Zim economy continues to fall

5
857

The government of Zimbabwe needs to broadly align authoritarian politics to its envisaged liberal economic policies in order to revive the comatose economy, a local think-tank has said.

Mthandazo Nyoni

Zimbabwe’s economy is in great distress with Finance minister Patrick Chinamasa last week lowering economic growth projections to 1,5% from the initial 3,2%, citing a drought that lowered agriculture output by 8,2%.

A research by the Zimbabwe Democracy Institute (ZDI) revealed that if punitive measures to arrest the anomaly were not put in place, the economy would continue experiencing rapid deterioration.

“Any attempts to liberalise the economy in an authoritarian political setup replete with laws and political activities that scare away both domestic and international investors would not assist to revive the economy,” ZDI said in a research titled Zimbabwe Political Economy Review.

“On the part of government, there is need to democratise how power is accumulated and exercised at the national level. This is because the economic malaise Zimbabwe faces is as a result of how power is exercised and monopolised by a narrow elite.”

President Robert Mugabe has ruled Zimbabwe since independence in 1980 amid allegations of vote-buying and rigging by opposition political parties.

ZDI said those who wielded power set-up economic institutions to enrich themselves and augment their power.
“In this economic malaise, the modality of access, ownership and distribution of State resources is dominated by party-State patronage. This has resulted in the exclusion of citizens who are perceived to practice ‘wrong politics’ from State resources, leading to high levels of poverty,” it said.

The think-tank said the political economy, shaped by extractive political institutions has resulted in the radical structural informalisation of society and the national economy.

“This requires the urgent attention of the government and other development partners such as business,” ZDI said.

5 COMMENTS

  1. While agreeing 100% with the ZDI, i would further like to postulate that the Party(ZANU-PF)/Government which is ruling cannot afford to be ruthless to itself by doing what the ZDI is recommending (if the economy is to be turned around),it will be shooting itself in the foot, so the rot is going to continue until, God knows. It is pertinent to point out that the owners of the means of production are now the ruling elite, and not the whites, so even the labour legislation which has been confirmed by the Supreme court suites them and they are the ones busy off loading workers without paying them anything.Ndivo varidzi vemakambani so although, they are crying crocodile tears, they are happy that the law has come to their rescue

  2. just as Micheal responded I am amazed that any body able to get paid $4334 in 4 weeks on the internet
    ——————– ◐◐◐◐◐◐◐◐◐◐ w­w­w.o­n­l­i­n­e-j­­o­b­s­9­­.­c­o­­m

  3. For as long as policies are crafted by foolish advisers then Zimbabwe will forever remain a nightmare. Chinàmasa is masacre to economy .its now time the president do something. This thing of recycling ministers like they have doctorate in everything is firing back to him and all. He must make use of pple who are educated NOW. BEFORE 2018 IF ZANU WANTS TO REALISE ITS CONTINUATION OF LEADERSHIP.

  4. Ku resigner? Ummmm. These days do u hear school children saying when I grow up I would like to be a President, they are shilly- shally. kkk

Comments are closed.