Zimbabweans Go for Alternatives as Bread Becomes Unaffordable

Source: Zimbabweans Go for Alternatives as Bread Becomes Unaffordable – VOA Bread is now expensive and beyond the reach of many in the poverty stricken Zimbabwe, March 4, 2019. HARARE — In Zimbabwe, the price of bread is forcing citizens to look for alternatives to go with the food that is also in short supply. President […]

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Source: Zimbabweans Go for Alternatives as Bread Becomes Unaffordable – VOA

Bread is now expensive and beyond the reach of many in the poverty stricken Zimbabwe, March 4, 2019.
Bread is now expensive and beyond the reach of many in the poverty stricken Zimbabwe, March 4, 2019.

In Zimbabwe, the price of bread is forcing citizens to look for alternatives to go with the food that is also in short supply. President Emmerson Mnangagwa’s government says it is working to ensure people can buy bread that is affordable.

Bread in Zimbabwe now costs $2 a loaf, or higher, making it beyond the reach of many in the poverty-stricken country.

That has not stopped Zimbabweans from enjoying their favorite morning drink — tea — without bread, as 63-year-old Gibson Nhema said.

Gibson Nhema says sales of potatoes and other bread substitutes is booming.
Gibson Nhema says sales of potatoes and other bread substitutes is booming.

“My friend, bread is now expensive. Now, sometimes we have our thick porridge, sweet potatoes, green mealies. If we can get it [bread] once a week, that will be it. But we no longer miss it, because it is now expensive. They [at home] make them have a color of bread so that I do not miss bread. If they [government] would push the price of bread and flour down, that would go well with our way of living. We have no cash. If it remains expensive, I will not be able to buy dinner if I buy bread. So, we go for potatoes and will have bread when I get money,” she said.

Nhema said sales of potatoes and other bread substitutes is booming.

Alwyn Mutero, who sells bread.

“People used to buy bread a lot. But these days, they are not buying bread. You can check the shelves. There used to be lots of bread, but these days, people no longer buy like they used to do, because prices are going high. We used to sell this bread for about a $1. Now, it costs about $2.50. So, people cannot afford it,” said Mutero.

Minister of Industries Mangaliso Ndlovu said he is aware of the problem facing Zimbabweans.

Minister of Industries Mangaliso Ndlovu says he is aware of the problem Zimbabweans are facing regarding expensive bread.
Minister of Industries Mangaliso Ndlovu says he is aware of the problem Zimbabweans are facing regarding expensive bread.

“We are currently engaging the baking sector, specifically looking at the issue of bread availability and the price of bread. We are worried that there is always demand for the importation of wheat. It is possible to have a bread that is 100 percent Zimbabwean. As a government, we are quite keen to see that bread is available at affordable prices to the generality of our people,” said Ndlovy.

Government’s price controls

Part of the problem is that because of government price controls, wheat millers and bakers lose money when they make their products. As a result they produce less to minimize their losses. This leads to a bread shortage and higher prices.

But Ben Gilpin from the Zimbabwe Commercial Farmers Union said wheat is a capital intensive, and President Emmerson Mnangagwa’s government must ensure that it is priced correctly to address Zimbabwe’s bread shortages and affordability.

He said among other things, farmers must have the knowledge and tools to revive the agriculture sector, which has struggled since 2000 when the government began to push white commercial farmers off their land and replace them with poorer, less experienced black farmers.

Ben Gilpin says wheat is a capital intensive and President Emmerson Mnangagwa’s government must ensure that it is priced correctly to address Zimbabwe’s bread shortages and affordability.
Ben Gilpin says wheat is a capital intensive and President Emmerson Mnangagwa’s government must ensure that it is priced correctly to address Zimbabwe’s bread shortages and affordability.

“Irrigation infrastructure and impact of land reform has had an impact on wheat production. It got down to a very low level at one point. It’s coming up, but for it to grow on a sustainable basis, the bottom line is [that] farmers need a decent price, and millers need to cover their costs, and contractors need to get their supplies at affordable prices,” said Gilpin.

While the government, farmers and businesses look for a solution, Zimbabweans like Gibson Nhema will have to keep thinking of alternatives — pumpkins, sweet potatoes, butternuts — to their daily bread, hoping that they, too, do not get affected by price controls that force shortages.

