World renowned economist Steve Hanke insists that Zimbabwe should dollarise as local currency continues on downward spiral.
Hanke says with inflation at 97.27% per year by his measure, the country’s only solution is to dollarise.
“In #Zimbabwe, leaders of Zimbabwe’s business community advised President Emmerson Mnangagwa to bring back the US dollar to stop Zimbabwe’s death spiral. Spot on.
“With inflation soaring at 97.27%/yr by my measure, Zimbabwe must dollarize. It’s the only solution,” he says.
Meanwhile, President Mnangagwa recently met captains of industry as he sought advice on how to manage the country’s economy.
Zimbabwe’s economy is performing badly, with the local currency struggling against major convertible currencies, especially the US dollar.
The Harare administration is blaming it all on sanctions imposed on the country by the Western world.
However, critics say Zimbabwe in an economic mess because of bad policies and rampant corruption.