Princekevo

there are no economic sanctions on Zimbabwe - simply TRAVEL BANS on their leadership and targeted sanctions on businesses run by corrupt leaders.

U.S. sanctions are not aimed at the general economy and do not impose an economic “blockade” on Zimbabwe. Zimbabwean firms not connected to government leaders are free to do business with American firms; Americans firms are free to invest in and trade with Zimbabwe, so long as they avoid business deals with top officials. Moreover, the United States will still provide humanitarian aid and help Zimbabwe confront the HIV/AIDS pandemic. Since 2002, the U.S. has provided more than[b] three-hundred-million dollars[/b] of food assistance to Zimbabwe. Zimbabweans should not suffer because of the crimes of their leadership.

The government of Zimbabwe is lying when it blames the country’s economic collapse on sanctions. The economy is collapsing because of government corruption, mismanagement, and the undermining of the rule of law. In Zimbabwe today, government cronies get farms while food prices are soaring. Ruling party insiders get contracts while fuel is in short supply. Government ministers take trips abroad while inflation eats up salaries of ordinary people.

http://www.voanews.com/uspolicy/archive/2005-11/2005-11-23-voa3.cfm?CFID=80353928&CFTOKEN=58460640

debosky:

Princekevo

there are no economic sanctions on Zimbabwe - simply TRAVEL BANS on their leadership and targeted sanctions on businesses run by corrupt leaders.

http://www.voanews.com/uspolicy/archive/2005-11/2005-11-23-voa3.cfm?CFID=80353928&CFTOKEN=58460640

US. sanctions are not aimed at the general economy and do not impose an economic “blockade” on Zimbabwe. Zimbabwean firms not connected to government leaders are free to do business with American firms; Americans firms are free to invest in and trade with Zimbabwe, so long as they avoid business deals with top officials. Moreover, the United States will still provide humanitarian aid and help Zimbabwe confront the HIV/AIDS pandemic. Since 2002, the US. has provided more than three-hundred-million dollars of food assistance to Zimbabwe. Zimbabweans should not suffer because of the crimes of their leadership.

If the post above is true then we can as well blame the firms that are not connected to Mugabe for running down the economy.

What's really going on here, trying to twist everything just to find Mugabe guilty? Even the West cannot successfully wash its hands off the mess that is Zimbabwe today.

Meanwhile we have global financial crisis, so even with the World bank, IMF etc countries like US is having a failing economy and we are talking about Mugabe?

debosky:

Princekevo

there are no economic sanctions on Zimbabwe - simply TRAVEL BANS on their leadership and targeted sanctions on businesses run by corrupt leaders.

http://www.voanews.com/uspolicy/archive/2005-11/2005-11-23-voa3.cfm?CFID=80353928&CFTOKEN=58460640

My Guy read this article you understand
http://www.newzimbabwe.com/pages/sanctions36.13187.html,
http://www.nathanielturner.com/sanctionsonzimbabwe.htm


You said zimbabwe in not under any economic santion? that is really funny.
Only those who donsnt understand the world politics today would believe that. Go to the link you can read abt the sanctions and their motives behind the Sanctions. Which i still maintain the fact that this stragtegy to remove mugabe isnt fair at all Coz it make the people of Zimbabwe suffer more. When two elephants are fighting only the poor grass suffers it.

Afam:

If the post above is true then we can as well blame the firms that are not connected to Mugabe for running down the economy.

What's really going on here, trying to twist everything just to find Mugabe guilty? Even the West cannot successfully wash its hands off the mess that is Zimbabwe today.

Meanwhile we have global financial crisis, so even with the World bank, IMF etc countries like US is having a failing economy and we are talking about Mugabe?

My guy you have said it all. If the those US built-up reports are true why would u be operating in a country without coperating or connecting with the leaders? How many Ameraicans or british are investing in Zimbabwe after US and britain have had restrictions on trading with zimbabwe and even threatning to sanction them from UN. Thank God for the veto of China and russia, if not by now i don't know where the economy of zimbabwe would be.

How many Ameraicans or british are investing in Zimbabwe after US and britain have had restrictions on trading with zimbabwe and even threatning to sanction them from UN.

There are no trade restrictions and UK and US companies do still operate in Zimbabwe.  At least 18 of the biggest 50 companies in the UK (and possibly as many as 30) still operate there. That number doesn't even take into account the number of smaller firms. And as already pointed out, there are no sanctions against Zimbabwe - just travel and financial restrictions aimed at members of the Mugabe regime.

The link you've provided is written by a pro-Zanu PF supporter. They claim that there are sanctions and then end up admitting that there are none but that the problem is down to "US influence". This is not true. The problem is because Zimbabwe's major economic income was dependent on agriculture. When Mugabe initiated his program of land reform, he took the farms from the whites but instead of giving them to people who would farm them properly, he gave them to his cronies and people who didn't have a clue how to grow crops. Coupled with a couple of droughts, the economy imploded. Instead of trying to sort out the problem, Mugabe immediately went and played the blame game and then went and mismanaged the rest of the economy. Inflation then soared and foriegn investors realised that putting money into Zimbabwe was a very risky deal. The IMF does not need "US influence" to force it to with-hold loans to Zimbabwe. It can see that under the current circumstances, there is no way on this Earth that Zimbabwe would be able to pay anything back and that it would just be throwing good money after bad. Anything it gives to Zimbabwe is likely to be mis-used or end up in the ZANU-PF pocket.

