Zimbabwe poised to become one of Africa’s lions of growth but Mnangagwa must explain what he is doing


0

Zimbabwe is poised to become of the fastest growing economies in the world- one of Africa’s lions of growth, local economist and one of President Emmerson Mnangagwa’s advisors, Eddie Cross, says.

Writing on his personal blog, Cross said the consumptive elements – including the corrupt and those who have been feeding at the trough of patronage and privilege are going to find themselves being forced to work and use their ill-gotten gains to actually make a living for once.

“But for the ordinary person living on a fixed salary or trying to make a living on the margins of society and in the massive informal sector we have, this is a time of painful sacrifice and I am just amazed at how patient they have been,” he said.

Major adjustments to salaries and disposable incomes must therefore be the next area to receive attention.

“Mr President, please explain what you are doing when you have to do whatever is necessary – not like the fuel price adjustment. If we know what you are doing and why and the reasons are reasonable we will take the pain but we need to know that they are taking us towards the new beginnings that were promised when we said yes to the removal of Mugabe,” Cross said.

The celebratory mood that Zimbabweans enjoyed from November 2017 was dampened when the new administration introduced new monetary and fiscal policies aimed at reviving the economy in October last year.

Inflation soared from 5.4 percent in September to 59.4 percent in February while the local currency which was trading at par with the United States dollar is now trading at 3:1 at the interbank rate and at 4.2: 1 on the black market.

Mnangagwa’s administration says inflation should be down to single digit level by the end of the year.

It is not clear at the moment if and how the administration’s transitional stabilisation plan has been affected by Cyclone Idai which has so far left nearly 270 people dead and 300 missing and massive destruction of roads, bridges and public buildings like schools.

The government has already pledged $100 million to rebuild infrastructure destroyed by the cyclone as well as to provide services required by the survivors and those displaced.

Continued next page

(247 VIEWS)

Don't be shellfish... Please SHARETweet about this on Twitter
Twitter
Share on Facebook
Facebook
Share on LinkedIn
Linkedin
Email this to someone
email
Print this page
Print

Like it? Share with your friends!

0
Charles Rukuni
The Insider is a political and business bulletin about Zimbabwe, edited by Charles Rukuni. Founded in 1990, it was a printed 12-page subscription only newsletter until 2003 when Zimbabwe's hyper-inflation made it impossible to continue printing.

0 Comments

Your email address will not be published. Required fields are marked *