Zimbabwe’s financial system increasingly resembles a house of cards. Were one card to give way – for instance, if South Africa’s power utility, Eskom, were to have the temerity to suggest that Zimbabwe actually pay for the electricity that it’s supplying the country – the entire edifice would collapse.
To put it another way, the government is bust. It is again printing money to cover its spiralling costs, and inflation is rising.
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| Zimbabwe’s Financial System Is Living On Borrowed Time – And Borrowed Money |
And given that there’s an election looming in 2018, Zimbabwe’s ruling party, ZANU-PF doesn’t want to cut-back. Far from it, it wants to carry on spending, as fast as it can.
