Bond notes is economic suicide

Timothy Mkhahlera

Government’s answer to the present financial crises, that has seen banks limiting cash withdrawals by depositors, is to introduce bonded notes to the value of $200 million in the latest effort to ‘save’ the country’s economy.

Former Gweru Urban legislator, Mkhahlera who is aligned to Morgan Tsvangirai’s MDC told this reporter that the government’s introduction of dollar bond notes is not a new idea but merely the government repeating an incorrect action previously taken.

The  road that the Reserve Bank Governor, Dr John Mangudya has decided to walk on is the very same path as the one walked by his predecessor, Gideon Gono, the bad effects of which negatively impacted on the lives of most citizens of this country.

“The decision by Mangudya and the government will obviously have the same negative repercussions that previously saw business people losing billions of dollars and pensioners’ supposed earnings being wiped out by the policy that drove inflation figures to millions of percentage units. It’s is mind boggling that the same government tries the same unsuccessful method twice.” said Mkhahlera.

Mkhahlera also questioned whether the Central Bank has the capacity to repay citizens and business funds if their experimental project fails again as it did in 2008.

“People must not think the government is in any way trying to help them. They have merely crafted another way of swindling citizens out of their hard earned cash and further jeopardizing the already bleeding economy.”