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Zimbabwe offers a way to test blockchain’s worth

Source: Zimbabwe offers a way to test blockchain’s worth – Nasdaq.com LONDON (Reuters Breakingviews) – Zimbabwe makes a fascinating petri dish for Silicon Valley monetary evangelists. A blockchain-based currency theoretically offers an eye-catching way to neutralise Harare’s discredited central bank and habitually profligate government, whose recent 60 percent currency devaluation is unlikely to restore domestic […]

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Source: Zimbabwe offers a way to test blockchain’s worth – Nasdaq.com

LONDON (Reuters Breakingviews) – Zimbabwe makes a fascinating petri dish for Silicon Valley monetary evangelists. A blockchain-based currency theoretically offers an eye-catching way to neutralise Harare’s discredited central bank and habitually profligate government, whose recent 60 percent currency devaluation is unlikely to restore domestic fortunes. But the sovereignty sacrifice implicit in so-called distributed ledgers is a double-edged sword.

In its purest form, blockchain technology, which underpins cryptocurrencies like bitcoin, removes the need for a central authority to validate currencies by standing behind them. New units can be “mined” by clever coders who get paid in the currency for their efforts, and the money supply can be subject to an upper limit. The public bookkeeping side of blockchain would also show if Harare was trying to fund budget deficits by issuing electronic IOUs of questionable value to domestic banks, as it has for the last five years. To Zimbabweans weary of having their savings wiped out by inflation, that is appealing.

As a piece of public policy there are obvious downsides. Bitcoin miners use a lot of electricity, and cryptocurrencies are volatile, making them hair-raising as a store of value and a medium of exchange. Bitcoin’s total issuance can also never top 21 million, making it potentially deflationary. All that said, Zimbabwe’s current currency is hardly reliable, and different forms of cryptocurrency can be tweaked to accommodate economic growth. Most promisingly of all, for the last decade Zimbabweans have been living in a dollarised economy, in which citizens use the U.S. currency with zero control over its price.

The real challenge for a home-grown blockchain variant – zitcoin, perhaps – would be who calls the shots on supply creation. It obviously couldn’t be the Zimbabwean central bank. But outsourcing the task even to an enlightened outsider like the International Monetary Fund would be controversial. It’s not often a near-failed state has a shot at being a new-age trailblazer – but there’s a reason why it doesn’t often happen.

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CONTEXT NEWS

– Zimbabwe’s central bank said on Feb. 22 it was devaluing its domestic currency by 60 percent against the U.S. dollar.

– Finance Minister Mthuli Ncube said on Feb. 25 the new currency would be backed by fiscal discipline, adding that the government would allow it to fluctuate but would manage excessive volatility.

– Before the devaluation, Zimbabwe’s de facto domestic currency, which had a nominal 1:1 value to the U.S. dollar, was trading at a discount of as much as 75 percent.

– Harare scrapped the Zimbabwe dollar in 2009 after hyperinflation that topped out at 500 billion percent. In its stead, it adopted the U.S. dollar and South African rand.

RBZ monetary policy statement

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Mandiwanzira seeks Concourt intervention 

Source: Mandiwanzira seeks Concourt intervention | The Herald March 6, 2019 Supa Mandiwanzira Tendai Rupapa Senior Reporter Former Information Communication Technology and Cyber Security Minister Supa Mandiwanzira, who is facing criminal abuse of office charges, yesterday made an application challenging his prosecution on charges which he claimed were not defined in the statute books. He […]

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Source: Mandiwanzira seeks Concourt intervention | The Herald March 6, 2019

Mandiwanzira seeks Concourt interventionSupa Mandiwanzira

Tendai Rupapa Senior Reporter
Former Information Communication Technology and Cyber Security Minister Supa Mandiwanzira, who is facing criminal abuse of office charges, yesterday made an application challenging his prosecution on charges which he claimed were not defined in the statute books.

He is now seeking to have the Constitutional Court to define the charges under Section 174 (1) (a) (b) of the Criminal Procedure and Evidence Act in line with the country’s Constitution.

Through his lawyers Advocates Thembinkosi Magwaliba and Brian Hungwe, Mandiwanzira said the Act under which he was being charged was unconstitutional, null and void. Mandiwanzira unsuccessfully applied for exception recently and the matter was remanded to yesterday for trial. When he appeared before magistrate Mr Elijah Makomo, Mandiwanzira made an application for referral of the matter to the Constitutional Court.

Mr Magwaliba said: “The section does not define what the duties of an officer are, as a result, public officers will operate in fear of transgressing that law because the decision as to what is abuse of duty, is entirely left to the police officers.

“Mandiwanzira couldn’t have conducted himself in a manner contrary to his duties as a public officer because the duties are not defined in the Act and this endows police officers to determine what the parameters of the duties are.

