Zimbabwe Economy Crisis Price Control Measures

By Stewart Douglas

Zimbabwean President Robert Mugabe has vowed to continue his policy of price control in an attempt to turn around the faltering economy.

The Zimbabwe economy is plunging further into crisis, dramatically affecting the everyday lives of the Zimbabwean people.

The former African model economy is currently suffering from inflation of just under 5,000%, and is experiencing some of the worst food shortages since independence in 1980. And with unemployment of over 80%, Zimbabwe looks to be an economy in dire crisis.

Mugabe has announced the price fixing policy to attempt to curb the overpowering price rises literally crippling the economy.

Reports from Zimbabwe suggest that ordinary factory workers have to spend almost one week’s wages for a short bus journey.

Mugabe has put the current economic climate solely down to droughts and foreign sanctions, with a particular emphasis on the United Kingdom and their ‘ongoing hostility’ towards Zimbabwe.

He has also pointed to inconsistent energy supply as a crucial factor undermining his government’s efforts to manage the economy

South Africa is taking over 20,000 refugees a week from across the border, where life expectancy has fallen to just 34 years for women.

However, President Mugabe is poised to present measures for reform to parliament over the coming weeks.

But Mugabe’s sweeping policy reforms look set to place an emphasis on constitutional change, which will revolve around nationalisiation across large chunks of the private sector.

However the opposition Movement for Democratic Change remain sceptical as to the lasting effect of these proposed changes, in addition to the economic effect of even further de-privatisation.

Kofi Annan, formerly of the United Nations, has expressed his concern as to the situation in Zimbabwe which has seen the country plummet to new lows, literally brought to its proverbial knees by a lack of economic control.