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Poverty in Zimbabwe

Poverty in Zimbabwe (formally known as Rhodesia) isn’t a recent occurrence, and can be traced back to the colonisation of Cecil Rhodes in 1889. In August 2017, it was estimated that 72% of Zimbabwe’s population was living in chronic poverty with a United Nations report indicating that 44.1% of the impoverished live in multidimensional poverty. Under colonial rule, Zimbabwean people faced violent displacement of their land, the theft of cattle and domestic assets, leaving them to do the labour without payment. Fertile farmland was given to the European colonisers, with the infertile land left to the indigenous peoples, meaning it was far harder to produce crops to sell for income. Some key events that have ultimately shaped poverty in Zimbabwe are Economic Structural Adjustment Programmes (ESAPs) and the numerous droughts that have plagued the country. The effects of drought weren’t just felt in the physical environment, but in the economic environment, with the government having to redirect funds to hep the people affected, and thus neglecting the ESAPs aims, adding to the poverty burden of the country. Zimbabwe had a high performing economy in the first decade of independence, however after the implementation of ESAPs the country suffered significant economic turbulence resulting in an eventual crisis. These factors resulted in a growth in poverty, which was only exacerbated by the government’s incompetence in managing many macroeconomic crises. A third factor shaping poverty in Zimbabwe has been the leadership of the somewhat controversial Robert Mugabe. Since he was elected in 1980, numerous economic crises have plagued the country, such as the land reform programme. As a result, many western donors decided to cut aid to the country, effectively placing a heavier burden on the government to reduce poverty.

Economics

Economic Climate Over the past decade economic growth has fallen from 1.4% in 2015 to 0.7% in 2016.Save the Children suggested that as a result, of the hyperinflation crisis that peaked in 2009, many girls were forced to trade sex for food in order to survive and were commonly the targets of human trafficking. While it’s evident that poverty in Zimbabwe is influenced by economic instability, this issue is far less pressing than the history of savage colonialism and continuing political corruption which enable economic downturns and poverty to persist, in both rural and urban areas.

Economic Structural Adjustment Programmes Zimbabwe’s ESAP was supported by the World Bank and made inroads in trade and domestic regulatory policy, with the hope that this would lead to self-sustaining growth. The ESAP was supported with a $125 million structural adjustment loan and a $50 million structural adjustment credit. The restructuring of the economy sought to promote higher growth and to reduce poverty and unemployment through reducing fiscal deficits, liberalising trade policies, carrying out domestic deregulation and establishing a social safety net. Many have been critical of the implementation of ESAPs suggesting that the economic reforms have inflated poverty, decreased the country’s capability to develop a strong diversified domestic economy and increased the exploitation of workers through wide deregulation this all accompanied by environmental degradation. There was a social dimension to the program which sought to reinforce or introduce health and education fees while removing the maize meal subsidy for poor urban consumers. Zvobgo argues that socially ESAPs caused an adverse effect to the quality of democratic education introduced at the country’s independence. The scheme was underfunded and because of severe drought, many resources were taken from the program and used for the relief effort.

Poverty Prevalence

Rural Poverty

Zimbabwe matches the global trend that rural households have a higher poverty rate than urban. Most income in rural Zimbabwe is reliant on farming, however production is inadequate due to Zimbabwe’s land locked and dry climate. This combined with food shortages and famines has only made the situation worse. Together these factors have precipitated a large number of Zimbabwe’s rural population to become dependant on remittances and emergency aid. The rural infrastructure has also been deteriorating at a steady rate. An estimated ‘40% of the road network is in poor condition, water and sanitation coverage is very poor, and railway freight traffic has declined by more than half since 1990’, effectively isolating rural communities from markets. The prevalence of HIV/AIDS in rural Zimbabwe has reduced, with a clear link between HIV countries in Africa and poverty as noted by Drimie and Casal. This is believed to be due to rural households being more traditional and controlled with less sexual mixing compared to the cities. That being said, the rate of 13.5% remains one of the highest in the world. This may be responsible for the sharp decline in the country’s population growth since the 1980s. One of the most affected regions is North Matabeleland. This has the highest poverty rate in the country with 70% of its inhabitants classified as poor or extremely poor. Poverty is also notably concentrated in the south-eastern provinces of Manicaland and Masvingo. This has been linked with high out migration and unemployment levels, leading to female headed households. Urban Poverty In the past two decades’ poverty has been prevalent in urban areas and is increasing at a faster rate than that of rural poverty in Zimbabwe. Results from the Poverty Income Consumption Expenditure Survey (PICES) of 2011/12 carried out by the National Statistics Agency (ZIMSTAT) indicate that 38% of urban households, and 47% of people living in urban areas in Zimbabwe were classified as poor. There are several regions of urban Zimbabwe suffering from urban poverty. In depth research has been conducted to “unmask” the severe deprivation in two high density, low-income suburbs of Harare. The investigation conducted in Highfield and Epworth concluded that large surveys can mask inequalities and that more in-depth knowledge is required to properly improve conditions for urban poor. Poverty Policy

