Zimbabwe's free falling economy yet to hit rock bottom

Zimbabwe's free falling economy is not yet at its worst and will not hit rock bottom just yet, a senior economist has said.

Economist Brains Muchemwa last week said that will be a highly likely poor agriculture season because of too much rain that may jeopardise the performance of the agro based economy.  

He said growth will remain very constrained and we will continue to operate below ZimAsset target of 7.3% the key risk being falling commodity prices.

Muchemwa said small to medium enterprises were a creative destruction as they have taken long to feel the void left by big corporates.

He disputed the long held view that there was a liquidity crunch in the country adding that this was not reflected by the situation on the ground.

Muchemwa said to unlock the country from its situational economic gridlock, government must reform its bloated civil service and create fiscal space.  

He also urged government to manage its costs and avoid debt.