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Econet Wireless Zimbabwe : 2022 HY Results & Audit Review – Marketscreener.com

ECONET WIRELESS ZIMBABWE LIMITED

Reviewed abridged financial results

for the half year ended

31 August 2022

ECONET WIRELESS ZIMBABWE LIMITED

(Incorporated in Zimbabwe on 4 August 1998

under Company registration number 7548/98)

ZSE alpha code: ECO ISIN: ZW 000 901 212 2

Registered office

Econet Park, 2 Old Mutare Road,

Msasa, Harare, Zimbabwe

Telephone: +263 242 486124-5, +263 772 793 700, Fax:+263 242 486183

E-mail: info@econet.co.zw,

Website: www.econet.co.zw

Content

Financial highlights

1

Chairman’s statement

2

Abridged consolidated interim statement of profit or loss

and other comprehensive income

6

Abridged consolidated interim statement of

financial position

8

Abridged consolidated interim statement of

changes in equity

10

Abridged consolidated interim statement of cash flows

12

Notes to the abridged consolidated financial statements

13

TIP-OFFS ANONYMOUS

Deloitte & Touche

Telephone:

0808 5500

Address:

The Call Centre

Freepost:

P.O. Box HG 883, Highlands, Harare, Zimbabwe

E-mail:

econetzw@tip-offs.com

1

Financial highlights

Reviewed Inflation adjusted

Revenue

Decreased by 1% from ZW$ 114.0 billion (2021) to

ZW$112.4 billion

Subscribers

Increased by 20% from 13.4 million (2021) to

16.1 million

EBITDA

Decreased by 17% from ZW$ 62.6 billion (2021) to

ZW$ 52.2 billion

2

ECONET WIRELESS ZIMBABWE LIMITED Reviewed Abridged Consolidated Financial Results

3

Chairman’s statement

  • Having launched the first 5G network in the country, in the first half of the year, expanding the breadth and depth of our 5G footprint will be pivotal in delivering additional digital growth services to both
    our retail consumers and enterprise customers.

Overview

We remain committed to the fulfilment of our vision of ensuring a digitally connected future that leaves no Zimbabwean behind, despite the macroeconomic challenges that characterize the operating environment. Our focus on customer experience and delivering value enabled the business to maintain strong key operating metrics during the first half of the current fiscal year. Even with these strong operating metrics, these half year results reflect the impact of fiscal challenges that are beyond the business’ control.

Environment and regulatory review

Zimbabwe’s telecommunications sector players continue to engage the Regulator for regular and adequate tariff reviews which track inflation and exchange rate trends to ensure the viability of the sector. The tariffs, however, continue to be set below both inflation and exchange rate trends.

The telecommunication traffic monitoring system (TTMS) system became fully operational

on 1 May 2022. This has placed an additional tax burden of US 6 cents per minute on the business on international incoming traffic, thereby increasing the cost of delivering our services. It is anticipated that these increased taxes will result in customers opting to use alternative calling platforms that do not have similar obligations, such as WhatsApp, Telegram and other similar applications. As previously stated, these taxes are additional revenue taxes to those already paid by the Company prior to any allocation of revenue to cost of operations, and unwittingly create unequal regulation and disadvantages licensed operators.

Foreign currency scarcity continued to negatively impact the Group’s various network expansion and routine maintenance plans.

Operations review

Our goal remains that of meeting and addressing our customers’ communication and connectivity needs using the latest technologies. With the limited foreign currency resources at our disposal,

we further invested in our radio access network to reduce congestion and improve call completion rates and quality. Having launched the first 5G network in the country, in the first half of the year, expanding the breadth and depth of our 5G footprint will be pivotal in delivering additional digital growth services to both our retail consumers and enterprise customers.

As part of our digital service provider (DSP) thrust, the business migrated and upgraded the call centre platform to a more reliable and scalable cloud platform. The new system handles more customers efficiently, thereby reducing customer waiting and query handling times. This resulted in an improvement in our query resolution time and customer experience. The business experienced an increase in the uptake of self-care platforms. The self-care platforms include subscriber registration verification self-service, PUK retrieval, international roaming activation and airtime transfer among other services.

