Harare - CBZ Holdings, Zimbabwe’s largest bank, suspended the use of Visa cards for local transactions as the country struggles to cope with a cash shortage.Charges on making transactions were very expensive for customers, CBZ chief executive Never Nyemudzo said on Friday.
Money also had to be settled outside the country for accounts that were held overseas in foreign currency, he said.
The measures would take effect from January 15 although customers would be able to make transactions abroad, with daily limits of $250 at ATMs, $1 000 for point-of-sale business and $500 for payments over the internet, the lender said in a statement.
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Visa did not immediately respond to e-mailed requests for comment.
Most local banks have limited daily cash withdrawals to $50 due to a shortage of foreign currencies that has led to delays in salary payments to civil servants, the military and some private company employees.
The introduction of bond notes in a bid to ease the cash crunch was last year met with protests.
Zimbabwe abandoned its own currency in 2009 because of hyperinflation.