ZIMBABWE: A Place Too Far And Expensive For Tourists

Going to Zimbabwe on holiday has become expensive for South Africans. So expensive that apparently 1 million visitors from the south have stayed away since the rand lost nearly half its value. Everything in Zimbabwe is priced in US dollars and its goods and services cost too much for many South Africans.

Zimbabwe's Tourism Minister, Walter Mzembi, made this point in speaking at the 2016 Tourism Convention in Victoria Falls this week and suggested the US dollar might no longer be good for Zimbabwe.

“Is the US dollar serving our best interests in the tourism sector?”

Mzembi, one of the more outspoken Zanu-PF ministers, said: “Should we continue losing more tourists? I will leave that to you to decide.”

Three weeks ago it cost R224 for a muffin and tea for two (US$14) at the South African chain, Mugg and Bean, in Harare’s Avondale shopping centre.

Zimbabwe adopted the US dollar in 2009.

Welshman Ncube, who was the trade minister in the inclusive government installed in 2009, said last week the adoption of the US dollar, instead of the South African rand, had been an “emotional”decision.

He said Zimbabwe didn’t want to be seen as a client state of “big brother” South Africa, “even if we are a 10th province, given that Zimbabwe imports 80 percent of goods from South Africa and exports nearly 70 percent to South Africa.”

Economist Tony Hawkins said Zimbabwe had a strong currency in a weak currency region, and its economy was weakening.

Zimbabwe’s tourism figures were often “suspect” as day-trippers were included, but did not spend money, Hawkins said.

In his recent monetary policy statement, Zimbabwe's Reserve Bank governor John Mangudya said the government should consider using the rand and Chinese yuan as the highest number of visitors were from South Africa and China.