RBZ governor guarantees that there will be no shortage of commodities… Yes he did!

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The first thing I want to point out is the last descriptive phrase that the governor uttered/wrote in his official statement. He says the Zimbabwean economy is on the mend. If he had led with that one I was not going to read the rest of the thing.

The fact that his statement talks about the RBZ increasing foreign currency (he calls it foreign exchange) being allocated to the importation of basic commodities makes the assertion that this economy is on the mend nothing but a tasteless joke. Here is why:

1. Imports are increasing for consumptive purposes

The biggest problem in Zimbabwe since just before our involvement in the DRC war is the unhealthy balance of trade. We spend more than we receive. If VaMangudya had said we are decreasing our spend on the importation of basic commodities then I would have believed him in saying that the Zimbabwean economy is recovering.

Increasing what we spend on everyday goods means our local industries are producing less let alone generating exports. Right now muno hamuna kana mazai (there is a shortage of eggs) and that’s supposed to be a sign of the good times down the bend? Yes, Irvine’s was affected by avian flu twice but if one company gets through some rough patch means our breakfast county wide is instantly impacted it means hapana zvatiri kuita (we are still just joking).

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2. The RBZ is allocating foreign currency

Dr Mangudya calls it Foreign Exchange, but yes the Reserve Bank of Zimbabwe is busy doing our daily grocery shopping list. The involvement of the central bank at this level does not give us confidence in your claim that all is well Mr Governor. Drawing up of priority lists and all the rest only emphasises to us that there are shortages of the said foreign exchange.

Well, actually we didn’t need the emphasis thank you. We definitely know there is a shortage of foreign currency unless of course we want to buy rolls royces or go to New York on joy rides. As we stand in line at the bank daily to access $15 in coins of bondage aka bond coins we are aware there is a shortage. You may then quip that why are we withdrawing cash, how dumb are we… We are queuing up for the BOND15 ($15 in Bond) because we are charged an extra 15% or is it 20% if we pay using non cash methods or we are simply told by the Petrol Attendant that swipe machine yakafa as well as muchina we Ecocash (the swipe machine is not working and so is the ‘Ecocash’).

We do not blame these people, we know that if the swipe machine doesn’t ‘die’ they will not be able to import the fuel because the person in charge of the master budget at the RBZ is still prioritising and ‘allocating’ the foreign exchange. We know that if our local vendor does not charge the 20% for Ecocash transactions they will not be able to stock up because they are not important enough to even make it to the master grocery list at the RBZ.

3. The worst: the RBZ or at least it’s governor doesn’t have a clue

This is not surprising given that VaMangudya’s boss said he knows nothing. By nothing I mean he said he doesn’t know about the real Zim economy, the one that occurs on the streets not in the tall building along Samora Machel Avenue. If the powers that be are clueless then ladies and gentlemen we are in serious problems.

4. When a person in Mangudya’s seat starts addressing the nation, it spells trouble

From before I was born up to the time I was in Grade 2, the governor of the Reserve Bank was Dr Kombo Moyana and then it was Dr Leonard Tsumba until 2003. I knew these two men’s signatures but I have no clue what they looked like, what they did for a living really. Then there was Dr Gono, a lot of children who were doing Grade 2 in Dr Gono’s era knew who he was, his voice, his famous quote (failure is not an option). Now it’s VaMangudya’s turn and we all know him well.

These two gentleman have presided over the monetary system of this nation in the most tough and rough economic collapse to hit Zimbabwe to date. To be fair, they did not create this chaos and I doubt they have much say in how to deal with it. However, because of where we are in history, the person who sits on the governor chair, stool or throne has to continuously speak!

When the economy is functional, the governor is silent. The Zimbabwe economy is far from functional and the governor is speaking, a lot! If you have to defend the position that the economy is on the mend then it definitely is not. When the economy is mending we all see it: we spend less time jumping from queue to queue. When we see that happening, we know things are changing. We saw it in the period 2009-2013 during the inclusive government.

I could go on and on but I have to give Dr Governor less work when responding to me. I know this time he won’t because of this very statement. I hope, he won’t respond to some random tweet or the other ever again because when he does, it leaves us more worried than before. Telling us not to express ourselves on social media is not the best use of his time right now. Rather than sensor social media he may have to tend to the all important grocery list for the Zimbabwean nation seeing as it is that him and his bosses have allocated more foreign exchange to this list.

 

John MangudyaRBZReserve Bank of Zimbabwe

John Panonetsa Mangudya is an economist and the current Reserve Bank of Zimbabwe governor. Mangudya, who sits on many local and international boards .He was made RBZ governor after the expiry of Gideon Gono's term in 2014. He had been CBZ Holdings Ltd Chief Executive... Read More About John Mangudya

The Reserve Bank of Zimbabwe (RBZ) is the central bank of Zimbabwe. Its offices are located at number 80 Samora Machel Avenue in Harare. The Reserve Bank of Zimbabwe operates under the Reserve Bank of Zimbabwe Act, Chapter 22: 15 of 1964. The Act provides... Read More About RBZ

The Reserve Bank of Zimbabwe (RBZ) is the central bank of Zimbabwe. Its offices are located at number 80 Samora Machel Avenue in Harare. The Reserve Bank of Zimbabwe operates under the Reserve Bank of Zimbabwe Act, Chapter 22: 15 of 1964. The Act provides... Read More About Reserve Bank of Zimbabwe

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16 Comments

  1. nakamura9a says:

    I like the bit about only knowing the governor when the economy is in the gutter. Too true!