Mugabe can't be blamed for the weather. But he is totally to blame for destroying the infrastructure of the largest provider of money to the Zimbabwean economy (agriculture). He's then guilty of wrecking the rest of the economy by trying to fix the problem with breath-taking mismanagement.

The UK and the US are not to blame. Perhaps the only other culprits are the ANC who have blocked every attempt by the West and other African nations to convince Mugabe to give up power.

You said zimbabwe in not under any economic santion? that is really funny.
Only those who donsnt understand the world politics today would believe that.

Only those who wish to white-wash the Mugabe regimes terrible mis-handling of the Zimbabwean economy and want to blame yet another one of Africa's problems on the West "don't understand the world politics today".

Bastage:

There are no trade restrictions and UK and US companies do still operate in Zimbabwe. At least 18 of the biggest 50 companies in the UK (and possibly as many as 30) still operate there. That number doesn't even take into account the number of smaller firms. And as already pointed out, there are no sanctions against Zimbabwe - just travel and financial restrictions aimed at members of the Mugabe regime.

The link you've provided is written by a pro-Zanu PF supporter. They claim that there are sanctions and then end up admitting that there are none but that the problem is down to "US influence". This is not true. The problem is because Zimbabwe's major economic income was dependent on agriculture. When Mugabe initiated his program of land reform, he took the farms from the whites but instead of giving them to people who would farm them properly, he gave them to his cronies and people who didn't have a clue how to grow crops. Coupled with a couple of droughts, the economy imploded. Instead of trying to sort out the problem, Mugabe immediately went and played the blame game and then went and mismanaged the rest of the economy. Inflation then soared and foriegn investors realised that putting money into Zimbabwe was a very risky deal. The IMF does not need "US influence" to force it to with-hold loans to Zimbabwe. It can see that under the current circumstances, there is no way on this Earth that Zimbabwe would be able to pay anything back and that it would just be throwing good money after bad. Anything it gives to Zimbabwe is likely to be mis-used or end up in the ZANU-PF pocket.

Mugabe can't be blamed for the weather. But he is totally to blame for destroying the infrastructure of the largest provider of money to the Zimbabwean economy (agriculture). He's then guilty of wrecking the rest of the economy by trying to fix the problem with breath-taking mismanagement.

The UK and the US are not to blame. Perhaps the only other culprits are the ANC who have blocked every attempt by the West and other African nations to convince Mugabe to give up power.

Only those who wish to white-wash the Mugabe regimes terrible mis-handling of the Zimbabwean economy and want to blame yet another one of Africa's problems on the West "don't understand the world politics today".

You said Zimbabwe is not under economic Sanction? Wonder how again you can define this

The European Union and the American government have imposed sanctions on Zimbabwe? What is the main aim of these sanctions? They are meant to . . . weaken and remove the regime of president Robert Mugabe. Like other actions taken by institutions such as the International Monetary Fund and the World Bank, they seek to pressure and impose a government on the people of Zimbabwe in the name of 'democratic elections.' (AfricanPerspective.com, Issue #51, Saturday February 3, 2002, "No Sanctions on Zimbabwe"



In 2002, the fifteen member states of the European Union decided to impose sanctions on Zimbabwe. Sanctions are war without guns and bloodshed, and have limited, if any, effectiveness for changing behavior or governments of target countries. (Working Papers 1997 of the Institute For International Economics).

On the other hand, sanctions target to kill or injure infants, children, the elderly, and the chronically ill. (Ramsey Clark: Report to UN Security Council re: Iraq, January 26, 2000)


Please wht is happening in Zimbabwe today is it beyond this?
On the other hand, sanctions target to kill or injure infants, children, the elderly, and the chronically ill. (Ramsey Clark: Report to UN Security Council re: Iraq, January 26, 2000)

princekevo:

.

Only people with shallow minds would put all the blame on mugabe.Go and read the history of zimbabwe till present. You will understand the stragtegy am talking about.

And now we are back again where we started. When you get sick of the circular arguing, let me know. Again, what has history of Zimbabwe to do with cholera and people dying of hunger in a country that not 20 years ago was the Basket of Africa?

princekevo:

We might balme mugabe for not having the capacity to move the country foward under this sanctions and not letting some one else do the job. But the blame goes much to the west ?

Not having the capacity? So why not blame him for rigging elections? Why not blame him for not accepting the responsibility of putting his own people before his ego? Why not blame him for the deterioration that has taken place in that country in just one year. Do you realize that that country has gone from bad to worse in less than a year and not a single economic sanction in that period of time?

princekevo:

In the first place wht did Zimbabwe do that attracted the sanction? There is a cause to every effect man. Even african countries that had every support and free trade with all nation can't move foward not to talk the one that is being restricted from trading with major nation.

Again, what does the actual sanctions on the country have to do with the deterioration we see today? What direct link is there?

princekevo:

You mentioned them trading with china is that not funny.

What is funny in my mentioning this? I mean is there anything wrong with trading with China? The whole world is doing it so what is funny about it?

princekevo:

If u are a Nigerian or other African nationals please let Nigeria or which ever country u come from be sanctioned from common wealth and other organisation,no support from the IMF let see how far the economy could go. If u understand the objectives of common wealth and its important to nations you would not be saying that.