We also launched the electronic recharging system (ERS) for our mobile channel partners and have signed up more than 200 channel partners as we seek to serve even the most remote areas of the country. Our focus on customer empowerment saw an increase in self-service adoption on both the traditional USSD and our more recent web platforms.

Financial review

Inflation adjusted revenue for the period under review was ZW$112.4 billion, representing a decline of 1% compared to the same period last year. Whilst voice and data volumes increased by 27% and 40%, respectively, these increases were

negated by tariffs which remained unaligned to the cost base of the business. The subdued revenue performance is indicative of frequent tariff reviews that are lagging behind inflation and changes in the consumer price index (CPI). For the period under review, year-on-year inflation was 285% and the tariff increase of 61% was not adequate to cover the loss in value.

The table below helps to illustrate the misalignment of tariff adjustments to changes in macro indicators:

Consumer Price Index – Tariff Analysis

Closing

Tariffs

Interbank

Period

CPI

rate

Voice

Data

August 2021

3,191

86

9.7

1.6

August 2022

2.6

12,286

547

15.6

% Change

61%

285%

537%

61%

Earnings before interest, taxation, depreciation and amortization was 17% lower than the same period last year. The reduction in our profit margin was partly attributable to low revenues due to sub-optimal tariffs coupled with cost pressures experienced under the hyperinflationary environment. As a result of the exchange rate movements over the last six months, the business recorded foreign exchange losses of ZW$ 43.7 billion representing 39% of revenue against a prior year comparative of 2% virtually eroding any possibility of achieving an accounting profit. The foreign debt carried by the business represents the debt that was on the balance sheet at the time of the change of the currency in 2018 and the business continues to engage the monetary authorities for a settlement of this debt at 1:1 in light of a provision in existing government policy.

4

ECONET WIRELESS ZIMBABWE LIMITED Reviewed Abridged Consolidated Financial Results

5

Chairman’s statement (continued)

The business continued to pursue cost containment measures in order to maintain viability and conserve cash to avoid disruption of operations. Capital expenditure for the six months was less than 5% of revenue compared to a regional average of 15% for other telecommunication operators. Accessing foreign currency remained a challenge due to acute shortages of foreign currency in the country. Lack of adequate capital investment adversely impacted our network coverage and, in turn, customer satisfaction.

Corporate social investment

Despite the challenges faced, the Group continues to invest in the communities in which it does business. During the period under review, our team’s accelerated community outreach activities through initiatives under three strategic pillars: Education, Global Health, and Rural Transformation and Sustainable Livelihoods.

Our efforts through our implementing partner, Higherlife Foundation, positively contributed towards human capital development through its flagship scholarship programs, where more than 8 500 learners were supported with scholarships. 36 000 students were awarded technological scholarships to access the Akello platform in a bid to catalyse access to quality education.

Under the Rural Transformation and Sustainable Livelihoods theme, we focused on continuous

technical advisory services and harvesting for rural farmers that had been trained and supported with farming inputs at the start of the farming season.

Our initiatives under the Health pillar continued to complement the activities of the Ministry of Health and Childcare. Our activities chiefly focused on improving health outcomes in maternal and neonatal health in referral hospitals; preventing the further transmission of neglected tropical diseases by 2025; elimination of cholera by 2028; and catalysing Zimbabwe’s ability to prepare and respond to public health threats, emergencies, and disasters.

Outlook

The Group continues to seek value creating opportunities. We have a strong platform to anchor our transition to a fully-fledged digital services provider. Going forward, exploiting 5G network enabled opportunities will be key to keep abreast with global trends and improve service delivery. To enable all of this, we continue to seek opportunities to access foreign currency for which all our initiatives are dependent.

Dividend declaration

The Directors have decided not to declare a dividend for the period under review as they continue to assess the economic environment.

