COVID-19 Drives 1.3 Million Zimbabweans Into Extreme Poverty

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COVID-19 pandemic and its impact expanded the number of extremely poor citizens by 1,3 million in Zimbabwe raising the figure of the indigence to 7,9 million in 2020 according to a World Bank analysis.

Surveys conducted in 2020 show that nearly 500 000 Zimbabwean households have at least 1 member who lost a job plunging families into poverty and worsening the plight of the existing poor according to the Zimbabwe Economic Update, Overcoming Economic challenges, Natural Disasters, and the Pandemic: Social and Economic Impacts.

“Preserving lives during this unprecedented pandemic in this challenging economic environment will require a strategic approach to addressing underlying problems in the health sector,” said Stella Ilieva, World Bank Senior Economist and lead author of the economic update.

“Such a strategy needs to recognize and simultaneously attend to the COVID-19 and non-COVID-19 health burden in coordinating and allocating sector resources.”

Businesses

COVID-19 shocks left Zimbabwe’s businesses in the tourism sector begging for over US$50 million stimulus hub. Lockdowns around the world had restricted the movement of tourists thereby hampering leisure activities.

Other companies like Eversharp, which are in the ballpoint pen business only fought to break even after the government shut down educational facilities.

Businesses that relied on external trade (importation and exportation) got strangled by failure to import raw material and access to international markets.

Some businesses, however, took advantage of travel restrictions replacing imports with locally manufactured products.

Government Responses

The Zimbabwean government’s response plan to the COVID-19 impacts included unveiling ZW$600 million for the vulnerable groups. Critics have however accused the government of not honoring the pledges slated for the 1 million urban dwellers.

Authorities also launched mobile application programs for students to learn online after closing schools for six months.

The government also opened more isolation centers for COVID-19 patients and has also been offering free vaccinations to Zimbabweans.

Critics have however accused the government of failing to honor its pledge in offering support to the 1 million vulnerable urban dwellers. The online lessons were criticized for leaving out those who had no mobile phones and lacked access to the internet, resources which are required to enable online learning.

Economic Recession

Zimbabwe’s economy is estimated to have contracted by 10% following the COVID-19 pandemic and drought in 2020 according to the World Bank.

World Bank Country Manager Mukami Kariuki believes in focusing on policies resuscitate Zimbabwe’s economy.

“Improving the country’s growth prospects will require further attention to policies that strengthen the quality of service delivery in the social sectors. Preserving lives during an unprecedented that protects livelihoods, strengthens social protection, improves food security, and ensures better education outcomes,” he said.

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