Gono contradicts government claims                                           By Peter Chikondi 

Central Bank governor, Dr Gideon Gono has yet again contradicted his principals in government over the reasons behind the current economic malaise saying underutilisation of land and high levels of corruption are to blame for the country’s problems. Full Story Below

Zimbabwe is currently re-writing the economic history books with record inflation of over 100 000 percent, 80 percent unemployment and chronic shortages and unavailability virtually all basic commodities and services.

Government blames sanctions it claims were imposed by western countries over its controversial land reforms for the problems which have forced an estimated three million people to flee the country.

However, Dr Gono, the government’s main economic point-man has also sought to highlight other internal challenges that he says are undermining efforts to turnaround the country’s declining fortunes.

Gono told delegates to a special function to disburse farming implements to new farmers that the country needed an attitude change if it was to reverset the current under-performance of the economy and the high levels of inflation.

“Our current hardships and challenges are also direct results of areas and factors that we can change on our own as a people.

“Such areas include, among others, high levels of corruption across virtually all sectors of the economy, indiscipline and diminished economic patriotism, under utilization of land by some farmers, and smuggling of precious minerals and under-invoicing of exports and over-invoicing of import bills,” said Gono.

The governor’s comments are at variance with President Mugabe’s government which variously blames Britain, the United States and other western countries for the country’s problems.

Analysts say President Mugabe’s ill-planned land reforms crippled the country’s agricultural sector which was the country’s main foreign currency earner, creating a domimo effect that has hit other economic sectors such as manufacturing, mining and tourism.

The central bank governor has also been blamed for worsening the situation by acceding to government instructions to print money which the Mugabe administration uses to provide short-lived respite to an increasingly restive population.

The RBZ has also used trillions in quasi-fiscal operations that have, however, failed to improve productivity - ZimEye