Appreciation

On behalf of the Board, I would like to extend my gratitude to our valued customers, business partners and stakeholders who continue to support our business during these challenging times. Our staff have made exceptional contributions towards the growth and success of the business, their passion and commitment to the business is appreciated. The continued unity of purpose and wise counsel from the Board members remains invaluable and is sincerely appreciated. On behalf of the Board, I would like to recognize the significant contributions made by our professional and competent management team. Without their

personal commitments, we would be unable to achieve the value we create for all our stakeholders.

I am grateful to Ministry of ICT, Ministry of Finance, the Reserve Bank of Zimbabwe and our regulator, POTRAZ, for the opportunity to engage on industry specific issues of regulation, policy formulation and implementation.

Dr. J. Myers

CHAIRMAN OF THE BOARD

21 October 2022

6

ECONET WIRELESS ZIMBABWE LIMITED Reviewed Abridged Consolidated Financial Results

7

Abridged consolidated interim statement of profit or loss and other comprehensive income

For the half year ended 31 August 2022

Inflation adjusted

Historical cost

(All figures in ZW$ 000)

Note

August 2022

August 2021

August 2022

August 2021

Revenue

6

112 381 243

113 996 291

73 712 710

27 390 560

Other income

1 315 699

303 400

1 272 413

81 870

Share of (loss) / profit of associates

(215 505)

(73 521)

168 405

214 529

Direct network and technology operating costs

(24 453 608)

(28 105 331)

(16 951 450)

(6 764 241)

Other network costs

(7 222 738)

(6 324 006)

(5 076 693)

(1 540 269)

Costs of handsets and other accessories

(3 184 554)

(3 108 851)

(1 763 263)

(760 529)

Marketing and sales expenses

(4 703 580)

(621 561)

(3 184 978)

(139 345)

Impairment of trade receivables

(1 261 167)

(451 373)

(805 890)

(107 344)

Staff costs

(13 349 710)

(8 575 283)

(9 127 801)

(2 075 140)

Other expenses

(7 085 346)

(4 488 557)

(4 924 827)

(1 086 869)

Profit before interest, taxation, depreciation,

amortisation, impairment, exchange losses

and monetary adjustment

52 220 734

62 551 208

33 318 626

15 213 222

Depreciation, amortisation and impairment of

property, plant and equipment and intangibles

8

(19 473 271)

(20 663 166)

(5 293 608)

(4 532 190)

Other impairments

(418)

(1 783 442)

(393)

(463 225)

Exchange losses

(43 729 296)

(1 852 166)

(28 404 891)

(335 410)

Net monetary adjustment

17 238 693

(2 311 959)

Finance income

498 372

688 690

255 860

164 849

Finance costs

(1 436 727)

(1 251 726)

(1 129 295)

(307 537)

Profit / (loss) before tax from continuing

operations

5 453 167

35 377 439

(1 253 701)

9 739 709

Income tax expense

(11 237 838)

(9 723 516)

(4 039 071)

(1 937 277)

(Loss) / profit for the period from continuing

operations

(5 784 671)

25 653 923

(5 292 772)

7 802 432

(Loss) / profit after tax from discontinued

operations

7

(291 823)

48 363

(Loss) / profit for the period

(5 784 671)

25 362 100

(5 292 772)

7 850 795

(Loss) / profit for the period attributable to

Equity holders of the parent

(5 531 953)

25 475 411

(5 443 939)

7 836 284

Non-controlling interest

(252 718)

(113 311)

151 167

14 511

(5 784 671)

25 362 100

(5 292 772)

7 850 795

Other comprehensive income / (loss)

Items that will not be reclassified subsequently to

profit or loss

Fair value (loss) / gain on investments at FVTOCI,

net of tax

(125 103)

(5 889 434)

58 624 436

842 529

Property revaluation adjustment, net of tax

54 957 411

(302 915)

86 745 137

(78 678)

Share of other comprehensive income of

associate

1 597 022

3 392 975

56 429 330

(6 192 349)

