The Central Bank of Tanzania has suspended the issuance of licenses to Forex Bureau Operators until further notice.
It follows closure of some Forex Bureau shops in the northern region of Arusha over suspicion of money laundering.
The move is to also enable the Central Bank of the east African country to plug loopholes in its regulations to address the problem.
Governor of the Central Bank Prof Florens Luoga says investigations involving various government organs are underway to ascertain their involvement.
Louga said “they will be charged in courts and at the same time have their licenses revoked,” the central bank governor said.”
He said a six-month investigation had revealed the mushrooming of illegal Forex traders that were involved in money laundering.
The government said the raids had been conducted with the support of the military because police were busy guarding national exams.
President John Magufuli recently deployed the army to deal with a cashew nut crisis, with instructions to collect and store the crops and ensure farmers are paid a fair price.
The army is also working with the Turkish firm Yapi Merkezi, the firm contracted to construct the standard gauge railway.
Source: Africafeeds.com
