By William Milasi.
Zimbabwe ( News of The South) – An Economist has said it is going to take time before Zimbabwe is brought from the woods when it comes to funding from international financial institutions as the country lacks financial creditworthiness.
Addressing journalists in Gweru recently Prosper Chitambara said the biggest undoing on the part of government is corruption, lack of accountability and transparency that no country seems to be, “prepared to trust us with money.”
The biggest challenge Chitambara pointed out is that Zimbabwe is notorios when it comes to defaulting from financial obligations which might have borrowed from multilateral institutions.
“We lack financial creditworthiness that even countries friendly to us will not support us,” Chitambara said.
After suffering isolation from mainly Western European countries, Harare shifted focus mainly to China for a bailout.
The Asian country however doesn’t seem to trust government with money.
“Even Chinese or Russians don’t seem to trust us with money. Consequently Zimbabwe has lost out on major investment opportunities. The situation has mainly been caused by inherent corruption from central government,” he said.
“Corruption is one of the biggest internally individual sanctions imposed on the country. The country has lost $50 billion to corruption between 1980 and 2013,” Chitambara made a startling revelation.
He said Zimbabwe will only move forward when leadership takes accountabilty of its shortcomings.
“Development begins when you take responsibility of where you are,” he said.
President Emmerson Mnangagwa’s administration has been sanctions for the country’s economic woes.
Chitambara dismissed this as an excuse from a misfiring administration.
“Countries can develop despite sanctions,” he gave an example of Rhodesia under Ian Smith, “The Rhodesian economy grew despite the odds (sanctions) which were heavily stacked against the country,” he said.
He further added that unnecessary expenditure was putting a strain on the national purse.
“We have a bloated government and legislature. The problem with Zimbabwe is that it is overgoverned, over regulated, over taxed and on the downside underdeveloped,” he said.
Whilst other countries from Sub Saharan Africa seem to be making economic strides Zimbabwe’s economy is on the other hand shrinking.
“Zimbabwean economy is shrinking at – 7% we have the worst performing economy in Sub Saharan Africa,” he said before further pointing out a gloomy economic outlook, “there is a seriuos gross under investment in the country.”
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