Monday, December 04, 2006

International Development: IMF ready to expel Zimbabwe

IMF officials have arrived in Zimbabwe assess the country's finances.

Zimbabwe is facing expulsion from the International Monetary Fund (IMF) for overdue debt payments of $US125 million - an amount they have little chance of being able to pay.

Unemployment is at 80 per cent, food shortages are common and poverty is spreading quickly, and the current inflation rate of around 1,000 per cent is predicted to hit the 2,000 mark.

However, Robert Mugabe predicts the economy will rebound next year.

Somehow that doesn't sound too reassuring.