A Truly Catastrophic Financial Crisis

It’s hard to find much about the current economic picture to be optimistic about, but it’s always worth remembering a little perspective. Here’s a view into the reality in Zimbabwe:

Today I went from one meeting to another using the main streets in Harare – it was pure chaos. The City had no electricity, the traffic lights at all intersections were not working and the traffic was gridlocked. The Police were nowhere to be seen and even as we sat in the traffic a police car drove past – ramped the pavement and drove though the intersection paying no attention to what was going on around them…Desperate people are queuing for days at the banks and other financial houses to try and get their money out of the system so that they can spend it before it literally melts to nothing. In Gweru last week the main street was almost closed by crowds at ATM’s and banks. In Harare literally thousands of people jam every cash outlet. The maximum withdrawal by an individual is $20 000 a day worth US$ 0,001 cents.

Though the institutions of Zimbabwe have now virtually failed in every public sector, all of this mess is almost entirely attributable to the reckless and sadistic policies of Robert Mugabe. There is no worse man in all of Africa, and few in the world could compete with his record of turning a country, with a once enviable record of indigenous institution-building in the aftermath of colonialism, into a bankrupt and broken state so quickly. While he is busy blaming his country’s woes on America and the British, the country he rules (despite the recent agreement to share power with Morgan Tsvangirai, his Zanu-PF party still controls the vital financial ministry) continues to burn.

If anyone was going to be protested at the recent UN gathering, it should have been this sham of a world leader. He, far more than the idiotic President of Iran, is responsible for the ongoing misery of millions.