Zimbabwe’s ForEx Crisis

Zimbabwe is hitting the floor levels in their economic problems resulting to a crisis in their foreign exchange. Africaonline’s unnamed correspondent writes that the crisis was the result of a series of shortages in the country brought by drought and poor harvest. Shortages involve the most basic of necessities like toothpaste, margarine, grain, and food, except for the country’s staple crop otherwise known as maize.

Another reason for the forex crises, added Africaonline, is the decrease in the production of tobacco that occurred after the seizure of white-owned farms. The country’s land reform program has forced white farmers for the past five years to leave their lands, which affected Zimbabwe’s previous stable food supply.

But despite the country’s state, Zimbabwe’s government refused foreign aide and support since they accuse the UK and other Western countries who opposed their land reform for their current economic crisis. They, in fact, accuse the said countries of economic sabotage.