I understand the objectives but what is it that I would not be saying? Again, you have yet to explain how Zimbabwe being able to fund a shipment of arms from china is funny.

princekevo:

Or do you think Zimbabwe is jst fold their hands and watch the economy shambled? Jst few weeks agao they introduce high currencies to see how they can reduce the inflation rate or do u think the oppositions who will sell the country out to the west are better. I Wish mugabe would yeild to hand over power to them lets see how far they can leed Zimbawe,

Brilliant move!!! The many times in the past they have done exactly the same and only seen inflation shoot up has not been enough to get them to understand that the move is imbecilic at best. Their doing it yet again is cause for us to applaud the government? LoL

[size=13pt]Zimbabwe May Have Received Chinese Arms via Congo, UN Says Dec 19 , 2008 [/size]
http://www.bloomberg.com/apps/news?pid=20601116&sid=auCOiV0raojI&refer=africa


By Brian Latham

Dec. 19 (Bloomberg) -- The United Nations has “credible information” that Chinese weapons were sent to Zimbabwe via the Democratic Republic of Congo, according to a report by the organization.

An attempt by China to transport arms to Zimbabwe in April was blocked by a South African labor union that instructed its members to refuse to unload a shipment that arrived in Durban, South Africa. Attempts to dock at ports in neighboring countries were unsuccessful. China was criticized over the shipment by the Zimbabwean opposition and the US.

Zimbabwe is experiencing a political crisis after the opposition Movement for Democratic Change won the most seats in a parliamentary election in March and then boycotted a June run- off for the post of president because of alleged attacks on its supporters by ruling party backers, the police and military. A power-sharing agreement signed in September is yet to be implemented after talks broke down.

Between Aug. 20 and 22 this year a Boeing aircraft transported 53 metric tons of ammunition destined for the Zimbabwean army from Congo to Zimbabwe, said Marty Natalegawa, chairman of the UN Security Council committee probing conflict in eastern Congo, according to the report.

While the transportation doesn’t violate an arms embargo on eastern Congo it does show that Congo may be being used as a transshipment point for weapons destined for other countries, according to the report. The UN has written to the government of China and is awaiting a response, it stated.

An employee who answered the phone in the Chinese Ministry of Foreign Affairs press office said he was unaware of the report and declined to immediately comment. Calls to the Congolese government didn’t’ connect.

‘Hunting Purposes’

The United Nations also found ammunition of Zimbabwean origin in the DRC’s Rumangabo district. Congolese authorities captured a Bulgarian-made RPG-7 rocket grenade launcher and 7.62 millimeter ammunition made by state-owned Zimbabwe Defense Industries Ltd. under its trade name “Cheetah.’’

“The Zimbabwean authorities responded that the ammunition was made for hunting purposes and that Zimbabwe has not supplied arms to the Democratic Republic of Congo since its troops withdrew in 2002 and has not provided any military material to Uganda, Rwanda or Burundi, although those countries did capture some Zimbabwean equipment during the 1998-2003 war,’’ according to the report.

7.62 millimeter ammunition is used in AK-47 assault rifles, the most commonly used weapon in African rebellions. Zimbabwe deployed troops to Congo during a civil war in the country to support the government of Joseph Kabila from rebels from the east, who were backed by Rwanda and Uganda.

Calls to Zimbabwe’s army commander Philip Sibanda at Harare’s King George VI barracks weren’t answered today. Calls to Zimbabwe Defense Industries, which owns two factories in Harare, were also not answered.

Under US. and European Union trade embargoes, it is illegal to do business with ZDI.

The shipments were reported earlier by the Johannesburg- based Mail & Guardian newspaper.

[size=13pt]Mugabe signs aid deal with China    Tuesday, 26 July 2005 [/size]
http://news.bbc.co.uk/2/hi/africa/4713961.stm



Zimbabwean President Robert Mugabe has signed a deal with his Chinese counterpart Hu Jintao in Beijing.
The details have not been made public but China was expected to seek mineral and other trade concessions in exchange for economic help.

[size=13pt]Zimbabwe needs hard currency to repay loans or face expulsion from the IMF. There are shortages of fuel and food. [/size]

Mr Mugabe has adopted a "Look East" policy, after being ostracised in the West over alleged human rights abuses.

China has promised to help Zimbabwe and to not interfere in "internal affairs".

China "trusts Zimbabwe's government and people have the ability to deal properly with their own matters", a foreign ministry statement said.

"You have made major contributions to the friendly relations between our two countries,  I stand ready to have an in-depth exchange of views with your excellency on our bilateral relations," Mr Hu said at the start of their meeting.

Mr Mugabe's spokesman has said Zimbabwe is trying to get lines of credit from China and other Asian countries.

Economic contrast

Mr Mugabe's government is also in talks with South Africa about Zimbabwe's foreign debt.

On Sunday, South African President Thabo Mbeki said his country would be willing to take over part of Zimbabwe's debt to the International Monetary Fund.

Mr Mbeki said the plan would be finalised following talks with the Zimbabwean government and opposition.

China, one of the world's fastest growing economies, is already ranked as one of Zimbabwe's largest trading partners and has supplied buses, civilian and military aircraft to Mr Mugabe's government.

In contrast, Zimbabwe is one of the world's fastest shrinking economies, with high unemployment, soaring inflation and shortages of food and fuel.

Old allies

But Mr Mugabe's six-day visit demonstrates Beijing's growing involvement in the continent.

It also shows China's determination to welcome an old ally, regardless of Mr Mugabe's pariah status in the West, the BBC's Quentin Sommerville in Shanghai says.

The ties between China and Mr Mugabe date back to the 1970s war of independence, when fighters from his Zanu party were armed by the Chinese.

After being accused of rigging elections and oppressing the opposition, Mr Mugabe is subject to a travel ban in the European Union and the United States.

@princekevo

Do you know what those sanctions are?

I'll tell you shall I?

