Zimbabwe’s economy will rebound next year, as Government has set a solid foundation for growth despite being plagued by the worst drought in four decades in the 2018/2019 season, President Emmerson Mnangagwa has said.
He warned cash barons who were abusing the newly introduced $2 and $5 notes, adding that authorities have since identified some of the culprits, who will soon face justice.
Government’s bold decision to reintroduce a new currency, he said, will help to industrialise the economy and create jobs.
Speaking at an anti-sanctions rally after commissioning a state-of-the-art hospital in Mahusekwa, Mashonaland East, President Mnangagwa said the country’s economic progress was unique since it was being undertaken without support from international financial institutions.
“We are happy that when we instituted austerity measures, yes, the economy went down by minus 6,5 (percent) in terms of growth. But when everything has stabilised, through what we call fiscal consolidation of expenditure and revenue, next year, which is just the month after next, our economy will start to rebound from minus 6,5 (percent) in 2019 to plus 3 percent in 2020,” he said.
“There are other countries that are undergoing economic and political reforms, like we are doing ourselves. Egypt got US$12 billion, Argentina got US$100 billion, Greece several billions to resuscitate their economy, but not a single cent has been given to Zimbabwe in the process of reforming our economy.”
Notwithstanding the teething challenges experienced in transitioning from a multi-currency system to a mono-currency, he added, a local currency was a prerequisite for development.
“Firstly, there is no single country which has developed its economy, which has industrialised its economy, without its own currency.
“You go to SA, they have the rand; Botswana they have the pula. In Zambia, they have the kwacha. All these countries suffer good and bad times with their currencies and they forge ahead.
Should we continue with other people’s currencies? No! We should have our own. That is why we said let us take the brave route.”State media
