Zimbabwe Economic News: Inflation dips, reliance on imports declines, Telecel to partner ZTA for UNWTO

Inflation dips further

Zimbabwe's annual inflation rate has maintained its downward trend shedding 0,39 percentage points on the August 2012 rate of 3,63 percent to close the month of September at 3,24 percent.

Economist Takunda Mugaga however, maintains the continued decline remains meaningless inlight of the economic challenges that continue to dog the country.

“There is nothing to celebrate about these figures. I cannot totally dismiss the figures but the inflation decline is not transmitting to the macro-economic levels thus people are not benefiting from them,” he said.

He said although the country was likely to meet its targeted inflation figures for the year, a lot of measures needed to be put in place to improve the major drivers.

“We continue to face liquidity challenges and as long people do not have electricity and water this will not mean much,” Mugaga said.

According to the Zimbabwe Statistical Agency (Zimstat) figures prices as measured by the all items CPI increased by an average of 3,24 percentage points between September 2011 and
September 2012.

Zimbabwe's dependency on imports declines

ZIMBABWE’S dependency on imported products has declined, stimulating demand on the domestic market as industrial capacity utilisation in the manufacturing sector gradually improves, official figures have shown.

In its latest report for the period under review, Zimbabwe Revenue Authority (Zimra) chairman Sternford Moyo said revenues for the third quarter rose to $823,4 million, marginally surpassing projected targets, buoyed by a mixture of direct and indirect taxes.

The growth in government inflows were spurred by value added tax (VAT), individual tax and company tax.

“The economy is no longer fully reliant on imports, implying that the propensity for consumers to import dutiable products has also declined,” Moyo said. Official figures show that capacity utilisation, which reached an all time low before at the height of the country’s economic meltdown in 2008, is averaging 57,2%.” Monday 15 October 2012 Newsday

Telecel to partner ZTA for UNWTO

THE preparations for hosting next year’s UNWTO General Assembly are on course as the Zimbabwe Tourism Authority (ZTA) could soon sign an agreement with Telecel Zimbabwe, which will result in the latter becoming the official media partner for the United Nations World Tourism Organisation (UNWTO) General Assembly, an official said.

ZTA chief executive officer Karikoga Kaseke on Monday told journalists attending a signing agreement on Telecel endorsement as the official media partner for the Sanganai/Hlanganani-World Travel and Tourism fair, that plans were underway to ink a deal with the country’s second largest mobile operator ahead of the global tourism showcase to be co-hosted by Zambia and Zimbabwe next August.

“As the chief executive has said, Telecel is interested in a number of projects that the Ministry of Tourism and ZTA are running,” Kaseke said.

“They have already presented to us (a proposal) to be the first official communicator at the World Tourism General Assembly and we are going to sign a separate agreement when the time comes.”

Telecel chief executive Francis Mawindi confirmed the development.

“The World Tourism General Assembly should provide yet another important platform for people from all over the world to be aware of what Zimbabwe and Zambia have to offer tourists,” Mawindi said.

“Telecel is already looking ahead to the World Tourism General Assembly and hopes to play a significant role in the successful hosting of this momentous event.” Wednesday 17 October 2012. Newsday

Liquid connects to West African Cable

Liquid Telecom (Liquid), part of the Econet Wireless Group, has announced an alternative route for the country’s high speed international traffic after concluding a direct connection of its fibre to the West African Cable System (Wacs) landing station near Cape Town in South
Africa.

The telecoms company also announced the rolling out of an urban fibre network in Harare.

Wacs is high-capacity submarine telecommunications pipe that extends from South Africa to London along Africa’s west coast.

Liquid has also assisted Econet Wireless, the country’s largest cellular provider, in alleviating congestion on the backhaul network and enabling high speed 3G data.

Liquid Telecom is already providing connectivity onto the other three main subsea fibre systems of Africa; Eassy, Seacom and Sat3. Wednesday 17 October 2012. Dailynews

More foreign participants at Sanganai Travel Expo

Still on the tourism sector, it has been noted that the number of foreign exhibitors participating in the forthcoming Sanganai/Hlanganani World Travel and Tourism Africa Fair
has increased to 85 from last year’s 24, a possible indication of rising tourists’ confidence in the country.

Over 1 200 exhibitors have confirmed participation.

The event – running under the theme ‘Celebrating Africa’s Tourism Diversity’ – is scheduled for October 18-21 at the Harare International Conference Centre.

Exhibitors include KLM Airways, which recently announced that it will be flying to Zimbabwe starting end of this month, embassies and international tour operators among others.
Sunday 14 October 2012 -  Daily News