They take the form of an embargo on the sale, supply or transfer of arms and technical advice, assistance or training related to military activities, and an embargo on the sale and supply of equipment that could be used for internal repression in Zimbabwe.
They also include a travel ban on "persons who engage in serious violations of human rights and of the freedom of opinion, of association and of peaceful assembly in Zimbabwe". The 95 persons on the sanctions list have also observed a freezing of their funds, financial assets and economic resources in the EU (basically, cash that they've stolen from their country). Britain is also said to be considering the widening of a travel ban to include relatives of Zanu PF members, preventing children of officials from attending schools in EU/US.

Would you like to tell me how these sanctions "target to kill or injure infants, children, the elderly, and the chronically ill"?

Please think before making blanket statements that make you look stupid.

I think the AU and African Leaders are failing our own, we should stand up and take charge of our issues and solve them internally and stop waiting for this so called ''INTERNATIONAL COMMUNITY''. so much for independence

princekevo:

Actually when i look at wht is happening in Zimbabwe it confims to me the statement of some some few elites that, as along as Africans depend on the westerners we would never move forward. And it make me think that the westerners are still in full control of africa. Am not justifying Mugabe's inability to move his country foward.
   Please lets get back to the history of Zimbabwe  from when Mugabe took over power. At wht point did the economy of Zimbabwe become so bad?
That was since he took back the lands from the white farmers and chase them out of Zimbabwe. Was it a right decision to make at that point in time? Wht prompted to such a decision?
   Why is it that non of the african countries benefited anything from its colonies? Look at hongkong that leased out their lands to the british for 100yrs. The British built all the sky scrapers for themselves,all the buitiful houses for themselve thinking 100yrs will never come. Jst like a twikle of an eyes.100yrs came and passed and the resident took back their lands with the buildings in accordance with their agreement.That is wht made hongkong wht it is today. 
   Please who is that great leader or economist in the world that could move a country forward after being excommunicated from all relevant union and international organisations. This has been one of the weapons the westerner has been using to remove african leaders for their own selfish reasons.
the same weapon they used against charls Taylor of Liberian.I know most African leaders do over stay their welcome on power but, using this same weapon make the mases suffer alot for years. I shed tears each time i read about wht is happening in Zimbabwe. Is like where two elephants fight only the poor grasses suffers for it. I think the people of Zimbabwe dosent deserve this after coming out from a horible experience in hands of their colony.

Afam:

Is the West still talking about the economy of Zimbabwe being in shambles when monumental fraud is rocking Wall Street and the world economy is crumbling even with the support of IMF and World Bank.

I guess the West should go and take lessons from Mugabe on how to manage a failing economy. At least the world conspired to kill Zimbabwe economy whereas the global financial crisis is due to lies, failed policies, manipulation etc.

Succinctly put, hopefully the scales would fall from the other's eyes

Afam:

I can but will not. If you do not know anything about the way World Bank, IMF and other Global financial institutions have been used against Zimbabwe then you will not gain anything by reading what I put down.

I can Yes please Zimbabwe was credit crunch[i]ed[/i] and Karma is a BITCH

Q&A: Zimbabwe and the IMF
http://news.bbc.co.uk/2/hi/business/4185502.stm


For those who do not understand the relationship between countries and the IMF.

Why is the IMF thinking of expelling Zimbabwe?


The IMF is taking action because Zimbabwe has not paid interest on the money it has borrowed.

The country has suffered five years in which its economy has shrunk, millions have been forced out of work, inflation has soared and the currency has tumbled.

It has been ostracised by both the IMF and donors countries after an election in 2000, which many observers charged was rigged, and since it instituted a policy of seizing land owned by white farmers for redistribution to the black majority.

The seizures meant much of the agriculture sector, the country's biggest export earner, has withered away.

In the midst of that, it is hardly surprising that the $295m it owes the International Monetary Fund in interest on loans taken out over the previous decades has till recently gone unpaid - although $120m was in fact repaid at the end of August.

In total, the country is carrying debts of some $4.5bn.

The IMF is prepared to keep Zimbabwe in the fold - but at the cost of stringent economic conditions, such as limits on spending, which the government of President Robert Mugabe refuses to consider.

Mr Mugabe blames his country's problems on interference from Western countries - in particular the UK, from whom it gained independence in 1980.

[size=13pt]But if donors are staying away anyway, what difference would an expulsion make? [/size]

The role of the IMF is to give short-term loans to countries in economic difficulties.

Approval by the IMF is also seen as a signal by private lenders that it is safe to lend to that country.

So getting kicked out of the IMF would effectively mean Zimbabwe was ostracised by the international economic community.

That would make it more difficult for anyone wanting to do business with, or in, Zimbabwe to get loans.

In addition, the assumption has to be that whatever the current situation in Zimbabwe, it will one day want to return to seeking loans or even selling government bonds to raise money for public spending.


Basic foodstuffs are sometimes in short supply

Expulsion from the IMF would mean much higher interest rates, much more stringent conditions - and therefore quite possibly a much longer haul back from Zimbabwe's current parlous economic state.

[size=13pt]Just how serious a situation is Zimbabwe in? [/size]

One index of the gravity of Zimbabwe's predicament is its shrinking population. A census in 2002 suggested that as many as a quarter of its population, or up to 4 million people, have fled to neighbouring countries or headed for the UK, Europe or the USA.

Some believe they face political persecution for supporting the main opposition party, the Movement for Democratic Change (MDC).

But others are simply desperate to find work to support their families.

