu, CEO of the National Housing Enterprise (NHE) says infrastructure development is a key cornerstone for economic growth. Hailulu told...New banknotes (1526 hits)MarketsBank of Namibia Governor, Ipumbu Shiimi announced on Thursday that the new series of banknotes has been gazetted on Tuesday, 24 April and will be...Bank spends N$4 million on social projects (545 hits)MarketsBank Windhoek says it spent almost N$4 million as part of the bank’s Corporate Social Investment during the last financial year ended 30 June...Remove trade barriers – Geingob (1229 hits)MarketsThe African Organisation for Standardisation (ARSO) must work towards removing all trade barriers among African countries in order to realise the...
- Latest Articles
- HeadlinesThe Communications Regulatory Authority of Namibia (CRAN) last weekend celebrated its second birthday with a glamorous ball at Country Club...State of grazing critical (82 hits)HeadlinesA comprehensive inter-agency Emergency Food Security Assessment conducted throughout the country revealed that poor grazing conditions are...Power cuts coming (81 hits)HeadlinesPower utility, NamPower has warned of the possibility of load shedding this winter after main supplier, Eskom refused to give the country a guarantee...Editors DeskIt is somewhat baffling to find a foreign investor so eager to enter the local scene, it embarks on a social investment programme less than a month...WeatherWhat happened? The departure from one pattern to a more favourable one is now an established feature on our synoptic charts for both the surface and...