The Sunday News
Dumisani Nsingo, Senior Business Reporter
FORMER State Enterprises and Parastatals Minister Dr Gorden Moyo says the Government should not read much into the sanctions imposed on it by the United States of America but seek various ways of reviving the country’s economy.
In a wide ranging interview with Sunday Business last week, Dr Moyo, who is now Public Policy Research Institute of Zimbabwe (PPRIZ) executive director said the Government should not expect the US to reconsider its stance on the sanction it recently imposed on the country soon.
“There isn’t much really we should expect from the US but it is important that we really engage them. But we shouldn’t expect that US bail Zimbabwe out immediately because of its new foreign and domestic policies under (Mr Donald) Trump, the “Trumpism” (ideology) is such that the rest of the world is secondary, only America is on the right,” said Dr Moyo.
He said Mr Trump led administration was entangled in numerous foreign policy issues with various countries.
“We do appreciate that the US has got some issues but remember the current US Trump administration is fighting too may wars across the globe. As it is, the US has got issues with South Africa and new trade wars with both Turkey and China. So the
“America First” mantra and the “Making America Great Again” slogan turn to side-line the rest of the world,” said Dr Moyo.
He however, said there was need to see ways of reengaging US as it was an important international trade player.
“United States is a very important global actor. Zimbabwe needs to reach out to the US, just as the Government has said, and ensure that relations between Zimbabwe and US are normalised. Every step must be taken by the Government of Zimbabwe to ensure that all the hindrances, impediments that create disharmony between Zimbabwe and the United States are ironed out,” said Dr Moyo.
Last month, Mr Trump signed into law the Zimbabwe Democracy and Economic Recovery Amendment Act of 2018 which is an amendment to the Zimbabwe Democracy and Economic Recovery Act of 2001. Dr Moyo said there was also a need for the Government to seek lines of credit so as to arrest the prevailing liquidity crisis in the country.
“The issue of the liquidity crisis in the country, the financial services sector of the country will need urgent attention from the Government. I think there is need for emergency measures to arrest the (liquidity) problem and to kill the queues (at banks) that are still a sore sight to the communities. One way of getting fresh money is looking for credit lines-for a stimulus package-a rescue package from various bilateral donors, multilateral development institutions. There is need for a stimulus package, which will bring in fresh money into the economy,” said Dr Moyo.
He said there was a need for the Government to prioritise the construction industry as one of the pillars of reviving the country’s economy.
“The new Government administration must prioritise construction as a model of reviving the economy, as a model of job creation, as a model for development in Zimbabwe. Construction is one sector that is generally side-lined, ignored. People don’t necessarily see construction as a main stay of an economy,” said Dr Moyo.
He said a booming construction industry has ripple effects across various sectors of the economy while it was panacea for the high unemployment.