More than 70% of the Zimbabwean workforce is classed as unemployed. Inflation is currently running at more than 250% a year, while the cost of living - according to the Consumer Council of Zimbabwe - has tripled since the start of 2005.

And while five years ago the official exchange rate was 55 Zimbabwean dollars to the US dollar, today it has plummeted to more than 24,000. The black market rate is about twice that.

Key to the problem, economists say, is that both industry and agriculture have been devastated over the past half-decade - meaning a drastic shortage of goods both for domestic use and for export.

Without exports, the country cannot raise foreign currency to buy fuel, import food to feed an estimated 4 million people suffering malnutrition,

Oddly, through all of this the Zimbabwe Stock Exchange has soared - not least because speculation has been one of the few ways to make money.


Agricultural production has plummeted

But during much of August there was no trading on the exchange, after the government threatened a 10% withholding tax on share deals and a rule change which would have forced pension funds to put much of their assets into government bonds rather than equities.

[size=13pt]So what can Zimbabwe do? [/size]

The most concrete step came on 1 September, when Reserve Bank governor Gideon Gono said the government had repaid $120m to the IMF as a sign of its sincerity about the arrears.

The money, he said, had been raised from exporters and holders of overseas assets.

But many observers doubt this would be possible, with South Africa's Business Day paper saying it might come from undeclared foreign exchange reserves - if true, hardly a situation likely to please the IMF.

Others have speculated that China may have come up with the cash.

In July, President Mugabe travelled to Beijing to seek help.

China has become a key trading partner when other countries have stayed away, and Chinese firms and individuals have now taken over many businesses and properties in Zimbabwe.

Despite warm words, President Mugabe apparently came away empty-handed, but it is possible that a deal could have been struck.


Foreign exchange is needed to replenish fuel supplies

Alternatively, there is South Africa, which is currently discussing a possible loan which would both provide working capital for the government in Harare and stave off the IMF expulsion.

Media reports initially suggested US$1bn, but a more likely figure is thought to be US$200-500m.

Still, South Africa has indicated that it, too, would require changes in economic policy to boost production and get inflation and the decline in the currency under control - conditions which Zimbabwean ministers say they refuse to accept.

Kobojunkie:

Q&A: Zimbabwe and the IMF
http://news.bbc.co.uk/2/hi/business/4185502.stm


For those who do not understand the relationship between countries and the IMF.

Why is the IMF thinking of expelling Zimbabwe?


The IMF is taking action because Zimbabwe has not paid interest on the money it has borrowed.

The country has suffered five years in which its economy has shrunk, millions have been forced out of work, inflation has soared and the currency has tumbled.

It has been ostracised by both the IMF and donors countries after an election in 2000, which many observers charged was rigged, and since it instituted a policy of seizing land owned by white farmers for redistribution to the black majority.

The seizures meant much of the agriculture sector, the country's biggest export earner, has withered away.

In the midst of that, it is hardly surprising that the $295m it owes the International Monetary Fund in interest on loans taken out over the previous decades has till recently gone unpaid - although $120m was in fact repaid at the end of August.

In total, the country is carrying debts of some $4.5bn.

The IMF is prepared to keep Zimbabwe in the fold - but at the cost of stringent economic conditions, such as limits on spending, which the government of President Robert Mugabe refuses to consider.

Mr Mugabe blames his country's problems on interference from Western countries - in particular the UK, from whom it gained independence in 1980.

[size=13pt]But if donors are staying away anyway, what difference would an expulsion make? [/size]

The role of the IMF is to give short-term loans to countries in economic difficulties.

Approval by the IMF is also seen as a signal by private lenders that it is safe to lend to that country.

So getting kicked out of the IMF would effectively mean Zimbabwe was ostracised by the international economic community.

That would make it more difficult for anyone wanting to do business with, or in, Zimbabwe to get loans.

In addition, the assumption has to be that whatever the current situation in Zimbabwe, it will one day want to return to seeking loans or even selling government bonds to raise money for public spending.


Basic foodstuffs are sometimes in short supply

Expulsion from the IMF would mean much higher interest rates, much more stringent conditions - and therefore quite possibly a much longer haul back from Zimbabwe's current parlous economic state.

[size=13pt]Just how serious a situation is Zimbabwe in? [/size]

One index of the gravity of Zimbabwe's predicament is its shrinking population. A census in 2002 suggested that as many as a quarter of its population, or up to 4 million people, have fled to neighbouring countries or headed for the UK, Europe or the USA.

Some believe they face political persecution for supporting the main opposition party, the Movement for Democratic Change (MDC).

But others are simply desperate to find work to support their families.

More than 70% of the Zimbabwean workforce is classed as unemployed. Inflation is currently running at more than 250% a year, while the cost of living - according to the Consumer Council of Zimbabwe - has tripled since the start of 2005.

And while five years ago the official exchange rate was 55 Zimbabwean dollars to the US dollar, today it has plummeted to more than 24,000. The black market rate is about twice that.

Key to the problem, economists say, is that both industry and agriculture have been devastated over the past half-decade - meaning a drastic shortage of goods both for domestic use and for export.

Without exports, the country cannot raise foreign currency to buy fuel, import food to feed an estimated 4 million people suffering malnutrition,

Oddly, through all of this the Zimbabwe Stock Exchange has soared - not least because speculation has been one of the few ways to make money.


Agricultural production has plummeted

But during much of August there was no trading on the exchange, after the government threatened a 10% withholding tax on share deals and a rule change which would have forced pension funds to put much of their assets into government bonds rather than equities.

