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Tsvangirai fears chaos
09/07/2007 19:48  - (SA)  

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  • Harare - Zimbabwe's main opposition leader Morgan Tsvangirai predicted chaos on Monday as a result of the government's clampdown on the business community, which has seen the prices of many goods more than halved and over 1 300 business people arrested.

    Tsvangirai, whose party is engaged in secret talks in South Africa with President Robert Mugabe's ruling party to end the economic and political crisis at home, said the blitz on shops and businesses was an election gimmick that would cause serious problems for ordinary Zimbabweans.

    "We are now approaching another election and Mugabe is on us again," Tsvangirai, a former trade union leader said in reference to presidential and parliamentary elections due next March.

    "Mugabe and Zanu-PF have gone full scale for the business community, pursuing a populist policy against the national interest," the Movement for Democratic Change leader said. He added: "Mugabe and ZANU-PF must never be allowed to get away with his dangerous experiments that impoverish us further."

    The opposition leader's comments came as police announced on Monday that 1 328 shop owners and business executives had been arrested countrywide since the launch of Operation Reduce Prices last week.

    Huge loss, no profit

    The clampdown, which has Mugabe's blessing, has seen teams of police and state-appointed price inspectors raiding shops and ordering them to slash prices to those quoted on or before June 18.

    Police have ordered shop owners to sell goods at half price in many cases, leaving them with huge losses and unable to replace their stock.

    Goods like bread, cement and fuel have now all but disappeared from the formal market and reappeared on the black market.

    Tsvangirai warned on Monday that the low prices would be a "short honeymoon" causing greater hardship in the long-run.

    Already supermarket shelves throughout the country are fast emptying of basics. Economists predict it will be difficult for urban dwellers to find food and fuel by midweek.

    "The poor cannot afford the goods sold on the black market," Tsvangirai said.

    Worst economic crisis

    He urged Zimbabweans to unite and oppose Mugabe's government.

    "We must mobilise ourselves and defend our businesses, our property and our rights," said Tsvangirai.

    Zimbabwe is in the throes of its worst economic crisis, with inflation officially pegged at more than 4 500% but believed to be much higher.

    The Zimbabwean dollar is fast becoming worthless. Unconfirmed reports at the weekend suggest there are plans by regional economic bloc SADC to incorporate Zimbabwe into a common monetary group including South Africa, Namibia, Lesotho and Swaziland, all trading with the South African rand. - Sapa-dpa

    - SAPA



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