Unmasking the drivers of parallel currency markets: A qualitative case study of illegal forex operations and corruption in Zimbabwe

Utilizing a qualitative research approach, the study conducted unstructured interviews with 12 participants in Harare. Findings indicate that banks and politicians significantly contribute to the rise of “Makorokoza” (illegal foreign currency dealers), financing their operations. The results suggest that merely arresting illegal forex traders is inadequate; effective measures must also address corruption, enhance the judicial system, and recover illicit wealth. This research illuminates the complex interplay between illegal forex dealings, corruption, and collusion, offering insights for targeted policy interventions. Ultimately, this study enriches both theoretical and practical frameworks of corporate governance and financial integrity within Zimbabwe's economy.