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We deserve a better economy!
Crisis in Zimbabwe Coalition
November 14, 2007

" It is estimated that Zimbabwe's economic crisis has set the country back more than half a century . . . the purchasing power of the average Zimbabwean in 2005 had fallen back to the same level as in 1953 when the Confederation of Rhodesia and Nyasaland was established. That's an astonishing reversal of 52 years of progress in only half dozen years"
USA Ambassador, Christopher Dell (2005)

We are nearing towards the closing of yet another year, the country's economy still ranked as the worst performing economy in the world, an immaculate indication of gross economic mismanagement by the government. The hype created by the Reserve Bank of Zimbabwe Governor, Gideon Gono in 2003, declaring an 80% inflation target for the year ending December 2005 has proved to be a far fetched mirage beyond the reach of human kind imagination. Inflation levels have reached an all time high record of 7 892%, missing the target of 80% by 7812%.

The ever-troublesome hyperinflation calls for a permanent solution from the people of Zimbabwe. The crisis in Zimbabwe is that of governance and legitimacy. Zimbabwe's inflation rate is higher than that of countries that have been in civil unrest for nearly 30 years, such as Angola and Mozambique. In 2003, when our inflation was pegged at more than 600%, Angola's inflation was around 77%. As we write, 4 years down the line, we have broken the ground as the worst managed economy under the sun, yet the Angolans boast of less than 30% inflation.

As a country, it would not be surprising if the inflation figure jumps to a five-digit number by April 2008. The country is not manufacturing goods; therefore it will import more goods through acquiring foreign currency from the black market making local goods pricing spiraling on a day to day basis. Zimbabwe's manufacturing dwindled by more than 52% since 1997 whilst exports have made a nosedive by almost half since 2000. Foreign direct investment has made a sharp decline from US444 million in the year 1998 to US$9 million in 2004.

The level of bad governance is deep rooted and multifaceted as the country resembles a failed state. The nation cannot supply food, water, health, education, jobs and other basic requirements to its citizenry.

Whilst elections could be won through violence and rigging, the economy is different - it needs values such as honesty, truth, prudence and diligence that unfortunately, have not over the past several years. It remains the Coalition's position that inflation is a micro-indicator of the crisis of governance whose resolution calls for a new system of governance based on a new democratic and people- driven constitution.

The Coalition wishes to inform the government of Zimbabwe that labeling inflation an enemy of the state might make slogans but certainly not reconstitute the pride and dignity of Zimbabwe's populace. The is a need to go back to the drawing board and address the economic indicators at both macro and micro levels.

Visit the Crisis in Zimbabwe fact sheet

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