Mid-Term Fiscal Policy review on today

FINANCE minister Tendai Biti will today announce the Mid-Term Fiscal Policy review amid indications that the report will not introduce new policy measures as the country gears for the next harmonised elections, marking an end to the shaky coalition government formed in 2009.


Biti told NewsDay yesterday that he will today announce the state of the economy report for the first six months, but the statement was expected to be lukewarm.

Zimbabwe, which goes for elections on July 31, has been under a coalition government following the disputed results of the 2008 presidential run-off.

Zanu PF and the two MDC parties came together under the Global Political Agreement, which gave birth to the shaky inclusive government.

“It (review) is most likely going to be held tomorrow (today). The review will analyse the state of the economy for the six months to June,” Biti said.

The policy statement, which reviews the current budget, comes at a time when the economy has contracted by an estimated 3% due to uncertainty surrounding the forthcoming polls.

The elections come at a time when the local manufacturing sector is struggling to remain afloat due to biting liquidity constraints and stiff competition.

Last month, Biti said the proclamation of the elections date by President Robert Mugabe had left Treasury back-footed and incapable of making any policy interventions.

“I’m not sure when I will present it (review). I think the proclamation has really changed things. The proclamation has made the government a sitting duck.

“We will present a mid-term review, but we are not going to make any proposals because once a proclamation is made, it’s a yellow card. I don’t think it’s fair,” the Finance minister said.

“What I will do is to present a mid-term statement, but the new government must come in and take over.

“Like I said in the 2013 Budget, it is very important to consolidate the good that Zimbabwe has done in the past four years and we jettison the bad things which is largely too much subordination of our economic trajectory to politics.”

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