The Sunday Mail
Farai Marapira
UNDER President Mnangagwa’s leadership, Zimbabwe has undergone a shift in its economic philosophy to one grounded on State-led development.
This is development where the State plays a key role in initiating, planning, financing, directing and evaluating economic growth.
This approach seeks to stimulate economic growth, alleviate poverty and improve living standards by placing the Government at the forefront of the nation’s development efforts.
It is essential to delve into the guiding principles of President Mnangagwa’s economic philosophy and the potential implications for Zimbabwe’s future — one that will leave a positive and long-lasting legacy for posterity.
The principles espoused by President Mnangagwa at the inception of the Second Republic have shaped, redefined and rebalanced the role of the State, building strategic partnerships, promoting economic diversification, infrastructure development and addressing socio-economic challenges to lift millions out of poverty.
This is the gist of Vision 2030.
The results are already there for all to see. According to the World Bank, Zimbabwe’s poverty rate declined from 29 percent in 2012 to 16,6 percent in 2019, indicating massive progress made by the Government in addressing inequality and access to basic services such as education and healthcare.
In 2020, the United Nations Development Programme’s Human Development Index showed that Zimbabwe moved eight places up the index, indicating vast progress ushered in by President Mnangagwa’s administration.
The International Monetary Fund staff report programme, in 2021, stated that the Government swiftly responded to the Covid-19 pandemic by supporting businesses, livelihoods and the health sector, resulting in real output growth of 8,5 percent, underscoring the economic resilience ushered in by this new economic philosophy. Given these success stories, it is imperative to explain how the President has set a platform for attaining a developmental state by making the State a crucial player at the heart of the economy. President Mnangagwa recognises the crucial role of the State in driving economic transformation.
His economic philosophy promotes a clear departure from the previous laissez-faire approach and, instead, advocates active State involvement in various sectors. The Government is not perceived as a mere regulator but an enabler and catalyst for economic development. In addition, President Mnangagwa emphasises the importance of strategic partnerships with domestic and international actors built upon three mantras: “Nyika inovakwa nevene vayo”; “Zimbabwe is open for business”; and “Zimbabwe is a friend to all and an enemy to none”.
These mantras feed into the engagement and re-engagement policy being pursued by the Government.
This collaborative approach seeks to attract foreign direct investment, encourage domestic investment, enhance technological transfer and foster knowledge-sharing to bolster economic growth.
By establishing transparent and investor-friendly policies, Zimbabwe, under the tutelage of President Mnangagwa, seeks to create an enabling environment for businesses and investors, both local and international.
The President’s economic philosophy recognises the need to diversify Zimbabwe’s economy beyond traditional sectors.
Efforts are being directed towards exploiting the nation’s vast natural resources in areas such as mining and agriculture.
Growth of the mining and agriculture sectors creates throughput that promotes the development of industries like manufacturing, technology and tourism.
By diversifying the economy, President Mnangagwa’s vision is to reduce Zimbabwe’s dependence on a single sector and, therefore, bolster its overall economic resilience.
This has been done through setting specific targets for individual sectors.
For example, the mining sector has been given a target of expanding growth to US$12 billion by year-end, while a target of US$8 billion has been set for the agriculture sector (this target was, however, achieved by 2022).
President Mnangagwa’s economic philosophy places significant importance on infrastructure development, premised on the mantra “leaving no one and no place behind”.
Recognising that robust infrastructure is a prerequisite for economic growth and regional integration, the Government has embarked on initiatives to strengthen our transport networks, energy systems and telecommunications.
This investment in infrastructure is aimed at facilitating trade, attracting investment and enhancing connectivity within Zimbabwe and with neighbouring countries.
Over the last five years, Zimbabwe has witnessed massive road rehabilitation that has exceeded 500 kilometres in Harare alone; road grading exceeding 10 000km; construction of 12 high-impact dams in all provinces; modernisation of the Beitbridge Border Post; the opening of the Walvis Bay Dry Port; and completion of Hwange Units 7 and 8, among many economic enablers.
This, put together, contributes to boosting Zimbabwe’s ease of doing business status.
Lastly, the Second Republic’s economic philosophy is firmly rooted in addressing the socio-economic challenges facing Zimbabwe.
These are artificially induced by the illegal sanction regime imposed on the nation.
The Government has prioritised poverty reduction, job creation and empowerment of marginalised communities.
Through targeted social safety nets, skills training programmes and support for small and medium enterprises, efforts are being made to ensure more inclusive and equitable distribution of wealth and opportunities.
This is one of the cardinal pillars of the national development strategies 1 and 2, which are ushering in Vision 2030.
President Mnangagwa’s economic philosophy of State-led development represents a deliberate shift towards proactive governance and a concerted effort to address Zimbabwe’s economic challenges.
By emphasising strategic partnerships, diversification, infrastructure development and addressing socio-economic disparities, the Government seeks to foster sustainable and inclusive growth for the benefit of all Zimbabweans.
Furthermore, the devolution agenda effectively ensures that Zimbabweans reap the benefits of economic development.
While challenges undoubtedly lie ahead, especially due to the sanctions, the vision outlined by President Mnangagwa provides a roadmap for the country’s economic renaissance and a guaranteed promising future.
Farai Muroiwa Marapira is the ZANU PF Director for Information and Publicity.