148 762 548

763 851

Inflation adjusted

Historical cost

(All figures in ZW$ 000)

Note August 2022

August 2021

August 2022

August 2021

Other comprehensive income / (loss)

attributable to

Equity holders of the parent

56 429 330

(6 192 349)

148 762 548

763 851

Non-controlling interest

56 429 330

(6 192 349)

148 762 548

763 851

Total profit or loss and other comprehensive

income attributable to

Equity holders of the parent

50 897 377

19 283 062

143 318 609

8 600 135

Non-controlling interest

(252 718)

(113 311)

151 167

14 511

50 644 659

19 169 751

143 469 776

8 614 646

Basic and diluted (loss) / earnings per share

(ZW dollars)

10

From continuing operations

(2.31)

10.61

(2.27)

321

From continuing and discontinued operations

(2.31)

10.49

(2.27)

323

IAS 29 discourages the publication of historical results as the inflation adjusted results are the primary financial results. However, the historical cost results are included as supplementary information to meet other user requirements. As a result, the auditors have not expressed a review conclusion on this historical information.

This is an excerpt of the original content. To continue reading it, access the original document here.

Attachments

Disclaimer

Econet Wireless Zimbabwe Limited published this content on 18 November 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 18 November 2022 11:58:10 UTC.

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Chisora to use £2m Fury pay-day to keep kids in private school and away from his old dangerous neighbourhood – The Zimbabwe Mail




LONDON: DEREK CHISORA will use his £2million Tyson Fury windfall to keep his daughters in private school and away from his old dangerous neighbourhood.

The 38-year-old heavyweight moved to North London from Zimbabwe aged 16 and changed his life around at the same Finchley ABC gym that later moulded Anthony Joshua into an Olympic legend.

The Brexit-supporting Boris Johnson fan now lives on leafy Hampstead Heath and dines in the capital’s favourite restaurants – after giving up alcohol and the party-boy lifestyle five years ago.

But his most important extravagance is putting Angelina and Harare through top schools and he is well aware of the tragic story of Danny Williams – who is still risking his life in dangerous bouts aged 49 – to keep his girls in education.

He said: “I am here because I like the nice things in life.

“Sometimes I have to drive through my old neighbourhood and I think, f**k that, I don’t want to come back to this s***hole.

“That keeps me hungry and motivated. It’s always financial because you never really make enough money to survive.

“The economy goes up and down, some investments go bad, you have to appreciate it.

“Kids are in private school and that’s expensive. You get used to the lifestyle, which is great.

“Every parent wants to put their kids through private schools.

“Some parents manage to do it at the start but, when things get difficult, they have to take them out and put them in a state school.

“Every parent wants to give their kids the best and the best start in life.”


The 18st hulk famously scoots around London in a tiny and cost-cutting SmartCar while most his colleagues brag and post online their Lamborghinis and Ferraris.

Having survived a childhood scare with measles and a gun attack when he first arrived in England as a wayward teen, Del Boy has learned to enjoy experiences more than material things and he certainly doesn’t bother showing them off.

“Everyone likes nice stuff,” he said. “Most people get money and go and buy flashy cars or watches.

“But other people just like to enjoy life and prefer holidays and experiences more than the most expensive things.

“I just enjoy the things that I like. I drive my SmartCar and enjoy keeping the girls happy.

“I treat myself everyday and if I want a nice watch or car then I buy it.

“I don’t deprive myself of anything and I don’t save up for stuff.”

Fury has already beaten Chisora twice, in 2011 and 2014, and some concerned fans have been calling for the African to retire ever since he reached his 30s and started suffering the bulk of his 12 losses.

But the evergreen brawler insists Britain is too hung up on defeats and forcing fighters into retirement prematurely.

“It’s okay if you lose,” he said.

“It’s okay if you go through a divorce and you go back again.

“There’s nothing greater in life than living. It’s the best thing ever.

“For us, to have gone through all the preparation and you think you have trained hard enough, and you meet somebody who has trained hard enough as well and he wins, yes, you’re going to be upset, but you come out again and move on.

