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Chagonda, Tapiwa

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University of Johannesburg Institutional Repository

T H E  T H I N K E RׁׄZIMBABWE The Covid-19 pandemic has left Zimbabwe Given the nation’s parlous health system, conventional wisdom would suggest that the country should go into a total lockdown in a bid to contain the spread of the virus. However, such a decision is not easy to implement in the Zimbabwean context. Why is this the case? Zimbabwe’s fragile economy Zimbabwe has a broken economy which has been shrinking since 2000. In March 2020, the International Monetary Fund (IMF) gave a very bleak assessment of the country’s economic performance when it reported that Zimbabwe’s economy was thought to have contracted by 7.5% in 2019, the worst performance in Sub-Saharan Africa, with extreme poverty levels rising to 34%, which translates to around 5.7 million people in the country falling under this category (Smith, 2020). The implementation of a total nationwide lockdown – as was announced by President Emmerson Mnangagwa on 27 March 2020, in a bid to halt the spread of Covid-19 (Munhende, 2020) – extremely fragile economy.announced might leave some businesses facing total collapse. It is telling that a number of informal traders have continued to defy the lockdown regulations, as many Zimbabweans survive hand-to-mouth from their informal economic activities. Warning signals in the form of whistles are given in areas where informal traders operate, as a way of alerting them to the impending arrival of the police or the army (Mataranyika, 2020). A full-blown lockdown was never going to work in a context such as the Zimbabwean one, where the economy is in a precarious state. The predicament, however, is that an explosion of Covid-19 cases would leave Zimbabwe’s limping health system totally exposed because of its lack of preparedness to deal with the highly infectious virus. The country’s main opposition leader, Nelson Chamisa, called for the immediate imposition of a nationwide lockdown in the wake of Zimbabwe’s (Chibamu and Munhende, 2020). The Mnangagwa regime, however, dithered over making such a such a move on an already weakened economy.The huge informal economyAn IMF working paper released in 2018 suggested that Zimbabwe’s informal economy is the largest in Africa and second only to Bolivia’s worldwide, as it accounts for at least 60% of all of Zimbabwe’s economic activity (Medina and Schneider, 2018). By Tapiwa ChagondaCovid-19 fully exposes Zimbabwe’s comatose economy©Shutterstock.comVol u m e 8 4  /  2020 ׁׅZIMBABWElockdown on all informal businesses (barring those that sell food), one wonders how the millions of Zimbabweans who make a living through the informal economy will survive, when most of them are already mired in extreme forms of poverty. This may explain why President Mnangagwa exempted those who sell food (who account for a sizeable number of informal traders) from the lockdown total lockdown was therefore not a de facto one, as a sizeable chunk of the informal sector was permitted to continue trading in food. This then raises questions on whether the Covid-19 pandemic exercising social distancing in people’s interactions when buying and selling food, in a country that is facing its worst hunger crisis in more than a decade (Smith, 2020). Due to the shortage of essential food staples such as maize meal, one cannot discount the usual stampedes that have been witnessed in the past few months at food markets. President and security services to ensure that food markets are operating in a hygienic way and exercising social distancing (Munhende, 2020) shall be tested in the coming weeks.‘Level 2’ Lockdown RegulationsOn 1 May 2020, President Mnangagwa announced a further two weeks of Zimbabwe’s started pronouncing Zimbabwe’s lockdown levels, by announcing that the extended phase of the lockdown was going to be ‘Level 2’, which would entail most formal businesses opening between 8 am–3 pm. President Mnangagwa also promised a stimulus package of ZWD 18 billion (USD 720 million) to assist small to medium industries in the informal sector. However, the million-dollar question is where this money will come from. The Zimbabwean treasury’s coffers are empty, as was revealed in a leaked letter to the Bretton-Woods institutions by Zimbabwe’s Minister of Finance, Prof Mthuli Ncube (Dzirutwe, 2020). In the letter, dated 2 April 2020, Ncube pleaded with the Bretton-Woods Zimbabwe’s economy would totally implode in the wake of the Covid-19 pandemic, which requires a huge purse to combat. Zimbabwe’s dire economic situation – compounded by Covid-19 – will probably force the government to print money, which might million percent (Chagonda, 2016). The country’s over 500% (Smith, 2020).Fixing a health system that is in a parlous stateGiven the challenges of enforcing total compliance with lockdown regulations in Zimbabwe, the Mnangagwa regime must speedily act on ensuring that the current Covid-19 referral health centres are fully equipped with ventilators and intensive care unit (ICU) facilities. The two designated centres – Wilkins Hospital and Thorngrove Hospital – are currently woefully unprepared for this enormous task (New Zimbabwe, 2020). The government also needs to urgently provide health personnel with the requisite personal protective gear. Hopefully, the fact that Covid-19 does not discriminate between elites and the poor – a point that has been made more stark by global travel restrictions which now make it impossible for the high-heeled in Zimbabwe to seek medical treatment internationally, as has been the case in the past – will hasten the Mnangagwa regime’s actions on this very serious issue. QReferencesChagonda, T. (2016). The other face of the Zimbabwean crisis: The black market and dealers during Zimbabwe’s decade of economic meltdown, 2000-2008. Review of African Political Economy, Vol 43 (147), pp 131–141.Chibamu, A. and Munhende, L. (2020). ED, Chamisa Mourn Zororo Makamba. [online] New Zimbabwe. Available at: https://www.newzimbabwe.com/ed-chamisa-mourn-zororo-makamba/ [Accessed 29 Mar. 2020]Dzirutwe, M. (2020). Zimbabwe Pleads with Foreign Lenders to Prevent Coronavirus ‘Catastrophe’. [online] Reuters. Available at: https://www.reuters.com/article/us-health-coronavirus-zimbabwe/zimbabwe-pleads-with-foreign-lenders-to-prevent-coronavirus-catastrophe-idUSKBN22G1EO [Accessed 4 May 2020]Mataranyika, M. (2020). Zimbabweans play cat and mouse with lockdown. [online] City Press. Available at: https://city-press.news24.com/News/zimbabweans-play-cat-and-mouse-with-lockdown-20200503 [Accessed 6 Apr. 2020]Medina, L. and Schneider, F. (2018) IMF Working Paper: Shadow Economies Around the World: What Did We Learn Over the Last 20 Years? [online] International Monetary Fund. Available at: https://www.imf.org/en/Publications/WP/Issues/2018/01/25/Shadow-Economies-Around-the-World-What-Did-We-Learn-Over-the-Last-20-Years-45583 [Accessed 8 Apr. 2020] Munhende, L. (2020). Mnangagwa decrees 21-Day Covid-19 Lockdown Starting Monday. [online] New Zimbabwe. Available at: https://www.newzimbabwe.com/breaking-mnangagwa-decrees-21-day-covid-19-lockdown-starting-monday/ [Accessed 29 Mar. 2020]New Zimbabwe. (2020). Thorngrove Hospital Still to Get Funding for Coronavirus Equipment. [online] New Zimbabwe. Available at: https://www.newzimbabwe.com/thorngrove-hospital-still-to-get-funding-for-coronavirus-equipment/ [Accessed 8 Apr. 2020]Smith, E. (2020). Zimbabwe in “economic and humanitarian crisis” as IMF sounds alarm. [online] CNBC. Available at: https://www.cnbc.com/2020/03/03/zimbabwe-in-economic-and-humanitarian-crisis-as-imf-sounds-alarm.html [Accessed 6 Apr. 2020]

Covid-19 fully exposes Zimbabwe’s comatose economy

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Covid-19 fully exposes Zimbabwe’s comatose economy

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