Economic Growth In Zimbabwe Essay, Research Paper

The country of Zimbabwe is one of the most economically

developed on the African continent . A fairly young political entity,

Zimbabwe has only enjoyed recognized autonomy since 1980, the year in

which the United Kingdom repealed its imperialistic claims to the

African nation . Despite its youth the country has achieved a level of

economic development uncharacteristic of sub-Saharan African nations.

Second only to South Africa in economic development, Zimbabwe’s

economic system is one indicative of a transitional country, a country

making the transition from dependency underdevelopment to self-reliant

industrialization. The purpose of this essay is to make a cursory but

adequate examination of Zimbabwean socio-economic and political

system, as means to analyzing the countries economic development. The

ultimate purpose of this study is to provide a model of the structure

necessary to achieve economic development where none previously

existed. Zimbabwe is an appropriate model because the dynamics of

underdevelopment to development in this country are readily apparent.

This model can be useful in understanding underdevelopment in other so

called “third-world” countries and in determining what is necessary

for these countries to make the transition to industrialization.

Geography

Zimbabwe is a landlocked country in the southern, sub-Saharan

area of the African continent bordered by South Africa to the South,

Botswana to the West, Mozambique to the East and Zambia to the North.

With an area of 391,090 km2 Zimbabwe is only slightly larger than the

state of Colorado. Harare is Zimbabwe’s capital and largest city with

a population of 1,100,000. Containing vast amounts of rare

mineralogical resources and possessing a favorable growing climate

Zimbabwe’s economy is drawn almost equally between the mining of

minerals ($2.2 billion) and the production of staples and cash crops

($2.1 billion).

People

Zimbabweans are comprised of two primary ethnic groups, the

Shona, comprising 74% of the population and the Ndebele comprising

20%. Other ethnic black groups and Asians make up 4% of the population

while whites make up just over 1% of the population. Zimbabwe has a

population of 10.35 million people with a population density of 24

persons per km2. 1992 census figures estimate Zimbabwe’s growth at

3.0% with 90% of this growth rate within the Shona group. This 3.0%

growth is quite rapid given its relation to the countries declining

annual growth rate of -15%.

History

Zimbabwe’s history dates back to the 9th century A.D., the

believed period in which many great buildings were built, buildings

clearly indicative of an early and great civilization. Of the many

sites the most impressive is the Great Stone House or Great Zimbabwe

the source of the countries name. Despite the impressive nature of the

Great Zimbabwe and the other building sites, it is believed that the

civilization that created them did not survive to see the new

millennium.

Some 900 years after the construction of the Great Zimbabwe

many other sights were built as Zimbabwe became the object of British

colonialism in 1888. It was in this year that John Cecil Rhodes

obtained mineral rights for the British throne and began the process

of bringing Zimbabwe home to Great Britain. Pleased with his

accomplishment the throne honored Rhodes by lending his name to the

area, now calling it Rhodesia. Headed by Rhodes the British South

Africa Company (BSA) was chartered in 1889 with the responsibility of

colonizing the areas of Northern and Southern Rhodesia and bringing

back to the Kingdom the vast mineralogical resources Rhodesia had to

offer.

Although a colony, throughout the existence of its charter

Rhodesia enjoyed self-governing and perceived autonomy. The United

Kingdom reserved the right to intervene in the policies of Rhodesia at

any prompting, but this right was rarely employed leaving Rhodesia’s

autonomy all but assumed. The perceived autonomy the nation enjoyed

allowed for the emergence of factions interested in developing

Rhodesia’s mineralogical and agricultural potential for the purpose of

stimulating domestic growth only. Although growth would benefit the

country as a whole, it would benefit whites specifically by design. An

apartheid-type land apportionment act passed in 1934 allotted key

resource rich areas to whites only. The perceived autonomy and racists

nature of Rhodesia would have great implications late in the countries

political future.

Politics

By 1960 Rhodesia was a country of two factions: the ruling

white minority who wanted complete independence from the United

Kingdom and the indigenous African majority who wanted greater control

of their country and an end to institutional racism. On November 11,

1965 in a step to hasten along political change white progressives

announced the Unilateral Declaration of Independence (UDI) thereby

declaring their independence from Great Britain . The British

government was not hostile to the UDI but did insist that the

Rhodesian government demonstrate its intention to move toward free and

democratic majority rule. Considering the majority of Rhodesia was

African the ruling whites were diametrically opposed to any such form

of majority rule government and refused to meet Great Britain’s

conditions of independence.