[size=13pt]So what can Zimbabwe do? [/size]

The most concrete step came on 1 September, when Reserve Bank governor Gideon Gono said the government had repaid $120m to the IMF as a sign of its sincerity about the arrears.

The money, he said, had been raised from exporters and holders of overseas assets.

But many observers doubt this would be possible, with South Africa's Business Day paper saying it might come from undeclared foreign exchange reserves - if true, hardly a situation likely to please the IMF.

Others have speculated that China may have come up with the cash.

In July, President Mugabe travelled to Beijing to seek help.

China has become a key trading partner when other countries have stayed away, and Chinese firms and individuals have now taken over many businesses and properties in Zimbabwe.

Despite warm words, President Mugabe apparently came away empty-handed, but it is possible that a deal could have been struck.


Foreign exchange is needed to replenish fuel supplies

Alternatively, there is South Africa, which is currently discussing a possible loan which would both provide working capital for the government in Harare and stave off the IMF expulsion.

Media reports initially suggested US$1bn, but a more likely figure is thought to be US$200-500m.

Still, South Africa has indicated that it, too, would require changes in economic policy to boost production and get inflation and the decline in the currency under control - conditions which Zimbabwean ministers say they refuse to accept.

The hypocrisy continues.

Zimbabwe with just $4.5B debt is in trouble but the US with over $10Trillion debt is calling the shots and currently is facing a serious economic crisis coupled with monumental frauds and big organizations going bankrupt while others are looking for free money in the bailout plan.

Seems I need to continue watching Jack Bauer in Season 7 of 24 instead of reading this crap posted above.

Zimbabwe with just $4.5B debt is in trouble but the US with over $10Trillion debt is calling the shots and currently is facing a serious economic crisis coupled with monumental frauds and big organizations going bankrupt while others are looking for free money in the bailout plan.

You seem to have no understanding whatsoever of economics.

When you own the bank, you can run up as much debt as you like. Most of the US debt is owed to guess who? Yep - the US itself. It's basically a bank that lends money to itself. Then there is a large proportion of the money that is owed to US business. About 20% of the debt is owed to non-US interests and of that 20% none of it is owed to the IMF. That debt is made up of US Treasury Securities held by foreign governments.

There's also a huge difference between big organisations going bankrupt in a democracy and people dying of cholera under a dictatorship.

Then take into account that in the two examples you've given, one has a huge export market and the other can't even afford to feed itself and you can see that it has nothing to do with hypocrisy but everything to do with economics.

Seems I need to continue watching Jack Bauer in Season 7 of 24 instead of reading this crap posted above.

Maybe you should stick to watching fiction on TV instead of writing fiction on a discussion forum. Lose yourself in the dreamworld of TV but try not to bring that fantasy over into the real world.

Bastage:

@princekevo

Do you know what those sanctions are?

I'll tell you shall I?

They take the form of an embargo on the sale, supply or transfer of arms and technical advice, assistance or training related to military activities, and an embargo on the sale and supply of equipment that could be used for internal repression in Zimbabwe.
They also include a travel ban on "persons who engage in serious violations of human rights and of the freedom of opinion, of association and of peaceful assembly in Zimbabwe". The 95 persons on the sanctions list have also observed a freezing of their funds, financial assets and economic resources in the EU (basically, cash that they've stolen from their country). Britain is also said to be considering the widening of a travel ban to include relatives of Zanu PF members, preventing children of officials from attending schools in EU/US.

Would you like to tell me how these sanctions "target to kill or injure infants, children, the elderly, and the chronically ill"?

Please think before making blanket statements that make you look stupid.

My guy leave those things.That is wht us report and government will tell by their own definition of sanction. Those who understand the polities going pn will tell u is beyond just that. Am telling u that the truth of the whole matter and reasons for the sanction is to handicapped the government of zimbabwe, make the people of zimbabwe suffer,to prove the fact that the govt.under Mugabe cannot move the country forward.
Lets be realistic mate this system dosnt work in africa considering the heart of african leaders. We all understood why Mugabe is insisting on power.I tell you mugabe would rather die on sit than release power to MDC. Coz he knows wht the implication is.Such people there other ways to get them out of power other using force and all these economic sanctions. If not the suffering of Zimbabwe jst started.

princekevo:

My guy leave those things.That is wht us report and government will tell by their own definition of sanction. Those who understand the polities going pn will tell u is beyond just that. Am telling u that the truth of the whole matter and reasons for the sanction is to handicapped the government of zimbabwe, make the people of zimbabwe suffer,to prove the fact that the govt.under Mugabe cannot move the country forward.
Lets be realistic mate this system dosnt work in africa considering the heart of african leaders. We all understood why Mugabe is insisting on power.I tell you mugabe would rather die on sit than release power to MDC. because he knows wht the implication is.  Such people there other ways to get them out of power other using force and all these economic sanctions. If not the suffering of Zimbabwe jst started.

Abacha regime actually had economic sanctions and if not for the man’s death, we might still have an abacha government to date. How come Abacha was able to pull it off for as long as he did but Mugabe, by his own policies has brought the country to where it is now.

I also love the way you continue to insist on the sanctions on zimbabwe being economic in nature but continue to ignore the fact that the same country continues, to date, to trade with china, the supposed biggest economy in the world. You also avoid the fact that there are multinational industries existing and functioning in the same country to date.

Seems your truth needs tweaking.

FACTBOX: Foreign companies in Zimbabwe
http://www.reuters.com/article/worldNews/idUSL2788953420070927


[size=13pt]Thu Sep 27, 2007 [/size]


(Reuters) - Foreign-owned companies in Zimbabwe said on Thursday they were assessing the likely effects on their business of a new law forcing them to give local owners majority holdings.

