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IMF predicts total collapse of Zimbabwe economy

The International Monetary Fund (IMF) on Tuesday predicted total collapse of Zimbabwe after describing the country as a sore thumb for the African continent, reports from Ghana indicate.

Bulawayo - IMF deputy managing director Takatoshi Kato is quoted as having said on the sidelines of the African Union summit that the country's economic crises is affecting neighbouring countries.

"I don't think that Zimbabwe authorities can avoid collapse, given where they are now, given the lack of taste for embracing any reforms, given also the depth of the kind of reform that will be needed, and the time for recovery," said Kato.

Recently, the outgoing United States Ambassador to Zimbabwe, Christopher Dell also predicted that the economic crises could sweep President Robert government out of power.

Dell said no government throughout history had ever survived an economic crisis of the magnitude Zimbabwe was facing, with inflation touching 5000% and the formal economy barely functioning.

Kato expressed concern at the rate of mounting poverty in Zimbabwe where prices of almost all commodities have been on an upward trend with President Mugabe saying they are meant to incite revolt against him.

He said: "The situation in Zimbabwe is affecting neighbouring countries very dramatically, it's also the responsibility of the authorities" with Abdoulaye Bio-Thiane, IMF director for Africa adding "but in the end it's really the responsibility of the (Zimbabwe) authorities to address the current situation."

Article courtesy of TheZimbabwean




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