BACOSSI, ASPEF, PLARP: Refresher on quasi-fiscal activities during Gideon Gono`s RBZ Reign of Terror
“Quasi-fiscal” interventions by central banks might be something that came in vogue, post the 2008 global financial crisis, with both the US Fed`s and the European Central Bank`s quantitative easing programs – code for printing money. At its peak, the US Fed in particular was pumping $85 billion a month into the US economy. For Zimbabwe however, quasi-fiscal activities are something that we are all too familiar with, largely thanks to one Gideon Gono. “Gee-Gee” as he is otherwise known made sure that the mention of his name would inevitably be followed by the phrase “quasi-fiscal.” He financed the purchase of cars, generators, ploughs and even scotch carts, through a broad range of quasi-fiscal activities. In fact, Gono created FISCORP (Pvt) Ltd, an RBZ subsidiary to oversee the central bank`s quasi-fiscal activities. The man clearly wasn`t mucking around! These quasi-fiscal activities drew the ire of most economic watchers, so much so, the IMF`s Article IV c...