News / National
A new year's resolution
31 Dec 2018 at 06:23hrs | Views
As we enter the final hours on 2018 and the clock ticks towards midnight, it will bring to a close a pivotal year in Zimbabwe's history.
A year of change and progress no doubt, but also a year of pain for many, as the sad reality of our situation hit home.
But for me, the biggest sadness of 2018 has been the lack of unity from amongst Zimbabweans, and in particular, the constant negativity. For while I understand the frustration with our economic situation, I cannot comprehend the bitterness and vitriol that many are directing at Finance Minister Mthuli Ncube.
Because for the first time in a generation, I believe that we have leaders who both care about improving the situation, and have the economic knowledge and to do so. For too long our economy was run by those who either didn't care, or didn't understand, but no longer.
Mthuli has a plan, and is sticking to it. And you know what, it is beginning to work.
We all know that one of the biggest challenges we face is the huge budget deficit. Government simply has no money, and even less foreign currency. Without this, how can we hope to rescue the economy?
In response, they set about balancing the budget. No easy task. They worked on the principle of spending less and collecting more. The most controversial measure was the 2% transaction tax, which we can all agree was not easy to stomach.
But a few months later, just look at the results. For the first time, in October there was a budget surplus of $29m, a huge step. And over the past few month, tax revenue has increased hugely, surpassing even the most ambitious projections. In October, we collected 35% ($117m) more than expected; in November it was 47% ($160m) more than expected; and in December it was 43% (almost $200m).
So in total, in three months government hoped to collect $1.13 billion. In reality, it collected $1.579 billion – almost $500 million more!
We know that for now these are just figures. They don't make it easier for us to feed our families, to buy fuel, or to buy Christmas presents for our kids. But they do show that the plan is working. The ‘tough medicine' we keep being told about is beginning to have an impact.
The New Year is a time for reflection, and in particular, to understand what we can do better.
I believe that as a society, our new year's resolution must be to tone down the negativity. To accept that we are in a process of rebuilding, and that the constant sniping at our Finance Minister does not help anyone. To understand that in economics, mood is everything, and that our negative mood makes it more difficult for our economy to recover. We are a part of this economy, and we can make a difference. We can make things better, not worse. Easier, not harder.
To paraphrase the famous First World War poster, "Zimbabweans, your country needs YOU!"
A year of change and progress no doubt, but also a year of pain for many, as the sad reality of our situation hit home.
But for me, the biggest sadness of 2018 has been the lack of unity from amongst Zimbabweans, and in particular, the constant negativity. For while I understand the frustration with our economic situation, I cannot comprehend the bitterness and vitriol that many are directing at Finance Minister Mthuli Ncube.
Because for the first time in a generation, I believe that we have leaders who both care about improving the situation, and have the economic knowledge and to do so. For too long our economy was run by those who either didn't care, or didn't understand, but no longer.
Mthuli has a plan, and is sticking to it. And you know what, it is beginning to work.
We all know that one of the biggest challenges we face is the huge budget deficit. Government simply has no money, and even less foreign currency. Without this, how can we hope to rescue the economy?
In response, they set about balancing the budget. No easy task. They worked on the principle of spending less and collecting more. The most controversial measure was the 2% transaction tax, which we can all agree was not easy to stomach.
But a few months later, just look at the results. For the first time, in October there was a budget surplus of $29m, a huge step. And over the past few month, tax revenue has increased hugely, surpassing even the most ambitious projections. In October, we collected 35% ($117m) more than expected; in November it was 47% ($160m) more than expected; and in December it was 43% (almost $200m).
So in total, in three months government hoped to collect $1.13 billion. In reality, it collected $1.579 billion – almost $500 million more!
We know that for now these are just figures. They don't make it easier for us to feed our families, to buy fuel, or to buy Christmas presents for our kids. But they do show that the plan is working. The ‘tough medicine' we keep being told about is beginning to have an impact.
The New Year is a time for reflection, and in particular, to understand what we can do better.
I believe that as a society, our new year's resolution must be to tone down the negativity. To accept that we are in a process of rebuilding, and that the constant sniping at our Finance Minister does not help anyone. To understand that in economics, mood is everything, and that our negative mood makes it more difficult for our economy to recover. We are a part of this economy, and we can make a difference. We can make things better, not worse. Easier, not harder.
To paraphrase the famous First World War poster, "Zimbabweans, your country needs YOU!"
Source - Mike Tawanda
