By Evans Dakwa, News Editor
The vulnerable people of Zimbabwe can easily be affected by the implementation of the IMF-recommended Staff Monitoring Programme, President Emmerson Mnangagwa has said, reiterating his government’s resolve to ensure that the people are shielded from any resulting shocks.
He was speaking today while addressing delegates at the sixth High-Level Structured Dialogue Platform Forum on Arrears Clearance and Resolution Process in Harare. The forum was established to assist Zimbabwe in clearing its huge debt, which currently amounts to US$21 billion.
“The SMP negatively impacts vulnerable groups within the Zimbabwean population. In this regard, the protection of these groups through effective social protection programmes is of critical importance to my government,” said the President.
His Excellency also stated that, in light of the expected impact, his government is in contact with the IMF to institute further economic reforms necessary under the Clearance and Debt Resolution Process.
“To anchor the implementation of further economic reforms under the Arrears Clearance and Debt Resolution Process, the government is currently negotiating a Staff Monitored Programme (SMP) with the International Monetary Fund,” he added.
As he spoke to the delegates, he underscored the strides made by the government of Zimbabwe regarding issues related to land tenure and the fight against corruption.
“With regard to the Land Tenure Reforms, my government made a bold decision in October 2024 to give security of tenure to all beneficiaries of the Land Reform Programme. This is in line with Section 292 of our Constitution. Meanwhile, the fight against corruption is being strengthened with the anticipated enactment of the Whistle-blower Protection Bill, the Witness Protection Bill, the Anti-Corruption Amendment Bill, and the Assets and Conflict of Interest Bill.”
As of August 2024, the country’s total public debt was estimated at about $21 billion, representing a debt-to-GDP ratio of 97%, leaving the country with limited financial capacity for its development needs. Of the $21 billion, external debt owed to bilateral and multilateral creditors accounts for $12.3 billion. The country’s biggest multilateral creditors include the World Bank, which is owed $1.5 billion, the African Development Bank Group, owed $760 million, and the European Investment Bank, owed $427 million. Domestic debt amounts to US$8.7 billion.
In attendance at the meeting were Ambassador Nuno Tomas, advisor to former Mozambican President Joachim Chissano, who is the facilitator of the dialogue, and Dr. Akinwumi Adesina, President and Chairman of the Boards of Directors of the African Development Bank Group, who is the champion of Zimbabwe’s Arrears Clearance and Debt Resolution process.