Zimbabwean president Robert Mugabe wants to use the sale of diamonds from Zimbabwe’s vast reserves in order to revive the country’s economy, reports the AP. At the time of that story, the World Diamond Council and the Kimberley Process (two groups who regulate the sale of blood diamonds) weren’t too keen on the idea due to the Mugabe regime’s alleged human rights violations.
However, according to a new article published by the New York Times, those groups have since changed their tune and have agreed to allow limited sale of Zimbabwe’s diamonds. Under the deal reached on July 16th, Zimbabwe is able to export two lots of rough diamonds no later than September 6, all under the supervision of the Kimberley Process, of course.
The unfortunate thing about this whole situation is twofold. One, the sale of these diamonds will not be able to make a significant dent in Zimbabwe’s debt, which is estimated at USD $5.821 billion. Two, the industry that has historically been Zimbabwe’s bread and butter, agriculture, is still severely suffering from Mugabe’s land reform program. This program removed the competent farmers from their land and replaced them with members of government and their families, who had either no interest in farming, or no idea how to produce. Because of this, Zimbabwe’s previous exports of tobacco and cotton have collapsed and general agricultural production has dropped at least 51% over the past ten years.
I am no economist, mind you, but it seems to me the smart thing would be to reinvest in your farming industry; give the land back to the previous owners and let them do what they do. I can understand Mugabe and his party being pissed off at white-minority rule. After all, it wasn’t very fair of the British to just come in and colonize. However, what Zimbabwe has now is not equality; it’s racism hiding under the guise of nationalism, and it’s killing the country.
Another thing Zimbabwe needs desperately is energy independence. In 2006, Zimbabwe was importing 40% of its energy from neighboring countries due to lack of infrastructure. Since Zimbabwe is geographically mostly a plateau, it would make sense to me to invest in wind energy. This would not only work toward the goal of energy independence, but would also create jobs, which are urgently needed for a country with an unemployment rate of 95%.
At this point, Zimbabwe doesn’t need diamonds; it needs a miracle.
