Greed Rules, OK?
This is the Monomotapa Hotel in Central Harare. Hoteliers in Zimbabwe have just shot themselves in the foot, but this is only an indication of a deeper problem: the fact that Zimbabwe business people do not have confidence in the new government and are looking to make a quick buck while there is still hope
So, you have probably heard by now that
lost a massive contract to host World Cup guests because our hotels decided to charge anything up to US$3000 per night for the service. Zimbabwe
The booking company took their business elsewhere and have now signed contracts with hotels in
But, the reason I am mentioning it is that, today, one of these hotel managers is quoted by the media as saying the move by the organisers to Botswana is "just a marketing gimmick, Botswana does not have the rooms"!
So, they will come back anyway, because
does not have the rooms? Botswana
The man who is quoted also says the reason why the high rates were quoted was because, "they met with our junior people". He says marketing managers are meeting in
today to revise the rates and that will bring the organisers back. Harare
Quite apart from the obvious question, which is: why would the hotel managers leave such things to their "junior people", there is also the fact that this demonstrates that Zimbabwean mentality, the get-rich-quick mentality, is still with us.
I wrote previously in this blog about these hoteliers and other service providers and I remember that at the time, I told you that charges in
are still affected by the mentality of hyperinflation. Zimbabwe
today, no business feels alright unless they bring up their charges every few days. Zimbabwe
Right now, I can bet you my bottom dollar that the next inflation figures will, if they are not cooked by this Exclusive Government of Tsvangirai and
Mugabe, show that inflation is on the rise again.
For some reason, over the last week or so, prices that had been going down have started going up again. A specific product I know of which cost 80
cents two ago is now selling for US$1.50. US
There is no reason for this at all.
What it is going to do is turn the people against this government, against
Mugabeand against Tsvangirai. With civil servants still earning only US$100 per month, the rise in prices now will ensure that they starve.
But the priorities of this government are all wrong. Focused on fighting for power and space at the feeding trough, they are neglecting the fundamentals that will make
work again. Zimbabwe
You will recall that
said last year that Gideon Gono was losing US$1.2 billion a month through the leakage of diamonds from Chiadzwa. Zimbabwe
But now, the state is in charge at the diamond fields and we are still not able to raise even a paltry US$500 million. We celebrate when the EU sends us US$11 million (not enough even for a month's wage bill for civil servants).
More importantly, all this shows that the people of
, including business people, have no confidence in this Inclusive/Exclusive creature. Zimbabwe
You see, they expect this thing to fall flat on its face and for
to back to the dark ages before dollarisation. Hence, everyone is trying to make as much money a they can while the sun still shines. Zimbabwe
Business confidence is crucial for the recovery of
, for without it, no one is going to invest new money into expanding capacity and hence creating new jobs in the economy. Zimbabwe
Mugabesee nothing wrong, insisting that everything is fine and the world should just give us more money!!
Yet, their own people, the business people, are in panic mode and trying to make as much as they can while they still can!!
As I keep saying, there is no recovery here. Power is still being cut like there is no tomorrow, people still have no water in their taps and money is too tight to mention.
No wonder Tsvangirai and
Mugabedo not want to have elections before 5 years are up.