The empowerment bill, pushed through parliament by the government on Wednesday, will give Zimbabweans a 51 percent stake in foreign firms, including the important mining and banking sectors.

Following is a list of some of the major foreign-owned companies in Zimbabwe, according to a company registry.

British American Tobacco

Barclays Bank

Standard Bank

Stanbic Bank

Standard Chartered

CABS Building Society

Old Mutual (insurance and real estate)

Rio Tinto (gold miners)

Anglo American Corp (agro-industry and mining)

Impala Platinum

Zimplats (majority owned by Impala)

Freda Rebecca (gold miners)

Falgold (gold miners)

Metallon Gold

Aquarius Platinum

Rio Tinto (Murowa diamond mine)

Mimosa Mining Company (platinum)

River Ranche Diamond Mine

Unki (platinum)

Murray & Roberts (construction)

Border Timbers

Hippo Valley Sugar Estates

Triangle Sugar Estates

Chevron

BP (British Petroleum)

Shell

Engen (majority-owned by Malaysia's national oil company Petronas)

David Whitehead (textile)

Edgars Stores (clothing)

National Tyre Services

Delta Corporation (beverages)

Circle Cement (Circem)

Price Waterhouse

Bata Shoe Company

Spar (grocery chain)

Coca-Cola

https://www.youtube.com/watch?v=s8GtV4pLsME&feature=related
Zimbabwe, Never Surrender, Pt1



https://www.youtube.com/watch?v=_kEYQpQYPNc&feature=related
Zimbabwe, Never Surrender, Pt2

http://news.bbc.co.uk/2/hi/africa/7791574.stm

You see  it was as if am a prophet check Mugabe's speech at Zanu-PF party at its annual conference. Mugabe would prefer to die on power like Eyadima of Togo cause he know what will become of him if he dare handover power to MDC.He is an advanced man, age is no more on his side.He is insisting being on power until God calls him.But till when because the people of Zimbabwe are suffering.That is why i still insist that there are other ways to get him down from power other than making the mases suffer under severe economic sanction. If not that God interven in the time of Abacha in Nigerian case do u where Nigeria would have been by now?

That is why i still insist that there are other ways to get him down from power other than making the mases suffer under severe economic sanction.

What severe economic sanction? Please detail it.
And what "other ways" would you use to remove him from power?

Bastage:

You seem to have no understanding whatsoever of economics.

When you own the bank, you can run up as much debt as you like. Most of the US debt is owed to guess who? yes - the US itself. It's basically a bank that lends money to itself. Then there is a large proportion of the money that is owed to US business. About 20% of the debt is owed to non-US interests and of that 20% none of it is owed to the IMF. That debt is made up of US Treasury Securities held by foreign governments.

The content in bold refers, it is obvious you are another "I love US pass my mama" poster on this forum. If you don't see anything wrong in the issue of debts and how countries are treated by financial institutions then your case is settled already.

It beats me why any one bothers to debate with kobojunkie. This guy's as thick as plank.

The content in bold refers, it is obvious you are another "I love US pass my mama" poster on this forum.

How very clever you are. You have no real answer so you resort to childish immaturity.
I personally, couldn't give a crap about the US. I merely stated economic fact. Just because you disagree with that, does not make it any less true and to state that by making my point I'm some sort of lackey of the US, just shows that you haven't a clue.

If you don't see anything wrong in the issue of debts and how countries are treated by financial institutions then your case is settled already.

Debt in Zimbabwe's case is utterly irrelevant. I gave my answer in reply to someone dragging up some idiot conspiracy theory.
Zimbabwe has been one of the major receivers of international money in Africa. And a very large proportion of that was not given as debt but handed out as free aid. This to a country that used to be the bread-basket of Africa. Do you think that writing off any of Zimbabwe's debt is going to make the slightest difference to their economy? When they're not even paying it now? Indications are that all of it's debt will be written off when Mugabe is out of power anyway. But say there was none of this debt that Mugabe isn't paying back anyway? Do you expect that Zimbabwe will suddenly rise from the ashes? Do you expect the government which broke the country in the first place with it's ridiculous semi-Marxist policies to suddenly see the light and fix everything? Please go and post your answer in the Joke Section.

Those like yourself, who lick Mugabe's ass as a way of putting the blame on anyone but him and ZANU-PF live in a dream world. Do us all a favour - Stay there and stop boring the crap out of the rest of us with your delusional fairy stories.

Bastage:

How very clever you are. You have no real answer so you resort to childish immaturity.
I personally, couldn't give a crap about the US. I merely stated economic fact. Just because you disagree with that, does not make it any less true and to state that by making my point I'm some sort of lackey of the US, just shows that you haven't a clue.

Those like yourself, who lick Mugabe's ass as a way of putting the blame on anyone but him and ZANU-PF live in a dream world. Do us all a favour - Stay there and stop boring the crap out of the rest of us with your delusional fairy stories.

So soon, you are already losing it?

You stated that you are not some sort of lackey of the US based on your post but people like myself lick Mugabe's ass.

This is the typical route clueless people take when they hit a brick wall trying to explain away their ignorance on issues.

If your lousy sense of reasoning is what obtains in the real world then I would rather remain in the dream world.

