Friday, June 29, 2007

Zimbabwe's Economic Collapse

Zimbabwe’s inflation is already 4,530% - the highest rate in the world. As if this is not shocking enough, it is predicted that it could reach 1,500,000% by the end of the year. Is this for real ? What an astounding figure! The country is battling its worst economic crisis since its independence in 1980, with unemployment estimated at 70%. It is slated for collapse in 6 months.
Business quotes were now valid for just one day or even an hour,according to financial consultants
Individuals are only allowed to withdraw one and a half million dollars at a time from the bank - even if they have just deposited a hundred times that amount the same day. The bank charges a 'handling fee' for the withdrawal of amounts of one and a half million dollars or less but you can cannot withdraw more without applying for permission from the Reserve Bank in Harare.
You have to stand in a queue in the bank for four days in a row - each day drawing out the maximum amount, each day paying the 'handling fee," in order to purchase one tank of fuel for your car . Three days of maximum withdrawals will give you enough for one filling at the dentist. By the time you've got enough money together, the prices will have gone up again.
Read more such heartrending stories by Cathy Buckle the author of 'African Tears'.

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