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Update on the situation in Zimbabwe

25 September 2008

On 15 September Zimbabwean President Robert Mugabe and the opposition leaders, Morgan Tsvangirai and Arthur Mutambara, signed a power-sharing deal, aimed at resolving the country's political and economic crisis.


UK ready to play role in revival

The British Government stands ready to play its role in an international effort to reverse Zimbabwe’s economic decline, restore growth and basic services, and help the people of Zimbabwe bring an end to poverty and deprivation. However, the nature of our support will be contingent on the new administration's commitment to change. In particular:

  • full and equal access to humanitarian assistance
  • commitment to macroeconomic stabilisation
  • restoration of the rule of law
  • commitment to the democratic process
  • respect for internationally accepted standards of human rights.

The UK Government continues to be deeply concerned about the humanitarian situation, and will not let the agreement deflect our attention from this crisis. We will continue to provide humanitarian support to address the immediate needs of the long-suffering people of Zimbabwe. Large numbers of internally displaced people, many of whom have fled political violence, are of particular concern and we will continue to find ways to meet their needs.

We will urge the authorities in Zimbabwe to ensure there are no restrictions on the humanitarian work of non-governmental organisations (NGOs) in the field, and that up to 2 million people most urgently in need receive the right assistance, irrespective of their political allegiance.

DFID and the Foreign and Commonwealth Office, on behalf of the UK Government, are working together closely. We shall monitor the situation carefully and respond appropriately. The plight of the Zimbabwean people remains our primary concern

The UK has been a major contributor to humanitarian aid in Zimbabwe. In the last financial year, DFID has provided £45 million in aid and we are the country's second largest bilateral donor. At present, all our aid is channelled through the UN and NGOs and not the Government of Zimbabwe.


Economic situation

Zimbabwe is facing a deepening crisis as a direct result of the general economic collapse, poor governance and a lack of investment in agriculture, combined with poor weather. The Mugabe regime presided over an economic and humanitarian disaster in a country that should otherwise be a leading force for development in the region.

The country has had its worst crop in 15 years and has failed to produce sufficient grain to meet the needs of its people. The World Food Programme (WFP) estimates that 5.1 million people will be food insecure between January and March 2009. The situation will be made more difficult by recent rises in world food prices. In addition, the impact of HIV and AIDS means that families who are already poor and vulnerable will be less able to deal with such difficult times. Through full and urgent humanitarian access, it is hoped that the worst effects of this crisis can be averted.

Monthly inflation is 1000-2000%. Annual inflation is over 200 million %. Prices are doubling every two to four days. Gross Domestic Product (GDP) has fallen from US$8 billion in 1998 to US$4 billion today. External debt is US$5 billion. Agricultural production has shrunk by over 50% since 1996. Gold production is at lowest levels for 90 years. Electricity is severely restricted, blackouts are common and water shortages last for days at a time in some areas. Basic food and fuel are difficult to obtain, and people are turning to the black market as a result of high prices.
 

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