    1. Tinashe Nyahasha says:

      It is so right? This is one of those times when I wish something were not true. It’s not fun being where we are right now, I so wish we were not

  2. Nagaiso Mumunda says:

    No you are wrong and he is right. He meant no shortages of commodities for “everyone” For those not part of everyone I am deeply sorry!

    1. Tinashe Nyahasha says:

      Hahaha, sadly you are right! Our comrades with brand new rolls royces including VaMangudya himself face no shortage of anything. It’s malicious to even suggest shortage to them

  3. Russell Pamire says:

    Grace is the one in charge of all this shit.

  4. Chitova says:

    Most of these top guts dont even know how Coppa cabana looks like, how mbare musika looks like, how kotamai look like, how bank queues look like, how fuel queues look like, how the streets of Mabvuku Mufakose Budiriro Makokoba look like,

    In short, they dont even know our day to day problems. To them, everything is moving smoothly. I still remember very well in 2009, when a teacher’s salary was not enough to buy a loaf of bread and when the president was told this he was very surprised, meaning he wasnt aware but it has been like that for long. Sometimes we dont have to blame them, all those in power, ignorants is their sickness.

    1. Tinashe Nyahasha says:

      Yea it’s unfortunate that we are being ruled by the elite who do not empathise at all with the rest of us. How can they when they have never seen ort experienced what we see and experience everyday?

  5. Petra says:

    Hey Sherlock! We are in deep trouble! Cannot see a ‘comeback’ from this one!!

    1. Tinashe Nyahasha says:

      Sherlock?? We will get out of it hey, I am convinced it will end soon, all things end

  6. Draya says:

    Vote For APA

    Dr Nkosana Moyo

    The Real And Valid Choice

  7. Macmor says:

    Rauya Bond Note!

    Yakagadzwa hadyana
    yemutakunanzva wehwohwa
    Vakange vanyatsoibika mbuya
    vaTarisai
    Kuikwenenzvera sare yatsvukira
    sekunonzi inyama
    Zvinaniko chaive
    chivharanhomba
    Hwohwa hausi nyama igaroziva
    wani
    Ndinoreva iro bond note radai
    kuti pfacha mune dzedu
    hombodo
    Gushungo kutoshandisa avo
    masimba
    Kurimbunyikidza kuruzhinji
    sekunonzi imari
    Kwavo kusanyara rudziiko kubira
    varombo
    Kudyawo nembuva yenherera
    matiwo isare nei
    Inga matiisa parumananzombe
    chaipo.
    Rauya bond note chivharanyadzi

    Hunzi rakaenzana ne US Dollar
    Bvu-u sekai henyu
    Bvumavaranda kuseka nhamo
    serugare
    Inga mashura mudunhu
    Uri Kristu here nhai Mangudya
    Akasandura mvura kuita waini
    pamuchato weKana
    Iwe kudyorera mapepa wototi
    yave mari
    Inga mapererwa kubatwa
    nechadzimira kuchinaya
    Enyu mazano asara kusvuta
    nekukama varombo
    Hero bond rombunyikidzwa
    kuruzhinji
    Regai tione kuchawira tsvimbo
    nedohwe
    Economy ne bond note gonzo
    nachin’ai regai zvitosvorane
    Zvazokuomerai vagoni
    Rauya bond chisvetavarombo!

    1. Tinashe Nyahasha says:

      Hey Macmor, can we use your poem on our social media platforms? It’s such a masterpiece!

  8. jon the con man gudya says:

    Please don’t post pictures of John “The Con Man” Gudya, you will be turning away readers who will feel sick when they see this useless retards filthy face!

  9. Tafadzwa says:

    I think the Governor and Finance Minister has been doing a great job in dealing with debt restructuring but they need to focus on solvent companies rather than insolvent companies, the foreign currency reserve that is backing our bond notes need to be increased to allow the flexibility of the monetary policy and our only chance of seeing a beautiful deleveraging is if we let insolvent companies go and focus on a few companies with less debt.

  10. ShingiraiD says:

    Most cases all who claim to be experts in contemporary economics have absolutely no clue. Chinamasa and Mangudya can’t be spared.

  11. ufranco says:

    Fool me once shame on you , fool me twice shame on me.
    Why did Zimbos give Zanu PF another mandate.
    All we had to do was be content with the GNU government , in hind sight it was the best solution for keeping Zanu in check and there by protecting our future. Zimbabwe would be better off with 30 years of GNU than another year of Zanu-nonsense.
    A better future was in our hands and we all dropped the ball. No one esle to blame but our selves , we deserve whatever is coming.

    @Tafadzwa : good job of debt restructuring , come on , all they had to do was the IMF two step. They did the IMF dance in the hope it would lead to resumption of budgetary support, quite frankly it was this government’s best bet. Unfortunately it never worked. Besides, IMF paymasters probably saw it as a sign of desparation from the ruling party , they smell blood , “they can see the mighty beast is on its last legs , its only a matter of time…….”
    But alas, i have lost faith in my fellow Zimbabweans who seem to have become too ignorant.

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