“People of Zimbabwe deserve a new day” wrote Eddie Cross in Bulawayo
24.
Mr Cross was writing about Zimbabwe’s economic chaos, the country has
already claimed the position of being the poorest nation in Africa but, not
content with that is sinking even deeper into new depths of economic
depravity.
3/4 of the population is already living on US$30 or less per month in a
country whose poverty datum line is US$650 per month. And on Wednesday 20
February 2019 Dr John Mangudya, the Governor of Reserve Bank of Zimbabwe,
announced in the new Monetary Policy Statement that government would abandon
the fixed 1:1 exchange of the quasi-local currency to the USD. The black market
exchange rate is 4:1.
Those with the economic muscle will benefit from the devaluation whilst
those with no economic muscle will suffer. The worker will not get a wage
increase to compensate for the devaluation and there will be worse to come. The
3/4 already living on US$30 or less per month will be living on even less now!
If one only considered how much the people of Zimbabwe have suffered
these last 38 years then, yes, they deserve a new day! Sadly, the future is
grime. Zimbabwe is set to sink even deeper into economic chaos and political
paralysis.
To deserve a new day one has to answer one question and one question
only: what have you done to deserve a better tomorrow. How much one has
suffered may spur you to do something to end one’s suffering; still, it is what
you have done that counts and not how much you have suffered.
The people of Zimbabwe have done precious little to deserve a new day
and so they will not get one!
The people of Zimbabwe have risked life and limb to elect people like
Eddie Cross into power on the understanding he and his MDC friends would bring
about the democratic changes and the new day the nation has been dying for!
Eddie Cross and company have blundered from pillar to post for the last 19
years they have occupied centre stage and they are still blundering.
“Finance minister Mthuli Ncube has been following a carefully crafted
reform programme to restore fiscal and monetary stability within the framework
of sound macro-economic conditions,” wrote Eddie Cross.
“When he first came into office, I warned him that when he walked into
his office, that a bucket full of nasty stuff would fall on his head. It was no
understatement. He found that the RBZ was in a complete mess, the government
was spending 40% more than they were collecting and all macroeconomic
indicators were so far out of kilter that the state was in crisis. He took
immediate steps to stop the bleeding — raising taxes and imposing strict
budgetary discipline on all ministries and parastatals.”
If Professor Mthuli Ncube followed such “a carefully crafted reform
programme” then why is the economy latching from one economic crisis to the
next! His foolish argument that the greater the austerity painful and greater
the prosperity is as nonsensical as argument that because the albatross can fly
for ten months or more without landing it can fly to the moon. When the bird is
a mere 8.8 km, the height of Mount Everest, it will struggle to breathe as the
air only 1/3 its density at sea level. Introducing austerity measure without
first getting the fundamentals right is plain foolish.
Zimbabwe’s economy will never ever recover whilst corruption remains
rampant, for example. In 2016 then President Robert Mugabe admitted the country
was being “swindled out $15 billion in diamond revenue”. He never arrested one
swindler nor has his successor, Mnangagwa. We all know the looting is still
taking place.
Eddie Cross knows the seriousness of the wholesale looting in Zimbabwe
because he raised the matter on numerous occasion during his days as MDC MP.
Raising it was one thing but making sure the corrupt stopped was a bridge too
far!
So when Minister Ncube was appointed last year Mr Cross advised the
minister to introduce the 2% electronic transaction tax , targeting the poorest
of the poor who were not paying income tax, “to restore fiscal and monetary
stability and stop the bleeding”. There is serious doubts it increased
government revenue because economic activity dropped 16% in response to the new
tax. the a bird can fly from point A to B it should be able to fly
to the moon! If he was serious about stopping the economic bleeding then why
did he fail to advise Minister Ncube to stop the looting?
Worst of all, Mr Cross was cheering and applauding Ncube’s austerity
programme knowing that without dealing with such basics as ending corrupt
economic recovery would be as futile as the albatross flying to the moon!
Zimbabwe is in this economic mess with unemployment a nauseating 90%,
basic services such as supply of clean running water and health care all but
collapsed, etc. because the nation has had the great misfortune of have
corrupt, incompetent and utter useless leaders from both sides of the political
divide. Eddie Cross advising Professor Mthuli Ncube is like listening to Lewis
Carrol characters Tweedledee and Tweedledum.
Zanu PF has imposed a political system on the nation that has stifled
all meaningful debate and democratic competition. Politics has become the
exclusive domain of thugs who believe public office is their ticket to get
filthy rich at public expense. The long cherish value of holding public office
for the good of the commonwealth has long been forgotten.
