It is the worst time to be in the shoes of ED

Zimbabwe is in a very precarious condition. Prices are dancing a dance of their own. Life is very hard and it is a nightmare being Zimbabwean. Everybody from the rich and the poor are crying. As expected they all point their fingers at the government particularly on the p[resident. While the president is doing all he can to make Zimbabwe better he is travelling in the darkness of the former and whatever he does he is quickly compared with the previous. This makes it difficult to be the president during the time the economy is down
ED must be applauded for his bravery; it takes a brave and focused person to embark on austerity measures soon after getting into office. Austerity measure to hit below the belt and it is the grass which suffers. It is important to describe austerity. Austerity measures refer to official actions taken by the government, during a period of adverse economic conditions, to reduce its budget deficit using a combination of spending cuts or tax rises.

Zimbabwe has embarked on very tough austerity measures but this not peculiar to Zimbabwe only. Activating austerity measures shows bravery and good leadership skills. ED has shown focus and ability to eradicate short term problems by being tough to gain long-term it should be known that various austerity measures have been announced since the global recession in 2008 and the Eurozone crisis in 2009.  Even very strong economies have fallen victims to economic meltdown. America almost closed down business when the government went broke.
The French government's 2013 budget, unveiled in 2012, piled most of the burden of its €30bn savings on big companies and the wealthy, avoiding the severe cuts imposed on the broader population in Spain, Portugal, Greece and elsewhere.

Most countries have struggled to maintain their sovereign debts and had to shake out of the situation by suffering now and rejoice tomorrow. As promised by François Hollande, the former president of France, the budget largely spared the French the kinds of hefty cuts in public spending and employment, pensions and salaries imposed in other eurozone countries struggling to contain their sovereign debt.

Some economists and business leaders fear that the steep tax increases and relatively modest spending curbs could undermine ED's purpose of putting the measures in the first place.  Projected annual growth path of 2 per cent a year from 2014 to 2017, when it plans to have.

The UK is also facing a deficit reduction programme beginning with a freeze in child benefit in April 2011 and changes to the rate at which the top band of income tax kicks in. There have been cuts in the UK to several government projects and it is the masses that bear the sharp edge of the measures. What constitutes actual austerity? A simple definition of austerity implies actual spending cuts. However, some may refer to austerity policies – even if there has just been a limit in the growth of government spending. For example, in the past 10 years, government spending may have increased on average by 3% in real terms. If the government now freezes public sector spending, this may be termed 'austerity policies' – because government spending is not increasing at the same rate as previously. Austerity implies a cut in government spending during a period of weak economic growth. It is a deflationary fiscal policy, associated with lower rates of economic growth and higher unemployment. it is therefore true that 'austerity' is necessary to reduce budget deficits, and cutting government spending is compatible with improving the long-term economic performance of the economy.  However, Keynesian economists argue that, in a recession, austerity can be 'self-defeating' with spending cuts causing a fall in aggregate demand, leading to lower economic growth. This leads to lower tax revenue and can offset the improvement from spending cuts. Higher bond yields increase the cost of financing the deficit. (An argument is that future generations will be paying interest on current levels of debt) Higher bond yields and interest rates on other bonds can reduce private investment. This is the problem which we are facing desoite the good intentions of the government.

It should however be noted that the basic aim of the austerity measures is to have a better future. Confidence Cutting budget deficits will give investors greater confidence about the long-term performance of the economy. Lower debt levels will encourage the private sector to invest. In 2012, the EU commission produced a report saying that austerity measures are working to reduce budget deficits. José Manuel Barroso, the commission president, said: 'I can say the medicine is beginning to work'. .it should be noted that governments with a lower share of GDP tend to be more successful, so austerity measures introduced in Zimbabwe will save to improve our coffers. People must not react to immediate problems; they are an introduction to good life in a free and stable economic environment.

This is not just talking there are examples of countries who have pursued austerity and later showed strong economic growth. For example, Canada in 1993-96, cut their fiscal deficit but maintained strong economic growth. More recently, supporters of austerity argue that the rebound in economic growth in Latvia and Estonia show that countries who pursue fiscal austerity can overcome their problems. Zimbabwe is not an exception the efforts of the president must be complimented. The morality is that the government shouldn't be spending money, they don't have. In a recession and liquidity trap, there is a rise in private sector saving and therefore strong demand for government bonds. Despite the rise in UK and US deficits, bond yields have continued to fall – suggesting that there is no immediate need to cut spending in a recession. The fear of rising bond yields in Zimbabwe is misplaced. In a recession, you have the private sector paying off debt (leading to lower private sector consumption and investment) this leads to a fall in aggregate demand. If the government also cuts spending then there will be an even bigger fall in demand.

While the nation is finding hard to move in this economic darkness the comforting issue is that this is only for a short time As a nation we need to sacrifice It should be remembered that the trees of good life are watered by blood and sweat. It is not an easy way but the important thing is the destination

Slowly but sure we will get there. ED has taken a bold decision and we must support him. Yes it is hard but it's better to suffer now and rejoice tomorrow. Josephat Mavaza always say "Suffer is nothing so long life"

The difficulties we are going through are on their way out. The dilemma facing ED is that the hardships came quickly after his ascendency to power. It is easy to compare him with Mugabe. Not because Mugabe was bad or good but because we value the politics of the stomach without caring for tomorrow.

We are in a quagmire and we will make it. There is always sweating to rich to your goals. We must value these moments of hardships. When pages of history are turned your inscription will be visible pronouncing that I survived austerity measures.

Always one must remember the saying that "when it becomes tough, the tough ones get going. we can have a sense of achieving if we achieve after fighting for the results. There is always joy at the end of every hardship.
It is the worst time for ED, he has to dodge all the blame, but this is what comes with the office.

vazet2000@yahoo.co.uk.