How about answering the points that I have raised?

princekevo:

http://news.bbc.co.uk/2/hi/africa/7791574.stm

You see it was as if am a prophet check Mugabe's speech at Zanu-PF party at its annual conference. Mugabe would prefer to die on power like Eyadima of Togo cause he know what will become of him if he dare handover power to MDC.He is an advanced man, age is no more on his side.He is insisting being on power until God calls him.But till when because the people of Zimbabwe are suffering.That is why i still insist that there are other ways to get him down from power other than making the mases suffer under severe economic sanction. If not that God interven in the time of Abacha in Nigerian case do u where Nigeria would have been by now?

Who is making the people suffer? Can you at least provide support for whatever answer you come up with this time around instead of dancing around the point as you have done till now? Sure, Nigerian could have been were Zimbabwe is today but guess what, Abacha, as evil as he may have been did do some good work on the Nigerian economy, even with the economic sanctions. You, however have yet to actually show some factual data to support this claim of economic sanctions on Zimbabwe. I have shown how Zimbabwe still trades with China and any other country out there it wishes. I have also shown you information on companies that still function within the Zimbabwean borders ( well as of 2007). Where/What are these economic sanctions?

Bastage:

How about answering the points that I have raised?

What points? When you are done reciting press releases from the White House or 10 Downing Street just let me know.

I know you type, you come to discussion boards and try to bombard people with lies, misinformation, fabrications and then wait for them to address the nonsense you put down. I certainly don't have that time.

I may oblige you when you learn to raise issues that make sense and are based on facts and common sense.

Kobojunkie:

Who is making the people suffer? Can you at least provide support for whatever answer you come up with this time around instead of dancing around the point as you have done till now? Sure, Nigerian could have been were Zimbabwe is today but guess what, Abacha, as evil as he may have been did do some good work on the Nigerian economy, even with the economic sanctions. You, however have yet to actually show some factual data to support this claim of economic sanctions on Zimbabwe. I have shown how Zimbabwe still trades with China and any other country out there it wishes. I have also shown you information on companies that still function within the Zimbabwean borders ( well as of 2007). Where/What are these economic sanctions?

please dont pretend as if u are ignorant of the links i have giving u b4.Probably i will paste it on here again an again u can read the rest urself.

The European Union and the American government have imposed sanctions on Zimbabwe? What is the main aim of these sanctions? They are meant to . . . weaken and remove the regime of president Robert Mugabe. Like other actions taken by institutions such as the International Monetary Fund and the World Bank, they seek to pressure and impose a government on the people of Zimbabwe in the name of 'democratic elections.' (AfricanPerspective.com, Issue #51, Saturday February 3, 2002, "No Sanctions on Zimbabwe"



In 2002, the fifteen member states of the European Union decided to impose sanctions on Zimbabwe. Sanctions are war without guns and bloodshed, and have limited, if any, effectiveness for changing behavior or governments of target countries. (Working Papers 1997 of the Institute For International Economics).

On the other hand, sanctions target to kill or injure infants, children, the elderly, and the chronically ill. (Ramsey Clark: Report to UN Security Council re: Iraq, January 26, 2000) http://www.nathanielturner.com/sanctionsonzimbabwe.htm

Indeed, it is true that each one of these often cited factors has contributed, or provides an explanation to Zimbabwe’s current economic problems. However, western countries and media almost collectively ignore one other significant factor responsible for the country’s economic collapse: economic sanctions imposed by the US, the EU, and Australia against Zimbabwe.
http://www.newzimbabwe.com/pages/sanctions32.13170.html

The International Monetary Fund said on Friday it would maintain its suspension of financial and technical aid to Zimbabwe for failing to clear its arrears and remedy the Southern African country's deteriorating economic and social conditions.
http://www.reuters.com/article/latestCrisis/idUSWAT007027



Is Zimbabwe the Subject of Sanctions? Almost everybody will agree that Zimbabwe is currently the subject of international sanctions. The disagreement, depending on one’s persuasion, is whether the sanctions are economic or not.

Sanctions: Economic or Not? I argue that the sanctions currently in place against Zimbabwe are economic in nature.

Ms. Nyathi calls them “smart sanctions,” the US, and EU’s phrase of choice, though perhaps she maybe unaware of just how smart the sanctions are. The sanctions currently in place against Zimbabwe are smart because they are very subtle and indirect, yet devastatingly effective in bringing Zimbabwe’s economy to its knees. It would be interesting to find out just how many Zimbabweans think that the sanctions currently in place are benign as far as Zimbabwe is concerned, and only hurt a few Zanu PF people.
http://www.newzimbabwe.com/pages/sanctions36.13187.html

My guy please wht other prove again do u need?believe it or leave it zimbabwe are under economic sanction. Stop confusing urself with those bush and blire politics which never helped the world but put all of us into deep economic and politcal shits.


Please also educate me the archievements of Abacha under sanction other than loothing the country's money abroad.

Bastage:

What severe economic sanction? Please detail it.
And what "other ways" would you use to remove him from power?

If Bush need my idea on how to remove Mugabe
They should consult me, coz it's beyond jst publicising here. Strength/power without wisdom is equal to foolishness.
think i have done enough justice on thread.

@princekevo

You haven't answered the question. Posting a piece about Iraq which was under sanctions has nothing to do with the topic. I'll ask again - What sanctions have Western nations placed upon South Africa?

@Afam

"Fabrications"? I make no claims that can't be easily verified by anyone who can be bothered to look.
You and the other Mugabe ass-kissers falsely claim that Zimbabwe is being destroyed by sanctions or because it is being refused money by the West.
Would you care to tell me by what logic the West has hurt Zimbabwe's people and how your good friend Bob is innocent of all charges?

Mugabe needs to die before peace can return to that Country
Please God, take that bloody dictator away!