By George Kararach, Raphael O. Otieno
This quantity offers an available and up to date account of the problems that the Zimbabwean economic climate and its inhabitants skilled throughout the drawback which peaked in 2008. It info the affliction and chaos that occurred the rustic with dramatic socio-economic outcomes on progress, macroeconomic balance, carrier supply, livelihoods, and improvement. the quantity seeks to supply a political financial system research of management and monetary administration in constructing economies in keeping with Zimbabwe's adventure. It examines the triggers of the situation, and the unfavourable influence on effective sectors equivalent to production and agriculture, social sectors reminiscent of schooling and healthiness, and on monetary companies. the amount can be of curiosity to scholars of coverage and fiscal administration, in addition to to executive departments, imperative banks in constructing international locations, improvement corporations, donors, and NGOs.
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Additional info for Economic Management in a Hyperinflationary Environment: The Political Economy of Zimbabwe, 1980-2008
Sample text
As the authors of this volume clearly show, the ‘immediate’ triggers to the Zimbabwean crisis can be traced way back to 1997 when a decision was made to pay war veterans hefty gratuities which were not backed by any budgetary provisions. The situation was made worse by the fact that there were subsequent monthly payments to the war veterans at a time when revenue sources were constrained. There does not seem to have been any logical economic and social policy reasoning behind the move which resulted in huge budget deficits and, hence, debt creation.
Africa, Vol. 4, p. 39. Chimanikire, D. P. (1990). South Africa’s Destabilisation Policy: The Zimbabwe Experience. Zimbabwe Institute of Development Studies Research Papers, Series 2. Doré, Dale (2012). Land Policy in Zimbabwe: A Framework for Discussion Papers. Gono, G. (2009). January 2009 Monetary Policy Statement, Harare: Reserve Bank of Zimbabwe. GoZ (Government of Zimbabwe) (1981). Growth With Equity: An Economic Policy Statement. Harare. GoZ (Government of Zimbabwe) (1982). Transitional National Development Plan: 1982/ 3–1984/5.
The US Zimbabwe Democracy and Economic Recovery Act (ZDERA) came into force in 2001. The Act was passed by the United States Congress ostensibly to provide for a transition to democracy and to promote economic recovery in Zimbabwe. Consistent with declining export earnings and the shortfall in external financing, international reserves dwindled to precarious levels, resulting in the accumulation of external payment arrears. Persistent attacks on the local currency as well as dwindling international reserves pressured the government to abandon the exchange rate peg in August 2000.