UNDP HOSTS FORUM ON ZIMBABWEAN RECOVERY

UNCLAS HARARE 000894 SENSITIVE SIPDIS AF/S FOR B. WALCH DRL FOR N. WILETT ADDIS ABABA FOR USAU ADDIS ABABA FOR ACSS STATE PASS TO USAID FOR E. LOKEN AND L. DOBBINS STATE PASS TO NSC FOR SENIOR AFRICA DIRECTOR B. PITTMAN E.O. 12958: N/A TAGS: ECON EAID PGOV PREL ASEC UNDP ZI SUBJECT: UNDP HOSTS FORUM ON ZIMBABWEAN RECOVERY ¶1. (U) The United Nations Development Program (UNDP) hosted a forum in Harare on October 1 at which they discussed the recently unveiled UNDP Zimbabwean economic recovery plan. The research team that produced the 230 page document entitled, "Comprehensive Economic Recovery in Zimbabwe" was comprised of senior Zimbabwean economists who spent a year producing the assessment. The presentation focused on the imperative of restoring macroeconomic stability as a pre-condition to economic recovery. The recommendations produced within the report are wide ranging and deal with sectoral improvements in the areas of trade policy, public enterprises, the financial sector, agriculture, manufacturing, mining, tourism, the informal sector, and the labor market. ¶2. (U) The forum also included discussion of how Zimbabwe could best manage international assistance if Zimbabwe's traditional development partners were willing to reengage with and support its recovery efforts. The entire report is available on the UNDP website. ¶3. (U) The forum was well-attended by a mix of Heads of Mission, World Bank officials, international aid organizations, and local trade and labor groups. The audience filled the conference room to capacity and engaged the team during the question and answer period. A significant portion of this discussion included remedial efforts that would be necessary to ease the pain of transition from an informal economy back to a formal economy, as numerous informal money changers, gasoline peddlers, and black market entrepreneurs will be displaced. ¶4. (SBU) GOZ officials were notably absent from the forum. UNDP Chief Technical Advisor, Mark Simpson, told poloff that the team had sent copies of the report to four ZANU-PF officials who the UNDP had identified as being potentially receptive, as well as positioned within economically important ministries. No response had yet been received from these officials. Ian Makone, MDC director of elections and a close Tsvangirai advisor, was the only MDC representative present. MCGEE