“People have an agenda of getting upset; ‘Why did he do this, why did he do that?’

“No, don’t get upset, just enjoy it.”

Newzim


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Scholarships help students change Africa – UM News


Key Points:

  • Two-thirds of the students at Africa University receive financial aid or scholarships, according toJim Salley, president and CEO of Africa University (Tennessee) Inc.
  • Africa University’s 30th anniversary marked the beginning of the African endowment for scholarships. The original goal of $100,000 was surpassed. Salley called that achievement “the ultimate empowerment story.”
  • An endowed scholarship fund requires a minimum gift of $10,000, and a fully funded endowment is $130,000. 

Berthia Mugwagwa, 20, knew exactly which university she wanted to attend to make her dream of running a large farm come true.

“Africa University has the best agricultural university in Africa,” she said. “I told my mom it was my only option.” Mugwagwa is enrolled in the College of Health, Agriculture and Natural Sciences.

Family finances were difficult. Her father is disabled, so one of his younger brothers agreed to pay her school fees.

In an interview during the recent celebration of United Methodist-related Africa University’s 30th anniversary, Mugwagwa tearfully said her uncle died at his job in South Africa just a few days before.

“I was crying. I thought I would have to drop out,” she said. School officials assured her they would find someone to sponsor her with a scholarship.

“I am so grateful,” she said. “My school fees are a lot, and my mom would not be able to pay.”

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Africa University provides financial aid or scholarships to two-thirds of the students, said Jim Salley, president and chief executive officer of Africa University (Tennessee) Inc., one of three entities that run Africa University in Zimbabwe. He is also associate vice chancellor for institutional advancement.

A primary objective of Africa University is to educate leaders for the continent, Salley said.

“Of the more than 11,000 alumni, more than 90 percent are in leadership roles on the continent of Africa,” he added. Alumni come from 32 countries.

After the Sunday worship service on Oct. 23, Mugwagwa and a group of scholarship recipients spoke to visitors and donors from the U.S. who came to celebrate the milestone for the university in Mutare, Zimbabwe. 

One donor, the Rev. Jennifer Jue, is pastor of Brookside and Trinity United Methodist churches in Jackson, Michigan. She brought another $10,000 donation for an endowed scholarship she established in 2007 for a female theology student.

“The students I talked to mentioned the importance, impact and uniqueness of Africa University to bring together persons from different countries throughout Africa,” Jue said.

She was inspired to set up an endowed scholarship fund after she heard the Rev. Beauty Maenzanise, then dean of Theology at Africa University, give a presentation on the school.

“I wanted to begin an endowed scholarship at Africa University because I believe that Africa University provides quality higher education that equips and empowers leaders of many different countries of Africa,” Jue said. “Ethical leaders have the potential to bring peace and justice to their countries, government and institutions.”

The Rev. Jennifer Jue (right) of the Michigan Conference talks with scholarship recipients at Africa University in October. Jue said the students talked about the unique way the university brings together people from different countries throughout Africa. Jue has started an endowed scholarship for a female student in the theology department. Photo by Kathy L. Gilbert. 

The Rev. Jennifer Jue (right) of the Michigan Conference talks with scholarship recipients at Africa University in October. Jue said the students talked about the unique way the university brings together people from different countries throughout Africa. Jue has started an endowed scholarship for a female student in the theology department. Photo by Kathy L. Gilbert, UM News.

An endowed scholarship fund requires a minimum gift of $10,000, and a fully funded endowment is $130,000. 

“The understanding is that the gift amount is never touched,” said Andra Stevens, director of communications and creative services for the Africa University Development Office. The initial gift accrues interest, and awards are made from earned interest income after three years. School fees are $5,765 annually for a year of study.

Another scholarship recipient, Belinda Numbi, 22, is in her senior year at AU. Enrolled in the College of Business, Peace, Leadership and Governance, she is studying in the department of business sciences.

