Thursday 21 November 2013

Dollar Effects

The US Dollar has come with its own problems.

Its scarcity, in Zimbabwe, is creating serious funding challenges.

Banks, firms and households are in the midst of a liquidity crisis.

The US Dollar resolved the inflation crisis which was facillitated by poor economic management.

However, dollarisation has not resolved the issue of poor economic management.

The house of Zimbabwe is still in disorder.

With the dollar further weakening export competitiveness, and with foriegn investors, plus donors shunning Zimbabwe; only resolving the economic management crisis and returning the Zim dollar can help Zimbabwe recover.

Speaking to fellow Zimbabweans yesterday, I realised people assume the problems of Zimbabwe's economy will magically resolve themselves.

This is wishful thinking for without  action Zimbabwe's problems are only getting worse.

Factories continue to shut down and our 'leadership' lacks the mettle to get rid of the rot.

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