On December 16, 1966 Rhodesia made history by being the first

country subject to United Nations economic sanctions, suffering a

complete embargo on key exports and imports . With a dilapidating

economy and African discontent with the white ruling minority Rhodesia

fell into a period of economic and political turmoil breeding

uncertainty and general political instability.

In 1974 Rhodesia’s two primary black nationalists parties

combined to form a front against Rhodesia’s governing policy. Robert

Mugabe’s Zimbabwe African National Union (ZANU) and Joshua Nkomo’s

Zimbabwe African People’s Union (ZAPU) united together to form a

“Patriotic Front” against the segregationist regime of Prime Minister

Ian Smith . In 1976, under great political, economic, and social

pressure Smith ceded to foreign and domestic demands and agreed to

majority rule in principle. Through diplomatic channels and under

British auspices Rhodesia made the transition to majority rule and on

December 21, 1979 political reforms were unofficially agreed upon. As

a condition of this agreement Rhodesia was granted independence from

the Commonwealth, and all U.N. sanctions were lifted with a decree

that Rhodesia was to be internationally recognized as a political

state.

In late February, 1980 free democratic election were held in

Rhodesia for the first time with Mugabe’s ZANU(PF) achieving an

absolute majority. Upon the victory of his party Mugabe was asked to

form the first government of the country of Zimbabwe. On April 18,

1980 the British Government formally granted independence to the

former Rhodesia and four months later Zimbabwe was indoctrinated as a

member of the United Nations.

Zimbabwe’s political system exists to this day as democratic

and majoritarian all implemented through a parliamentary system.

Robert Mugabe remains as President and utilizes a foreign policy of

non-alignment. Despite this Zimbabwe is a member of the Organization

of African Unity (OAU) and performs primary trade with its neighboring

African state South Africa. It is the period from 1980 to the present

that is most fundamental in understanding Zimbabwe’s economic system

because it is in this period that Zimbabwe’s economic structure best

reveals itself.

Economics

Zimbabwe’s economic structure is one of great potential. In

the years prior to its independence Zimbabwe put great emphasis in

developing its mining industry and as a result it is one of the most

developed in Africa. The mining of such minerals as copper, nickel,

gold, and metallurgical-grade ferrochromite is responsible for nearly

half the countries $4.9 billion Gross Domestic Product (GDP) . The

other half of Zimbabwe’s GDP is generated primarily in the

agricultural sector with the majority of this produced at subsistence

levels by most of the population.

Zimbabwe clearly has the potential to generate agriculture

beyond the subsistence level and thereby eliminate any degree of

shortage. In any event subsistence would be sufficient to eliminate

shortage if not for recent devastating droughts. Zimbabwe’s mineral

export industry is key to the nations developmental success. Although

small, the countries mining industry is modernized and strategically

developed toward exports. Many paved roads link mines and other

industries together that complement mining such as heavy machinery.

Also, the areas within the vicinity of the mines are highly developed

and urbanized to ensure an adequate and able workforce. Finally,

Zimbabwe participates in non-aligned trade for non-strategic products

such as textiles. This greatly reduces the countries chance of

becoming dependent on a trade partner.

Conclusion

In many ways Zimbabwe is a model for third-world economic

development. Although not yet fully developed Zimbabwe clearly has the

potential to be a full fledged developed nation. Beyond its vast

resources Zimbabwe is structured in a way to promote development. This

fact in and of itself distinguishes Zimbabwe from most other Lesser

Developed Countries (LDC). Zimbabwe’s economic structure is one in

which they are essentially self-sufficient and trade only for profit

or for consumer goods. Also they perform trade with many partners with

no single partner comprising garnering more than 15% of import or

export goods. By structuring the Zimbabwe’s economic system in a way

that keeps its partners diversified and its imports non-strategic,

Mugabe has successfully led his nation to the path of development. The

barriers left to full development are quite minimal compared to the

ones already dominated, The structure of Zimbabwe’s economic system is

truly a model of economic development.