“I am the firstborn of eight children,” she said. “I want to run a company or a business in order to support my siblings. I have a lot of responsibilities.”

Numbi added, “I have never met my sponsor. I would be so grateful to say ‘thank you.’ I pray for them. May God bless them.”

Africa University students visit following worship at the Kwang Lim Chapel. Africa University’s 28th graduating class included 712 graduates from 18 African countries. Of the more than 11,000 alumni since the first graduating class in 1994, more than 90 percent are in leadership roles on the continent of Africa, said Jim Salley, president and chief executive officer of Africa University (Tennessee) Inc. Photo by Kathy L. Gilbert, UM News. 

Africa University students visit following worship at the Kwang Lim Chapel. Africa University’s 28th graduating class included 712 graduates from 18 African countries. Of the more than 11,000 alumni since the first graduating class in 1994, more than 90 percent are in leadership roles on the continent of Africa, said Jim Salley, president and chief executive officer of Africa University (Tennessee) Inc. Photo by Kathy L. Gilbert, UM News.

During the anniversary celebration, Claflin University president Dwaun Warmack and his family donated $10,000 for an endowed scholarship fund. Located in Orangeburg, South Carolina, Claflin University is one of the 11 historically Black schools and colleges in the U.S related to The United Methodist Church.

The 80-plus visitors that were part of a charter group from the U.S. took up a special collection during their time in Africa. They gave $6,300 in direct scholarship aid in honor of the Africa University Development Office. 

Another $3 million has been given to endow scholarships as part of the U.S.-based endowment’s celebration. 

The 30th anniversary also marked the beginning of the African endowment for scholarships, Salley said. The original goal was to raise $100,000.

“We surpassed that goal,” Salley said. “It is a dream come true.”

Several gifts came from Zimbabwe businesses, including $25,000 from CIMAS Medical Aid Society, the university’s health insurance services partner, designated for laboratory equipment.

Other Zimbabwe businesses and many individual gifts from alumni, faculty and staff donated to support the Africa-based scholarship endowment effort.

Salley called the African-based endowment “the ultimate empowerment story.”

Gilbert is a freelance writer in Nashville, Tennessee.

News media contact: Julie Dwyer, news editor, [email protected] or 615-742-5469. To read more United Methodist News, subscribe to Free Daily or Weekly Digests.

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Review: Mugabe’s Legacy by David B Moore – African Business

Robert Gabriel Mugabe’s place in history is complicated. Vilified and jailed by Ian Smith’s white-minority rogue government of Rhodesia, he became an icon for African nationalists for spearheading the armed struggle that brought about majority rule for Zimbabwe.

As prime minister and then president, he received early praise for his apparent magnanimity towards his defeated white opponents during the 1980 post-election period, and for education reforms in his early tenure.

But by the time he was removed in an army coup in 2017 after 37 years in power, Mugabe’s legacy was seriously tarnished. His rule had become despotic, with political opponents jailed, tortured and murdered, and he was castigated for permissive attitude towards grand corruption within his government.

His rule saw appalling excesses such as the Matabeleland genocide, known locally as Gukurahundi, which scholars believe accounted for at least 20,000 Ndebele deaths. There was adventurism in the Democratic Republic of Congo. Land invasions and widespread political violence in Zimbabwe deepened the country’s isolation and wrecked its economy, ensuring that few Zimbabweans rued his sudden fall from power.

In Mugabe’s Legacy: Coups, Conspiracies and the Conceits of Power, David Moore, who recently retired as professor of development studies at the University of Johannesburg, suggests that Mugabe’s early life in the Zimbabwean liberation movement offers vital keys to understanding his later rule.

Born in rural Mashonaland, the clever young schoolteacher – regarded by his own mother as something of an unlovable oddball – was just one of many leaders awakening to a life of burning injustice in colonial and apartheid Southern Africa.

