Zimbabwe - Good News and Bad News

(Harare, Zimbabwe) First, to accentiate the positive:

Tourism

Zimbabwe has launched an international tourism fair to promote its largely deserted resorts. Business at the once-popular destinations has evaporated in the last six years. The government blames bad Western press.

Whites May Farm

President Robert Mugabe's government has announced it is considering allowing some interested whites to return to farming. This is an odd announcement since the government hasn't completed its confiscation of white-owned farmland started six years ago.

Inflation Decreased

In September, Zimbabwe's annual inflation rate decreased to 1,023 percent. Zimbabwe can claim world leadership in the category of inflation rate.

And then, there's the bad news. Astute readers will notice that the good news from Zimbabwe was presented with a bit of sarcasm. Smiley faces can't hide a collapsed economy.

Stratospheric Inflation

Although the rate of inflation decreased from 1,204 percent to 1,023 percent in September, it's still a major negative.

Stratospheric Interest Rate

Zimbabwe's Central Bank raised the nation's accommodation rate, the lending interest rate to commercial banks, to 500 percent for secured loans and 600 percent for unsecured loans.

Food Shortage

It's estimated by the UN World Food Programme that 1.4 million Zimbabweans will need food aid in the next six months. Prior to President Mugabe taking power, Zimbabwe was the "breadbasket of the region," exporting maize and cereal grains.

Massive Power Outages

Zimbabwe suffers from persistent widespread power outages due to breakdown of generating and transmission equipment. The cash-strapped nation can't afford to perform repairs nor replace equipment and there has been rampant theft of cable from the transmission lines bringing power from the Democratic Republic of Congo.

There has also been a shortage of coal for the generating plants. No funds are available to mine the coal nor to purchase fuel to transport already-mined coal. Notably, families in cities are resorting to gathering wood for cooking and heat.

No Blood for Hospitals

A recent fire has prompted the National Blood Services Zimbabwe (NBSZ) to halt supplies of blood and blood products to Zimbabwean hospitals. Locations with proper refrigeration are being sought.

And so, we have a snapshot of the economic turmoil in Zimbabwe. For those leftists that believe a government run by a thug dictator can achieve utopia may have to wait a while for Zimbabwe to come around.