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Trade in Zimbabwe World Bank

Trade in Zimbabwe By World Bank

Trade in Zimbabwe by World Bank


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Summary

Zimbabwe's poor export performance derives from unpredictable macroeconomics, anti-export bias, and industrial policies undermining investor confidence. To inverse this trend, the government needs to introduce economy-wide incentives that align trade policies with national objectives, to increase competitiveness and promote sustained growth.

Trade in Zimbabwe Summary

Trade in Zimbabwe: changing incentives to enhance competitiveness by World Bank

This report traces the roots of this poor performance to several policy issues: poor predictability of macroeconomic policy and economic governance has created an unfavorable climate for private investment and trade; a tariff structure that dampens export profitability; industrial policies - indigenization policy in particular - that undermine investor confidence and inhibits private investment; and finally, competition-limiting policies toward services that limit connectivity of Zimbabweans and raise trade costs. The good news arising from the study is that the remedies for these policy shortcomings lie in Zimbabwean hands. If the government were to adopt reforms that reconfigure economy-wide incentives and trade and industrial policies, it could promote sustained growth, economic diversification and empowerment of poor people.

Additional information

NLS9781464804465
9781464804465
146480446X
Trade in Zimbabwe: changing incentives to enhance competitiveness by World Bank
New
Paperback
World Bank Publications
2015-05-30
144
N/A
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