If the people of Zimbabwe are serious about bring about a better
Zimbabwe then we must earn it to deserve it. To earn it, we must demand that
Mnangagwa and his Zanu PF cronies must step down; they rigged last July’s
elections they and right now they are an illegitimate regime.
As for Chamisa and his fellow opposition opportunists, they must step
aside. The last elections were so flawed and illegal it is nonsensical such a
process can produce a legitimate outcome. Indeed, if anyone of these opposition
leaders had valued free, fair and credible elections then they would have never
participated in an election in which something as basic as a verified voters’
roll was missing.
The proposed inter party dialogue will never deliver free, fair and
credible elections. Both Zanu PF and MDC Alliance failed to implement even one
reform during the last GNU, it is naive to believe they will do so now!
Zimbabwe needs the political space and time to dismantle the corrupt,
violent and dysfunctional autocratic political system we have now and replace
it with a democratic one that allows free debate and democratic competition.
A free, just, prosperous Zimbabwe where all enjoy their freedoms and
basic human rights is within our reach in our life time but we must earn it. We
have suffered greatly and many Zimbabweans are paying the ultimate price, they
are dying unnecessarily, because they cannot afford bare essentials of life,
food, medicine, etc.
Opposition leader Nelson Chamisa has said his party is determined to make Zimbabwe great again as was the case during the Mutapa and Great Zimbabwe empires.
ReplyDeleteThis is just nonsense you guys sold out during the last GNU. You were tasked to implement the reforms and failed to get even one reform implemented in five years!
The Bond Notes had managed to keep their value relative the the USD because the government had resisted the temptation of printing more. Since RTGS dollars are all electronic money there is a real danger of the regime issuing more and more RTGS dollars and fueling inflation!
ReplyDeleteWhile presenting his MPS review, Minister Mthuli accepted that the 1:1 cost the country dearly in the process and is regrettable.
ReplyDelete"We lost a total of $2 billion last year on the 1:1 forex exchange rate. We were killing the goose that was laying the golden eggs. By formalising and liberalising the exchange rate we will enable market and banks to lead the way as far as the forex exchange rates concerned," Ncube said at a breakfast meeting on Friday.
US$2 billion is a lot of money especially for a country like Zimbabwe whose GDP is US$10 billion. If we had competent MPs they will take Minister Ncube to task to establish what happened and more significant to make sure it will never happen again. As it is, it all water off a duck’s back!
Zanu PF rigged last July's elections; what is there to talk about? No wonder the nation is in a real mess, we have become experts at meaningless and time wasting activities. Unemployment has soared to dizzying heights of 90%, basic services such as supply of clean water and health care have all but collapse, etc. and yet no one is even concerned!
ReplyDeleteSpeaking in Shona & English (code mixing) he said “Vamwe vanofunga hukuru hunoreva kuponda vanhu, handizvo!” (Some believe being a leader entails murdering people, that’s not it.) said Mugabe.
ReplyDeleteThat is rich coming from a corrupt and murderous tyrant who ordered the Gukurahundi murders and lots more beside in his resolve to remain in power!
Minister Mthuli Ncube has since admitted that retaining the 1:1 exchange rate of BondNote to USD has costed the nation US$2 billion.
ReplyDelete"The Minister of Finance has been following a carefully crafted reform program to restore fiscal and monetary stability within the framework of sound macro-economic conditions," Mr Cross is telling us here.
The truth is the Zimbabwe economy is in deep trouble and Minister Ncube has blundered from pillar to post. As for Mr Cross he is just a corrupt and incompetent MDC leaders who thinks he has the answers to everything when he does not!
@ Blessing Vava
ReplyDeleteMnangagwa’s reckless and divisive utterances during the Mwenezi rally held over the weekend, where he openly issued threats targeted at human rights lawyers and doctors should leave any peace loving and citizens in general with opposing views worried. Mnagagwa said: “They told them that if anyone gets arrested, they should go to a certain place, there are lawyers waiting to defend them “If anyone gets hurt, they should go to a certain place, there are doctors waiting to treat them. “We are now going after those doctors who were involved in those activities. “Those lawyers that were inciting violence, we are now going after them. So those who choose violence, we are prepared.”
Anyone who believed Mnangagwa would hold free, fair and credible elections after risking his own life and limb to wrestle power from Mugabe is naïve. Indeed, Zimbabwe is in this mess because we have real naïve and gullible people.
Right now people should be standing up and firmly demand that Zanu PF steps down but are instead wasting time supporting this inter-party dialogue that will only result in Zanu PF sharing power in a new GNU at the very best. If anyone believes a new GNU will bring about any change then they are very naïve.
The country is in serious trouble and we are wasting time on solutions we should know by now will not work! How stupid is that!