- News & Education
Political tensions have been rising in the southern African nation of Zimbabwe over the last few days as the long-standing leader Robert Mugabe was placed on house arrest by the army in a coup*. The people of Zimbabwe have experienced tough times under Mugabe since he became the leader back in 1980, and on the 21st of November he finally announced his decision to step down as the leader of the country. It’s a historic moment for a country which has suffered deep economic and political problems for many years.
*A coup is the illegal and overt seizure of a state by the military or other elites within the state apparatus.
With Mugabe stepping down, most Zimbabweans will be looking positively into the future, but the future itself will all depend who the next leader will be. It is highly anticipated that the ex-Vice President Emmerson Mnangagwa will take over but that should all be decided in the coming weeks as the transition of power begins.
Official language(s): 16 official languages, with English, Shona, and Ndebele being the most common
Population: 16,150,362 (2016 estimate)
Gross Domestic Product (GDP): 17 billion (total)
Currency: US Dollar
Robert Mugabe has been charge of Zimbabwe for nearly 40 years and at 93 years old, was the world’s oldest president. His time in charge has been full of controversy and corruption which lead Zimbabwe to reach the second highest level of inflation in history at 79,000,000,000% back in late 2008. In 2015, the country announced its decision to demonetise the Zimbabwean Dollar and start using the US dollar. It is worth pointing out that at one point the 100 trillion Zimbabwean Dollars were worth just 40 US cents which puts things in perspective to show how bad the economic situation was. Other currencies used in Zimbabwe include – Euro, South African Rand, Pound Sterling, Indian Rupee, Australian Dollar, Chinese Yuan, Botswana Pula and Japanese Yen.
Source: Cato Institute
By: Klavs Valters
Disclaimer: Articles are from GO Markets analysts and contributors and are based on their independent analysis or personal experiences. Views, opinions or trading styles expressed are their own, and should not be taken as either representative of or shared by GO Markets. Advice, if any, is of a ‘general’ nature and not based on your personal objectives, financial situation or needs. Consider how appropriate the advice, if any, is to your objectives, financial situation and needs, before acting on the advice. If the advice relates to acquiring a particular financial product, you should obtain and consider the Product Disclosure Statement (PDS) and Financial Services Guide (FSG) for that product before making any decisions.