Relations between Zimbabwe and the International Monetary Fund reached a new low with the Fund’s decision to suspend its membership rights.
”As a result of today’s decision, Zimbabwe can no longer appoint a governor or alternate governor to the IMF, participate in the election of an executive director for its board, or cast its vote in decisions on IMF policy or country matters,” the IMF said in a statement on Friday.
The IMF painted a grim picture of Zimbabwe’s economic climate over the past four years, noting a one-third drop in output and inflation of 270%. Further, the IMF said Zimbabwe has been in continuous arrears to the IMF since February 2001.
As of end-May 2003, Zimbabwe’s arrears to the IMF amounted to about $233-million, or about 47% of its membership quota at the IMF.
The IMF said it would review the decision in six months. – Sapa-AP