Why Zimbabwe Could Become Region’s Hottest Economy
IT might not look likely today, but the unique circumstances in Zimbabwe give it the potential to become one of the most economically successful countries in Southern Africa. Rich in minerals, human capital, and opportunities in technology and finance, it has the raw materials to create a wildly successful economic environment.
Unfortunately, Zimbabwe is standing in its own way when it comes to economic success. The political environment has a heavy and often negative influence on the free market. Unemployment and underemployment are high.
According to government statistics, over half of the population is unemployed, and jobs for new graduates and students are almost impossible to find.
Although assets are inexpensive, the global market sees these obstacles as insurmountable, and chooses to invest capital elsewhere. For instance, in 2009 PepsiCo looked at both Zambia and Zimbabwe as locations for their new plant, but chose to invest in Zambia where the economic environment was more stable compared to Zimbabwe.