There have been advances in policy within Zimbabwe in reducing poverty, but due to the poor implementation of these development programmes by the corrupt government, it has caused the “poor and disadvantaged” to become further marginalised. Like many developing countries in the Global South, institutions such as the United Nations and the World Bank have worked with the government to assist in poverty relief. This has meant implementing programmes such as the Zimbabwe United Nations Development Assistance Framework (ZUNDAF), which was launched in 2007, and an Economic Structural Adjustment Programme (ESAP); launched in 1991. In 2000, the government implemented a land reform policy to alleviate poverty by distributing land to more small-holder farmers, however this led to agricultural output dropping by more than 50% between 2000-2013. Mugabe’s government also implemented the Social Development Fund (SDA). Despite the allocation of Z$20m from their 1991 budget into the fund; 80% of which was allocated to welfare schemes, it inevitably was ‘completely inadequate’ and only reached a ‘tiny minority’. A further Z$35 million was obtained from the African Development Bank (ADB), to contribute to poverty reduction, which was equally ineffective. The government has formulated the Zimbabwe Agenda for Sustainable SocioEconomic Transformation (Zim Asset) plan, which they implemented in 2013, to run until 2018. Its aims are to achieve economic growth, and poverty eradication. This plan, supported by the intervention and assistance of global institutions, has led UNICEF to state that ‘the seeds of success have already been planted and are beginning to grow’. That being said, there is a consensus that poverty exists so extensively in Zimbabwe, because of the failings of the government, causing doubt that the strategy will effectively reduce poverty. The UN has since accused the government of overstating its contribution and efforts towards reducing poverty, particularly with its efforts over hunger and food requirements.The few policies to target poverty in Zimbabwe, have failed to produce many benefits, with one of Mugabe’s lasting legacies being ‘countrywide poverty’.

Corruption A strong reason behind the lack of success of government poverty policies is the long-established relationship between corruption and poverty amongst many global south countries, including Zimbabwe. Corruption is largely understood, in terms of development studies, as the “undermining of democratic and market development… and unacceptable efforts to morally influence those who hold power”. Corruption in Zimbabwe has become an ‘endemic’, with the country being ranked 154th out of 176 countries in a 2016 study conducted by the Transparency International Corruption Perceptions Index. Although corruption has been associated with colonial traits, this study shows a large increase in corruption in Zimbabwe since 1999, when the country was ranked joint 45th out of 99 countries. To further understand the impacts of corruption on people experiencing poverty, geographers have moved beyond quantitative research, towards qualitative research to discuss the experiences people in poverty are having. An example of this methodology is Sarah Bracking, who examines the “relationship between global neoliberal governance and anti-corruption agenda within failing states” and the impact this has on people experiencing poverty. Numerous anti-corruption efforts have been deployed in Zimbabwe, with the Zimbabwean Anti-Corruption Commission (ZACC) largely regarded as the most prominent. Established in June 2004, the commission is a participant of continent wide protocols to tackle corruption, including the Southern Africa Development Community (SADC), African Union (AU) and United Nations (UN). Despite being established as a signatory with other protocols, the Zimbabwean ACC has “corrupt elements within” according to Vice-President Phelekezela Mphoko, who stated that the ZACC “simply serves the interests of a few individuals”. In 2006, 147 corruption cases were reviewed, with just four being completed. In October 2017, there has been calls for the Zimbabwean ACC to dissolve, which has provided further concerns for who will be accountable for corruption cases. Exploitation of natural resources The exploitation of natural resources in Zimbabwe, most notably diamonds, has long been established as a major cause of corruption, with ultimately the holders of the natural resources receiving less funds. In 2011, the then Finance Minister, Tendai Biti, revealed that at least US$1 billion owed to the national treasury through sales of diamonds was unaccounted for. In turn, this means less money for the government to spend on eliminating poverty. In April 2010, the High Court of Zimbabwe took the right to mine in the large Marange diamond fields away from a British based company called African Consolidate Resources. By February 2014 the diamond fields were operated by seven private entities all of which are tied to the Zimbabwean Government. This centralisation was proposed to ensure that Zimbabwe’s natural resources were mined and used ethically. The move added to the wider debate regarding who holds power over natural resources and the extent to which they are exploited by globalisation. Furthermore, there have been wide spread accusations of forced labour, torture, beatings and harassment by the military. This is furthered by allegations of smuggling from the diamond fields with many pointing to government officials as the beneficiaries. Similarly, in a Global Witness report, the issue was raised regarding the potential use of diamond revenues to commit human rights violations from off-budget funding of the security sector. These reports tie into the work of Paul Collier, who describes the ‘natural resource trap’ as a reason for impoverishment. Collier indicates that the lack of government transparency surrounding a countries natural resources, as seen in the case of Marange, can cause conflict and impoverishment as many officials exploit the resource for personal gain causing a loss for the wider public.

Summary

In essence, poverty has been a characteristic of Zimbabwe since independence, stemming from colonialization. Aggressive land reforms and today’s governmental corruption and exploitation of the countries natural resources have further entrenched poverty. As the economy recovers from hyperinflation, government imposed ESAPs to cut debt have hindered progress on poverty and accelerated the situation. The rate of urban poverty has rapidly increased, with rural poverty even further behind on world GDP and indicator scales. Whilst further policies from the government have been executed, evidence of state corruption and poor implementation has hindered progress. In 2011, 72% of the population was recorded as being under the National Poverty Line. Current micro-data is being undertaken under the Poverty Income and Consumption Expenditure Survey (PICES) by the World Bank, with results expected to be released by the end of 2017.

See Also

History of Zimbabwe Economic History of Zimbabwe Corruption in Zimbabwe Politics of Zimbabwe References