Zimbabwe why are they poor

IFAD asserts that the rehabilitation and maintenance of irrigation systems must be of the utmost importance to stabilize agricultural production. Improving irrigation systems would minimize crop failure, raise household incomes and increase food security for rural smallholder farmers. Manufacturing surveys estimate that industrial capacity utilization decreased from 57 percent in to This is mainly because of an erratic power supply, a lack of capital, higher input costs, antiquated machinery and deficiencies in infrastructure.

IFAD believes that by prioritizing climate-smart, efficient agricultural production and investment in infrastructure and industrial capacity building, the causes of poverty in Zimbabwe will be diminished.

Photo: Flickr. Blog - Latest News. Then there is the Platinum group of minerals. The story of the Platinum group of minerals shows how very rich Zimbabwe is. The platinum reserves in Zimbabwe are estimated to last for the next years. Zimbabwe is also a leader with huge reserves of coal, uranium, gas, lithium, gold, antimony, iron, steel, chrome.

In terms of minerals, Zimbabwe is not only the richest country in Africa, but in the world. Zimbabwe is now an oil producer. The giant ethanol plant that was constructed at Chisumbanje is now up and running. It is estimated that in a few years the plant will produce million litres annually making Zimbabwe fuel self-sufficient like Brazil. There is nothing that stops us from becoming another Qatar! We now come to tourism products. One does not come to Zimbabwe to visit the Victoria Falls only.

The country is endowed with other rich tourism products such as, the mighty Hwange game reserve with a variety of animal species from the elephant to the smallest ones, Mana pools, the mighty Kariba Dam and the Zambezi escarpment, the Matopos, the Great Zimbabwe, the iconic eastern Highlands, the beautiful African villages around the country. The richness of Zimbabwe in tourism attractions is beyond measure. Then we come to its people. First and foremost Zimbabweans are the friendliest people you can ever find anywhere.

Secondly, Zimbabwe has the largest educated population in Africa. Repayments have been inconsistent, but many have been pursued rigorously. Not everyone can get away with just exploiting the system.

But this is the point — it is just a few that continue to profit, getting massively rich while the rest suffer. Is there a way out of this downward spiral?

Attempts by the technocrats in the state to do what is required are foiled with each move it seems. Policies seem to be concocted at random, desperately responding to situation that is out of hand.

One day it was illegal to sell fuel in US dollars to protect the local currency, the next day it is permitted across the country. Secret printing of money to offset US dollar losses in the mining industry solve one problem, but create many others. The loss of trust in the government by key players — the IMF, western donor governments, even the Chinese — is clear. Investors are shying away, despite the occasional positive effort to rebuild key parts of the economy. Moves to create political coalitions across the divides are viewed with great scepticism given the experience of the Government of National Unity from It is not a happy story, and given the dire food security situation this year, the consequences for livelihoods are severe.

In agriculture, the glimmers of progress seen up to on the back of greater economy stability are fast being stamped out. Things are currently very fragile, and most farmers are holding back on investing further. Today, like Somalia, Zimbabwe has a collapsed economy with vanishingly little state capacity, but, unlike Somalia, seems to be unable to convince the IMF, AfDB or other donors and investors to provide support. Another shock — whether further drought, the spread of coronavirus or something else — may create cascading, disastrous effects, with the elite being able to escape, while the poor and this now includes a large portion of the population will have to bear the brunt.