The initial liberation era was riven by factionalism – sometimes determined by political philosophies, sometimes by tribal affiliations. To reach the top, Mugabe would have to impose his will on allies and enemies alike. His subsequent aggressive rise through the hierarchy of the Zimbabwe African National Union (Zanu) showed the determination, as well as the ruthless Machiavellian streak, that would dominate the remainder of his career.

From the mid-1970s his domineering personality and willingness to use violence to purge young, radical challengers allowed Mugabe to lead the movement through the complexities of the Cold War and regional, ideological, generational, inter- and intra-party tensions. The lessons learned by Mugabe throughout his tough and brutal climb to the top stayed with him for the entirety of his political career, Moore shows.

Hero myth

As the war accelerated in ferocity towards the end of the 1970s, when the Rhodesian regime faced sustained military pressure and growing international isolation, Mugabe increasingly came to see himself as inseparable from the movement.

As one highly-critical, prominent but apolitical Zimbabwean told me, Mugabe, surrounded by sycophants, began to believe in the hero myth that had been built of himself as the “liberation fighter president”. Mugabe became convinced that Zanu was the only political party that could rule Zimbabwe – and that he was the only man to lead that party in the post-independence era.

As leader of the country – even while projecting himself internationally as an Anglophile lover of cricket with a predilection for tailored Saville Row suits – Mugabe soon began to turn the ferocity of his vision inwards. Political disputes with the Ndebele-dominated Zimbabwe African Patriotic Union and its charismatic leader Joshua Nkomo sparked the mass violence of the terrifying Gukurahundi campaign, to which the world largely turned a blind eye.

Land seizures

Indeed, it was not until the 1990s that Mugabe’s governance began to be seriously scrutinised by much of the international community. As the economy slumped and he came under pressure from radical opponents to reshape the nature of Zimbabwe’s white-dominated farming sector, Mugabe unleashed the power of the so-called “war veterans” movement, which began seizing and occupying white-owned farms, sometimes violently. It is in detailing the legacy of this disastrous move that Moore comes into his own.

Drawing on his own wealth of research into the land seizures, including his 2005 contribution to Legacies of Power: Leadership Change and Former Presidents in Africa, he shows how Zimbabwe’s economy nose-dived.

“By 2004 the ‘fast track’ land reform process arising from the ZANU (PF)’s 2000 referendum loss and close election was moving towards a new agricultural mode.

“Over 1,500 white-owned large-scale commercial farms were now 127,192 households on A1 plots with use rights and grazing land, 7,260 ‘capitalists’ with leasehold and a ‘proposed option to buy’, and a few hundred big chiefs gaining most news coverage.

“Nearly 250,000 people waited for this land while more than four million starved. Productive and commercial farmers decreased from 4,500 in 2000 to under 500 in 2004.”

Moore tells us that Zimbabwe’s wheat production fell to 170,000 tons a year in 2004, from the former 300,000 tons average. The land-reform programme presaged a wider collapse of confidence in Mugabe’s leadership and in the economic direction of his government, which had become marred by corruption and rent-seeking.

Moore quotes Rob Davies, the former South African minister of trade and industry, reporting that Zimbabwean income per head fell by 2011 to 53% of the 1996 level. If growth had remained at the 1996 rate, income would have been 97% higher.

In 1980 when Zimbabwe achieved independence, the local currency, the Zimbabwe dollar, was worth twice that of the US dollar: and Moore observes that “if Zimbabwean people accepted that scale for weighing the merits of past and present then by 2005, life was 56,000 times worse than in 1980.”

Critical voices silenced

In truth, Mugabe’s presidency never recovered from the fiasco of the land reform programme. Geopolitically isolated and placed under sanctions by the US and Europe, Mugabe increasingly turned on his political opponents and allowed his allies to dominate what remained of the shrinking economy. With critical voices silenced and no space for dissenting political views, it was ultimately the military, wielded by senior allies in Zanu, that forced him from the throne.

In the continuing rule of that institution, which is struggling to return Zimbabwe to growth, continues to be shunned by Western powers and refuses to liberalise the political space, Moore shows that Mugabe’s true legacy lives on.

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