“The Act which creates a criminal offence must be very concise, but that is not the position in terms of Section 174 (1) (a) (b), it is too broad.

“It induces a chilling effect in public officers. If there are no parameters defined in the Act, then every minister is a potential accused person. Such a law cannot be reasonably justified in a democratic society.” Advocate Magwaliba said the apex court should define whether the section conforms to principles of constitutionality.

To support the application, the defence led evidence from Mandiwanzira who narrated the circumstances of the case.

Mandiwanzira said whatever he did which gave rise to the charges, was with the blessings of his principals.

He told the court that he has since written a letter to the Chief Secretary to the President and Cabinet requesting minutes of the meetings he had with the said principals, including the former president Mr Robert Mugabe. Mandiwanzira said he was also seeking authority from the chief secretary to disclose to the court in camera what the minutes contained.

The prosecution led by Mr Michael Chakandida opposed the application for referral to the Constitutional Court.

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Zim, Mozambique joint commission opens 

Source: Zim, Mozambique joint commission opens | The Herald March 6, 2019 Mr Martin Rushwaya Fidelis Munyoro and Innocent Ruwende The 11th session of the Zimbabwe-Mozambique Joint Permanent Commission on Defence and Security opened in Harare yesterday with the two countries expressing concern over smuggling of contraband and the influx of irregular migrants, particularly from […]

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Source: Zim, Mozambique joint commission opens | The Herald March 6, 2019

Zim, Mozambique joint commission opensMr Martin Rushwaya

Fidelis Munyoro and Innocent Ruwende
The 11th session of the Zimbabwe-Mozambique Joint Permanent Commission on Defence and Security opened in Harare yesterday with the two countries expressing concern over smuggling of contraband and the influx of irregular migrants, particularly from the Great Lakes and the Horn of Africa.

In his welcome and opening remarks, Defence secretary Mr Martin Rushwaya said poaching of elephants and rhinoceros remained major security challenges for the two countries.

The joint permanent commission provides an important platform for information sharing and the formulation of joint strategies that are used to address common security challenges facing Zimbabwe and Mozambique.

“Co-chairperson, apart from our bilateral security challenges, meetings such as this one afford us the opportunity to review regional and continental peace and security issues,” said Mr Rushwaya.

He commended Sadc for the vital role it is playing to promote peace in the Kingdom of Lesotho and the Democratic Republic of Congo.

“It is our sincere hope that the political processes that are currently unfolding will lead to lasting peace and stability in those countries,” he said.

“It is our sincere hope that the political processes that are currently unfolding will lead to lasting peace and stability in those countries.”

Mr Rushwaya said it was also important that the two countries continued to cooperate in various programmes aimed at strengthening the capacity of defence forces and security services to handle common security challenges.

His Mozambican counterpart, Mr Fernando Farnela Campine, said the event was happening at a time when the regional and international military-political situation invited all sectors involved in defence and security to review existing concepts and models that have been employed to deal with potential threats.

“It becomes more and more apparent that the classic action of conflicts tends to be replaced by conflicts of low intensity, difficult to identify their origin and their ringleaders,” said Mr Campine in Portuguese.

“It is said that these conflicts are characterised by assiduous war actions, in which terrorism, piracy, illegal drug trafficking, the contraband of arms to illegal fishing, amoral crimes, among others, are added to our brother countries.”

Mr Campine said these activities were posing new challenges that imply the permanent need for identification and adoption of joint strategies with a view to their total dismantling.

“In this context, it is necessary to emphasise that the socio-political situation of the Republic of Mozambique and the Republic of Zimbabwe find themselves submerged in a national, regional and international context of subversive exploration of reason and natural resources to accommodate opportunities unrelated to the interests of the two peoples and countries.”

Mr Rushawaya and his counterpart expressed optimism that the three-day meeting will culminate in a lasting solution to the political and security challenges facing the two countries.

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MDC leader Nelson Chamisa is a ‘good boy’ and has got a lot of energy but … — Matemadanda

MDC leader Nelson Chamisa is a “good boy” who must be guided by his much older colleagues within the main opposition to direct his abundant energy towards building the country. This was said by war veterans secretary general Victor Matemadanda in an ex…

MDC leader Nelson Chamisa is a “good boy” who must be guided by his much older colleagues within the main opposition to direct his abundant energy towards building the country. This was said by war veterans secretary general Victor Matemadanda in an exclusive interview with NewZimbabwe Tuesday. “The young man is too green. A lot […]