HARARE – President Emmerson Mnangagwa on Monday issued fresh threats to to “rein-in” companies he blames for “speculative and unethical behaviour” fuelling Zimbabwe’s currency crash and an inflation spike.
Zimbabwe’s triple-digit inflation is the second highest in the world after Venezuela. The local currency has lost more than 60 percent of its value since February and escalating food prices have diminished workers’ buying power, heaping pressure on Mnangagwa’s government ahead of watershed general elections next year.
Mnangagwa rejects accusations of economic mismanagement and instead regularly rails against private companies which he accuses of sabotage.
Speaking at the burial of retired Major General Sikhulile Simpson Nyathi at the National Heroes Acre on Monday, Mnangagwa said: “My government is seized with the implementation of mechanisms to reign in the current increases in prices.
“In this regard, I exhort business and other stakeholders across various sectors of the economy to assume a strong sense of national responsibility and commit to the overall realisation of sustainable socio-economic development and improved quality of life of our people.
“Speculative and unethical business behaviour will never be tolerated as this weighs on the projected growth performance of our economy.”
Zimbabwe’s official exchange rate to the United States dollar is 1:325, but shops and parallel market traders have set the rate as high as 700 – eroding workers’ buying power and illustrating the government’s economic mismanagement.
