Business / Economy
'Zimbabwe now a supermarket economy,' says Gono
02 Nov 2013 at 10:57hrs | Views
THE country's total imports have risen to $6,6 billion against exports of $2,3 billion in the last nine months as the country continues to rely on external sources to meet local demand, Reserve Bank of Zimbabwe Governor Dr Gideon Gono said yesterday.
In his presentation at the ongoing Parliament of Zimbabwe pre-budget seminar in Victoria Falls, Dr Gono said relying too much on imports was turning the country into a supermarket economy.
"Imports nine months ending September were $6,6 billion while exports in the same period stood at $2,3 billion," he said.
Dr Gono said the recovery of local industries was being prejudiced by allowing imported products some which he said could be produced locally with relative ease.
"We have a situation where we are even importing oranges, finished products, chicken feet, gizzards much to the detriment of the economy. That is affecting local farmers. We are impoverishing our own people and turning our country into a supermarket economy," he said.
The central bank governor said there was a need to protect local producers through import duties to avoid exportation of jobs and worsening the liquidity crisis by buying external goods.
Zimbabwe has little capacity to produce most basic commodities it consumes due to lack of capital following a decade of recession that saw many companies folding.
Other challenges such as erratic water and power supplies, high labour costs, shortage of raw materials have worsened the situation.
In his presentation at the ongoing Parliament of Zimbabwe pre-budget seminar in Victoria Falls, Dr Gono said relying too much on imports was turning the country into a supermarket economy.
"Imports nine months ending September were $6,6 billion while exports in the same period stood at $2,3 billion," he said.
Dr Gono said the recovery of local industries was being prejudiced by allowing imported products some which he said could be produced locally with relative ease.
"We have a situation where we are even importing oranges, finished products, chicken feet, gizzards much to the detriment of the economy. That is affecting local farmers. We are impoverishing our own people and turning our country into a supermarket economy," he said.
The central bank governor said there was a need to protect local producers through import duties to avoid exportation of jobs and worsening the liquidity crisis by buying external goods.
Zimbabwe has little capacity to produce most basic commodities it consumes due to lack of capital following a decade of recession that saw many companies folding.
Other challenges such as erratic water and power supplies, high labour costs, shortage of raw materials have worsened the situation.
Source - chronicle
