Zimbabwe President Robert Mugabe plans sweeping changes to his cabinet and the central bank in a bid to kickstart the faltering economy, state media reported on Saturday. Mugabe blames the Reserve Bank of Zimbabwe for failing to stem the black market in foreign currency.
The overhaul of the central bank is to begin next week ”to make more of a developmental institution that protects the national interest”, the Herald quoted ruling Zimbabwe African National Union
– Patriotic Front (Zanu-PF) officials who attended a central committee meeting in Harare on Friday as saying.
Zimbabwe has critical foreign currency shortages affecting a wide variety of imports including fuel. Foreign currency is easily available on the black market though, where it trades at more than
seven times the official rate.
The economy of this troubled southern African country is in its third year of recession, shrinking faster than most other world economies. Inflation is edging up towards 500%, while chronic shortages of fuel and basic commodities make daily life a headache for many.
Zimbabwe is also grappling with high rates of HIV/Aids infection, which affects at least one in four of the population.
Meanwhile there are deep political divisions between Zanu-PF supporters and those of the main opposition party, the Movement for Democratic Change (MDC).
Ministers in his government, appointed soon after his
re-election in March last year, are also not safe in their jobs, the paper said.
”The president said the restructuring and overhauling exercise will not be limited to the Reserve Bank only, but will be extended to other key national institutions. He told the meeting that this would include the cabinet,” an official told the paper.
”He said the time had come to be proactive and turn around the economy and it was important to go beyond textbook economics,” the official said.
It is not clear exactly what form the overhaul will take.
Cabinet reshuffles are rare here. There has however been widespread speculation that Mugabe might get rid of ministers accused of taking more than one farm under a controversial land reform programme, though there has been no confirmation of that from the government.
A new vice president also has to be appointed following the death in September of Simon Muzenda, one of two ruling party officials who hold the post.
On Monday opposition leader Morgan Tsvangirai begins a long-awaited election petition in court, challenging Mugabe’s victory in the 2002 polls. – Sapa-AFP