Zimbabwe Economic Policy Dialogue

Abstract

In past four years, the World Bank, in
 close cooperation with the Government of Zimbabwe, and the
 support of international partners - has carried out a number
 of studies and technical assistance activities in key areas
 of the socio-economic recovery. In line with Bank’s Africa
 strategy of fostering Africa’s economic transformation and
 poverty reduction, the overall goal of these studies has
 been to support broad-based development of Zimbabwe by
 facilitating evidence-based debate and policy-making. As a
 new government for 2013-2018 is about to take function,
 sectoral teams at the World Bank have distilled key analysis
 from those studies, and prepared the short policy notes. The
 policy notes attempt to summarize the main findings,
 challenges, constraints, and lay out policy options. While
 the past decade of hyperinflation and weak economic
 management has undoubtedly eroded a significant share of
 Zimbabwes physical and human capital, these can be rebuilt
 with the combination of sound economic policy and proper
 incentives to private sector investors, both domestic and
 foreign. It is therefore imperative that, however
 policymakers choose to proceed with regard to the future
 direction of the economy, they deliver well-articulated,
 credible, and stable economic policies. Such policies will
 enable and unleash the creative energies and entrepreneurial
 spirit of the private sector, the one that has delivered so
 often in the past. The policy note highlights the breadth
 and complexity of challenges in fostering long-term
 development. Addressing these challenges is a long haul task
 that will require a good sense of overarching priorities, as
 well as strong commitment to long-term objectives and policy consistency.