Runaway inflation

By Tichaona Sibanda
13 January 2006

Analysts have warned that runaway inflation could prove the key to unlocking Robert Mugabe’s decades-long grip on power. Lower-ranking soldiers and police are finding it hard to survive on a rapidly depreciating Zimbabwe dollar and are becoming increasingly unhappy with the situation.
ZimOnline reported on Friday that Mugabe, in power since founding independent Zimbabwe from a British colony in 1980, has commanded unquestioned loyalty from the security forces. This has enabled him to use them to regularly crush dissent and any challenge to his rule.

University of Zimbabwe political scientist Eldred Masunungure is quoted by Zimonline as saying discord between poorly paid foot soldiers and police on one hand and their well-fed commanders on the other would threaten social stability and if unchecked could lead to the unthinkable happening, a mutiny by the security forces against Mugabe’s command.

After the government this month awarded all its workers, including the security services, a 231 percent salary increase, a junior soldier or police officer will now earn about Z$7 million per month.
The new pay for soldiers and police officers falls far below the poverty datum line (PDL) - the minimum amount of money an average family of a mother, father and three children requires for basic goods and services per month. According to the government's Central Statistical Office the PDL is now $17.2 million or more than twice what junior police officers and soldiers earn.
In December inflation rose to 585.8 percent, one of the highest rates in the world, and it’s expected to rise even higher in 2006.