‘Zim-Asset growth target achievable’
Dr John Mangudya
The objective under Zim-Asset of a continuous economic growth of 7,3 percent on average per annum is commendable and achievable if we, as a nation, put concerted effort to attract investment, both local and foreign, in order to stimulate production.
As alluded to in the blue print, the attainment of the objectives in ZimAsset requires “robust and prudent fiscal and 15 monetary policy measures to buttress and boost the implementation of ZimAsset”.
As Monetary Authorities, we shall continue to come up with robust and prudent monetary policy measures to address the needs of the economy and complement fiscal policy as envisaged in Zim-Asset.
This Statement is being presented with that objective in mind as we envisage Zim-Asset as a national plan for Call to Action by Zimbabweans for Zimbabweans.
The Reserve Bank believes that identification and working around the Quick Wins or Low Hanging Fruits spelt out in the blue print is the way to fast-track economic recovery.
Enhancement of production through quick wins would need the nation to embrace the philosophy of building around the operating companies and not mending what is not broken.
This is necessary for the quick recovery of the economy. It is also necessary to note that the total funding requirement under Zim-Asset of US$27 billion is a snap shot.
The $27 billion is ex-post and not ex-ante. We believe that this distinction is critical in order not to demotivate the nation and/or possible financiers in the mobilisation of resources needed under Zim-Asset.
As highlighted in the diagram, Zim-Asset would need to be propelled or powered from both domestic and international financing resources.
As Banker to Government, the Reserve Bank shall do its part to vigorously work on the mobilisation of financial resources needed under Zim-Asset and we therefore hope and pray that the Zim-Asset blue print will be implemented, by the nation at large, consistently to the letter and spirit for the public good of the nation – Monetary Policy Statement.