Carte Blanche with Perry

Leopold Takawira Street, Harare. Image Credit Flickr 2018 was a year of two contrasting halves for Zimbabwe. For the greater part of the year, Zimbabweans had the earnest expectation that the July 31 national elections would set the Southern African country on a sustained path of recovery. Events following the elections have, however, brought little respite, and have mostly served to highlight the true extent of the country`s troubles. Problems with fuel shortages, runaway inflation – the highest since the country dollarized in 2009 – and a dire foreign currency crisis threatening to cripple even the largest corporations in the country, have persisted. While government has set out an ambitious recovery plan through its Transitional Stabilisation Program launched last October, signs of progress have been scant. Instead, 2019 has thus far been characterised by industrial action by the country’s junior doctors, while public school teachers have also threatened to down tools, dem

                               Carte Blanche with Perry (CBP) recently spoke to two investment analysts with exposure and interest in the Zimbabwean economy, to find out about Zimbabwe`s investments prospects in 2019. Lloyd Mlotshwa (LM), based in Harare is the Director and Head of Sales at the IH Group, a Zimbabwean financial services boutique firm that deals with local and foreign investors. Craig Bandason (CB), based in Cape Town is a Portfolio Manager at Imara Asset Management, an independent, non-bank financial services company. Below is the full transcript of the interview: CBP : What is your general outlook for Zimbabwe going into 2019? LM : Our initial view is bearish at least for Q1; we believe 2018 benefitted from enhanced money supply and strong performances in primary sectors (mining & agri) – this led to excess liquidity chasing goods and services as well as forex and forex linked assets which led to strong corporate earnings for consumer companies, str