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Short Term Economic Recovery Programme (STERP): Getting Zimbabwe moving again
Ministry of Finance
March 17, 2009

http://allafrica.com/view/resource/main/main/id/00011757.html

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Introduction

1. On the 15th of September 2008, a Global Political Agreement was executed by the three Political Parties represented in the Zimbabwean Parliament. Pursuant to this, the new Inclusive Government took Office in the context of an economy that had many challenges.

2. At the epicentre of the economic crisis, have been unprecedented levels of hyper-inflation, sustained period of negative Gross Domestic Product (GDP) growth rates, massive devaluation of the currency, low productive capacity, loss of jobs, food shortages, poverty, massive de-industrialisation and general despondency.

3. It is, therefore, a fundamental task of the new Inclusive Government to address the above and to resuscitate and rehabilitate the economy. In addition, the new Inclusive Government has to attend to the major imperator of nation building and national healing.

4. The obligation of the Inclusive Government to buttress the issues of economic recovery is set out in the GPA under Article 3 1(a) which states inter-alia as follows:

the parties agree to give priority to the restoration of economic stability and growth in Zimbabwe. The Government will lead the process of developing and implementing an economic recovery strategy and plan. To that end, the Parties are committed to working together on a full and comprehensive economic programme to resuscitate Zimbabwe's economy which will urgently address the issue of production, food security, poverty and unemployment and the challenges of high inflation, interest rates and the exchange rate.

5. As part of its obligation to address the economic crisis, Government has come up with the present Short Term Emergency Recovery Programme (hereinafter referred to as STERP), which will cover the period February to December 2009.

6. STERP is an emergency short term stabilisation programme, whose key goals are to stabilise the macro and micro-economy, recover the levels of savings, investment and growth, and lay the basis of a more transformative mid term to long term economic programme that will turn Zimbabwe into a progressive developmental State.

7. STERP is, therefore, part of implementation of the Global Political Agreement and seeks to address the key issues of economic stabilisation and national healing, whilst at the same time laying the foundation of a more comprehensive and developmentalist economic framework which will succeed the same.

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