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Basic commodities such as cooking oil have automatically disappeared from the shelves

27 Sep 2017 at 21:14hrs | Views
Economy does not need an iron fist or intimidation but just basic economics should be applied or else we have slided back to the 2008 situation.

As an economist I don't rely on bar talk or rumour mongering but I believe in reality and research.

Today I took my time to go around town in big supermarkets such as Okay, TM, Choppies etc.

the truth is things have gone bad and it is high time Zanu PF should simply admit failure and tender their resignation from governing matters and allow the will of the people to prevail.

Basically people are applying what is called reactionary economics, economics of frustration.

People are fed up and I think they are simply telling the current leadership to step down and pave way for a democratic process.

As a political and development analyst I can tell things can even go worse than before.

Remember we are almost 8 months away from national election and my question will then be, how will be the situation in 2018? Basic commodities suppliers have simply withhold their goods in the market, and there is nothing the Government can do to force them to sell their commodities.

My suggestion would then be, Mugabe should simply call for a stakeholder's meeting and discuss the way forward.

People like Chombo have messed up for Mugabe because they have interests to protect and what they want is to use force or apply force where you don't even to apply force but rather you simply have to apply basic rules in economics.

Engange the business community, hear their views and propose the way forward.

Another observation I have made is that Mangudya has printed a lot of money and it was excessive in the market in the hope of buying in a lot of foreign currency in the form of United States Dollars, in that same process it was overdone or it was excessive.

The economy could feel the impact within 48 hours.

My thinking would be I think this money was used for something which is not quite clear to the people or it was meant for back up for UN trip.

Does Mangudya really understand his role at RBZ? Or he is being pushed to be there? Honestly no one can make a mistake of tempering with the economy like this, this was wrong move to print money considering that we don't have enough back up of foreign reserve in this country because we are not manufacturing anything in this country.

Our taxation Laws are very weak, our fiscal space remains a very big challenge so he needs to exercise caution when dealing with national economic matters.

Cooking Oil is gone and now there is a lot of panic within the economy.

Mugabe need to consult a lot on this one before he makes crucial decisions.

Economy is not politics where you can easily temper with, you have to follow the basic rules or you are finished.

One thing about economy, it is different from politics, where you can try to drive a point by using a lot of gimmicks but not with the economy, if this current Government does not budge on this one we are likely to witness a lot of drama before December 2017.

For now no need for bootlicking or politics of insults, rather focus on the economy.

Tinashe Eric Muzamhindo writes in his personal capacity as the Head of SIPAR TRUST (Southern Institute of Policy Analysis and Research) a local Think Tank that is responsible for Research Policy and Analysis. He is also an academic, researcher and political analyst based in Zambia and Zimbabwe. He can be contacted at southerninstitutepar@gmail.com.


Source - Tinashe Eric Muzamhindo
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