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Mthuli Ncube Says There Is No Crisis In Zimbabwe

Mthuli Ncube Says There Is No Crisis In Zimbabwe

Finance and Economic Development Minister Mthuli Ncube believes “all is well” in Zimbabwe and citizens should not panic.

Speaking to journalists after a post-Cabinet briefing on Tuesday, Ncube dismissed claims that Zimbabwe is in the midst of an economic crisis. He said:

What crisis? We are performing well. We have put measures in place to fight inflation, people should not panic, everything is in order, zvinhu zvese zvakarongeka (all is well).

Zimbabwe’s year-on-year inflation is now ranked as one of the highest in the world alongside countries such as Syria which has been ravaged by civil war for the past decade.

The country’s inflation shot to 131% in May, up from 96% recorded in April as the price of basic foodstuffs and fuel continue to rise almost on a weekly basis.

Some economic analysts and the country’s main opposition party, CCC, have called for the full dollarisation of the economy to contain inflation.

However, Ncube insisted there was no reverting back to dollarisation, saying “something very nasty will happen”. Said Ncube:

We have embraced the US dollar, but have also embraced our own currency, the Zimdollar, so there is no rejection of the US dollar.

So, this is what will happen on day one if you adopt the US dollar as your currency, something very nasty will happen.

You will wipe out the entire banking sector because you will have to convert the Zimdollar balances into US dollars.

The banks will have a negative balance, you will have a crisis; a cash crisis because you cannot print US dollars…

The advantage of having a domestic currency circulating along (the US dollar) is that we have been able to manage the cash shortage situation which we have been through before.

The economy, especially the manufacturing sector, will immediately lose its competitiveness against foreign products.

We will then have to do away with monetary policy, you cannot have a country that has no monetary policy, but only has a fiscal policy.

Meanwhile, the Educators Union of Zimbabwe secretary-general Tapedza Zhou said Ncube should do the honourable thing and resign as his economic policies have failed. Zhou said:

The most honourable thing that a minister does is to resign and accept that his economic theories have failed the whole nation, teachers included, that (is) not a crime.

But this is different from a minister who has been reporting things like a surplus in a country where teachers earn five times below the poverty datum line.

It is not a secret, that the Finance minister has failed to address the welfare of civil servants, hence should simply step down and stop losing sleep.

More: NewsDay

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Alexio 3 weeks ago

Zvakaoma wena

Chawabvunza 3 weeks ago

Anybody who says there is no crises in Zimbabwe is not right in his upstairs. He should immediately be taken to Ingutheni Mental Hospital. Mthuli Ncube should do the honourable thing by resigning from his post of Finance and Economic Development.




Mafirakureva 3 weeks ago

With all due respect, Mthuli Ncube, Panonetsa and Numero Uno are THE crisis in this country

Mdawini 3 weeks ago

Yes we remember Barbican Bank raiva nelogo yetunyuchi tuviri. Surely what goes around comes around.

The Observers 3 weeks ago

If you want to rate Mtulisi ask him what happened to Barbican bank or better still ask the RBZ then why they closed this bank.
Ava vanhu havasi vatsva mhani. Their Records speak volume of who they are and how they operate.

chati homu! ...chareva 3 weeks ago

@Blue, you are the only stranger in Jerusalem. ....the lone bird in a cackoo land! l wish you wake up from your dream...zviroto zvinoitika asi zvinozongopera hazvo

Duduzani 3 weeks ago

Analysing the picture Panonetsa Magundya is saying Mthuli unedzungu imbomisa mota yako🤣🤣🤣


cde chipopi 3 weeks ago

crisis anoi ona sei iye achi rojera ma girlfriends ake muma hotera ano dhura ne mari ye nyika.

Tkt 3 weeks ago

@Blue 💙...
I like the color your chose as you identity! Yes it shows me you have a very bright future, think so wide & open minded.
Keep it up BaFo. I like you momentum!

stallion 3 weeks ago

vana veZimbabwe tiri panyatwa nembavha idzo

Blue 💙 3 weeks ago

It's just exacerbation of a hiccup. I agree with Mthuli Ncube.

Blue 💙 3 weeks ago

Even the South Korean won is also terrible on comparison to one US dollar. Those are Just numbers. It doesn't really matter.

mai Dheve 3 weeks ago

*The difference between $1 RTGS and US$1 is so huge that, even if you earn $1 rtgs per day, you still won't have US$1 in one year.*

Blue 💙 3 weeks ago

Words of a WITCH

Blue 💙 3 weeks ago

Naah, big private co-operations took advantage of Covid to reduce people's wages. They have taken that momentum with them and even today the private sector underpays it's employees despite the fact that they have been profitable. For example, you work in the manufacturing industry. Your company prices it's products to counter inflation, price adjustment, yet your salary hasn't been increased by the same factor. Fishy stuff.

chati homu! ..chareva 3 weeks ago

akonwa haasiye bhachi padare kkkk!!!

ko nhai vaMthuli , zvamavakuti tikaita full dollarisation it will wipe out all bank balances, oita negative, pamakachinja Mari dzacho muchiisa kumabond, surplus yacho makaisepi? hunzai iyoyo to cover the discrepances. Pedzisai tsoro yenyu yamakatanga, hakuna drama rinopera actor asina kuwhinha, play on our actor, we are fully behind you. Asante sana...
apart from that muneimwe nyaya yamakati kana bond rikadhakwa munoresigner, we are waiting to see that full filled again asi ndirikuona kuti mukombe wenyu wazara manje pamakuti, zvinhu zvese zvakarongeka, give us a break vaMthuli....your economics is questionable...

SC 3 weeks ago

He is working so hard that nothing NASTY will happen in Zimbabwe 😂😂

mafirakureva JoJo chenjera 3 weeks ago

uyu anorwara uyu"zvakarongeka" teacher achiwana $20 USA pamwedzi
the guy should just resign pack his bags and go to his home in Europe has no care for the welfare of the poor has put civil servants into a poverty crisis with failed policies
just resign as you see kuti watadza ....azvide kuenda kun'anga kuona izvi or scratching for the sixth sense to see that waguma kufunga wakurirwa chete
thus how representing looters do
ezvino wave kuti looter wo and defending them but ndiwe waiti"bad money chases good money" ezvino waakuida since iri iyo inoshanda kulooter kaa ...itai henyu citizens are watching avasi mapenzi vanhu vakuru avasi vana vadiki
pepukai kunze kwekuty mukuita bhora musango kune akakupinzai basa uyo!

aturo hemano 3 weeks ago

says the guy who has a family in a foreign land

🤦 3 weeks ago

no crisis seriously with the economy 😎

Jona Moyo 3 weeks ago

Nekuti iwewe haugari munyika nhamo yose hauioneka kmagumo kne nyaya

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