Zimbabwe to grow at 27% yearly to reach Biti's $100bn target

Zimbabwe to grow at 27% yearly to reach Biti's $100bn target
Published: 08 May 2018 (1123 Views)
MDC Alliance principal and former Finance Minister, Tendai Biti, has repeatedly claimed that, if elected into government, the opposition coalition would propel Zimbabwe to a $100 billion economy in eight years.

According to Zimfact, Biti told an MDC Alliance rally in Murehwa on March 24, 2018, that the $100 billion economy target could be reached in under eight years.

Zimbabwe's official 2018 budget statement, presented on December 7, 2017, estimates that the country's real gross domestic product was $14,5 billion. It projected real GDP to reach $15.2 billion this year.

Using the geometrical growth calculation formula, Zimbabwe's $15 billion economy, growing at 8 percent (or 8.5 percent for that matter), cannot possibly amount to $100 billion.

Instead, growing at 8 percent annually for the next eight years, the economy would grow to just under $28 billion.

The economy would need to grow at an astounding 27 percent per year, to expand to $100 billion in eight years.

Zimbabwe's economy has, in recent years, achieved double-digit growth. This was off a low base, following the end of a decade-long recession in 2009, when former President Robert Mugabe set up a power-sharing government with the opposition, a move which saw Biti assuming the finance minister's role.

Zimfact concluded that Biti's claim that an MDC Alliance government would build a $100 billion economy in eight years, at an annual growth rate of 8 percent, is premised on erroneous calculations.

It would require a growth rate of 27 percent to build the current GDP to the levels envisaged by the former finance minister. Alternatively, it would take 25 years, at 8 percent growth, for Zimbabwe's current GDP to reach $100 billion.


- zimfact

Tags: Biti, MDC, Alliance,
 0

You May Like These Videos

Comments

There are no comments.

Latest stories

Acting President Chiwenga too poorly to work from office

by ZimLive | 19 June 2019 | 125 Views

Nick Mangwana opposes ZANU PF MPs

by Mandla Ndlovu | 19 June 2019 | 125 Views

RBZ photocopies Bond notes?

by Mandla Ndlovu | 19 June 2019 | 152 Views

Latest on Mthuli Ncube's resignation

by Mandla Ndlovu | 19 June 2019 | 185 Views

Zimbabwe crisis at tipping point

by Staff reporter | 19 June 2019 | 182 Views

Mnangagwa told to ignore Chamisa 'at your own peril'

by Staff reporter | 19 June 2019 | 169 Views

US-Africa summit boost for Zimbabwe

by Staff reporter | 19 June 2019 | 118 Views

Charging of fuel in US dollars riles motorists, who owns ZUVA?

by Staff reporter | 19 June 2019 | 148 Views

Chombo passport appeal thrown out

by Staff reporter | 19 June 2019 | 74 Views

Cabinet tackles load shedding

by Staff reporter | 19 June 2019 | 107 Views

MPs insist on corporal punishment

by Staff reporter | 19 June 2019 | 72 Views

Zanu-PF demands apology from Chamisa's MDC

by Staff reporter | 19 June 2019 | 78 Views

Drivers' licence scam unearthed

by Staff reporter | 19 June 2019 | 99 Views

8 truck drivers fined for fuel theft

by Staff reporter | 19 June 2019 | 74 Views

Zesa might spoil Afcon for football lovers

by Staff reporter | 19 June 2019 | 58 Views

Skeletons tumbling at Choppies

by Staff reporter | 19 June 2019 | 103 Views

Chamisa 'reloads' Zimbabwe rescue plan

by Staff reporter | 19 June 2019 | 81 Views

Mnangagwa splurges US$1m to re-engage US

by Staff reporter | 19 June 2019 | 62 Views

Zanu-PF executive rescues Mutoko MP

by Staff reporter | 19 June 2019 | 71 Views

Bulawayo councillors to declare assets

by Staff reporter | 19 June 2019 | 44 Views

'Fatcats choke Zesa'

by Staff reporter | 19 June 2019 | 68 Views

Parly in heated debate over pregnant school girls

by Staff reporter | 19 June 2019 | 47 Views

Anti-Mnangagwa slur lands man in court

by Staff reporter | 19 June 2019 | 54 Views

Chicken project thrives on human waste

by Staff reportrer | 19 June 2019 | 86 Views

Proceeds of thigh vending are detestable to the Most High

by Thomas Murisa | 19 June 2019 | 70 Views

'Taming the Shrew' - Deaths on our Roads

by Engineer Tororiro Isaac Chaza PMP | 19 June 2019 | 100 Views

The Monologue of Dialogue is deluded and self immolation

by Tinashe Eric Muzamhindo | 18 June 2019 | 133 Views

Bullying and Harassment in the Work Place

by Muchie Shamuyarira | 18 June 2019 | 129 Views

BREAKING: Zanu PF legislator dies

by Staff Reporter | 18 June 2019 | 245 Views

Mnangagwa escapes ICC rap

by Staff Reporter | 18 June 2019 | 207 Views

'Zanu-PF will lose'

by Staff Reporter | 18 June 2019 | 182 Views

America snubs Mnangagwa

by Mandla Ndlovu | 18 June 2019 | 202 Views

WITCHCRAFT: Family wakes up to find beaded guinea fowl in backyard

by Staff reporter | 18 June 2019 | 150 Views

Mnangagwa arrives in Maputo

by Staff reporter | 18 June 2019 | 95 Views

Peter Moyo fired by Trevor Manuel chaired Old Mutual

by City Press | 18 June 2019 | 137 Views

Massive scandal rocks Lupane Passport office

by MRP | 18 June 2019 | 145 Views

Zanu-PF's Obedingwa Mguni collapses and dies?

by newzimbabwe.com | 18 June 2019 | 147 Views