Latest update: 11/02/2009 

- Morgan Tsvangirai - Robert Mugabe - Zimbabwe


Tsvangirai unveils new coalition cabinet
Zimbabwe opposition leader Morgan Tsvangirai unveils his new cabinet on Tuesday, days after his MDC party agreed to form a coalition government with President Robert Mugabe. MDC party secretary Tendai Biti was appointed new finance minister.
Alex DUVAL SMITH (video)

REUTERS - Zimbabwean opposition leader Morgan Tsvangirai on Tuesday appointed Tendai Biti to be finance minister in a unity government with President Robert Mugabe.
 
Biti, the Movement for Democratic Change (MDC) party's Secretary General, will be charged with rebuilding Zimbabwe's ruined economy and winning the confidence of Western donors and investors.
 
Tsvangirai, who agreed to form a coalition with Mugabe last week, will be sworn in as prime minister on Wednesday under a power-sharing deal designed to end Zimbabwe's political crisis and revive an economy in a state of collapse.
 
The joint cabinet will be sworn in on Friday.
 
Analysts believe Mugabe and Tsvangirai, two old foes faced with the prospect of working together, will appoint political  allies rather than technocrats and economists who might have better qualifications for rebuilding the ruined country.
 
Appointing Biti, a lawyer and founding MDC member who fiercely opposed compromise with Mugabe, to the finance ministry could reinforce that view.
 
It also raises the risk of confrontation between him and Central Bank Governor Gideon Gono, a Mugabe ally.
 
Zimbabwe was once the breadbasket of southern Africa and one of the continent's most promising economies but hyperinflation means prices now double every day, unemployment is over 90 percent and the currency is almost worthless.
 

Comments (1)

Zimbabwe and World Economy

To get the economy back on track it may be necessary for the UK and the USA to look abroad to underdeveloped countries and offer them tied soft loans with a view to develope their infrastructure and their untapped natural resources with the provisiso that up to 25 % +/- of the advanced soft loan needs to be used for technical and financial assistance sourced from the UK and the USA.
The developing countries may secure their loans by providing payments in gold or diamonds or cash or a mixture of all three provided that the cash paid is in the currency of the country making the soft loan.
Jobs will be created thereby stabilising the economies of developing countries and also increasing the market base for the respective UK and USA technical companies tied into the said soft loans.

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