Zimbabwe. Level of Debt An overvalued exchange rate and soaring inflation makes Zimbabwe a poor country. GDP – $ 24.37 Billion GDP (Real growth rate)

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Presentation transcript:

Zimbabwe

Level of Debt An overvalued exchange rate and soaring inflation makes Zimbabwe a poor country. GDP – $ Billion GDP (Real growth rate) - 8.2% GDP Per capita - $1,900 Inflation rate – 133% Revenues: $1.325 billion Expenditures: $1.593 Public debt – 52.3% External Debt - $4,086 billion The extreme level of debt in Zimbawe is caused by President Mugabe. Its involvement in the war in the Democratic Republic of the Congo, for example, drained hundreds of millions of dollars from the economy. Badly needed support from the IMF has been suspended because of the country's failure to meet budgetary goals

Level of Aid Economic aid recipient: $178 million; note - the EU and the US provide food aid on humanitarian grounds (2000 est.) $178 million is donated by the world bank. DFID is committed to supporting poverty reduction programmes, particularly in rural areas were the majority of poor people live.

Pakistan

Level of Debt GDP billion GDP (Real growth Rate) – 6.2% GDP – Per Capita $2,020 Inflation rate – 4.8% Public Debt % External Debt – Billion A weak economy means that the country can not generate enough resources for investment purposes or in order to increase the standard of living of its people. It has been suggested that having agreements between the donors and the recipient nations to freeze the debt for a minimum of 20 years, this amount should be spent on the uplift of economic growth in the recipient nation.

Level of Aid Economic Aid recipient- $2.4 billion $2.4 billions is donated by the world bank. Individual organisations such as the red cross have aided the people of Pakistan in light of the 0ctober 8 th earthquake. In April 2003 the United States reduced Pakistan's bilateral official debt by $1 billion. In 2004, approximately $500 million more in bilateral debt was granted.