Welcome to Next Africa, a weekly newsletter of where the continent stands now — and where it’s going next.
Source: Next Africa: For Once, Things are Looking Positive in Zimbabwe – Bloomberg
Latest news headlines from Zimbabwe Situation
Welcome to Next Africa, a weekly newsletter of where the continent stands now — and where it’s going next.
Source: Next Africa: For Once, Things are Looking Positive in Zimbabwe – Bloomberg
That’s after the political instability, economic stagnation and two bouts of spiraling prices over the past two decades.
Now inflation is slowing rapidly — albeit it’s still 322% — and the government expects the economy to expand 7.4% this year, rebounding from a 4.1% contraction. The country also got a step up on its African peers by starting a Covid-19 vaccination program in mid-February.
Much of the improvement has been due to nature and the global economy.
Heavy rains are expected to result in the biggest corn crop since 1984 and have filled the world’s largest man-made reservoir, allowing more electricity to be generated from the Kariba South hydropower plant. Gold and platinum prices have risen over the past year, boosting mining income.
Still, Finance Minister Mthuli Ncube took the tough steps of devaluing the local currency and enforcing discipline in government spending. There’s been some investment in energy projects and in reviving horticulture, once one of the country’s export mainstays, while Afreximbank offered respite on debt by agreeing to reorganize its $1.4 billion the nation owes it.
The “green shoots” that business leaders are speaking of are hard to discern on the streets of Harare, however.
With a weakened currency and most goods imported, the few Zimbabweans lucky enough to have jobs have seen their spending power slashed. The government, which still owes almost $7 billion in other external debt, has to repair its relations with international lenders and sanctions imposed on its leaders by western nations because of political repression remain in place.
But for the first time in a long time, there’s hope.
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COMMENTS
Oh sure… let’s not consider the evils of recent past, and especially not those of the past week. Let’s not hold accountable those who try to absolve themself of their past evils by inflicting more evil. Let’s not consider that those who did murderous things to gain and hold power and wealth remain amongst us and even remain in power. Let’s not seek justice where there is no repentance or shame or restitution from those who do the evil… even taking bread from the mouths of children so the rich and powerful evil-doers can enrich themselves more.
Applauding the current inflation rate is appalling. If the current rate were under 10%, and improving, that’s something to speak of, but this economy, owned lock, stock, and barrel by ZANUPF, is disgusting… especially considering it’s been their looting that brought it, and their incompetence that keeps it in the gutter. Away! with ZANUPF…!!!
When those evil-doers go to stand before the Maker, I wonder what their answer will be. I’m quite confident that I can guess what His judgment will be for them… it’ll be for eternity. (I truly wish I could properly feel compassion for them.)
Overhead recently…if you see or find something that zpf does not want or does not steal, don’t touch it, as it could be highly dangerous or fatal.