Covid-19 effect hits Vic-Falls tourism bookings

THE tourism industry in has recorded cancellations of bookings and trips by international travellers following the outbreak of Covid-19 (Coronavirus) that continues to spread worldwide.

The United Nations World Tourism Organisation (UNWTO) recently projected that the global tourism industry may suffer losses of up to US$50 billion due to the outbreak of the deadly pandemic.

Covid-19 first broke out in China’s Wuhan City last December and has since spread to other countries, infecting more than 900 000 people and killing more than 3 000, mainly in China. Some African countries have confirmed cases of the virus with South Africa recording seven. Tourism players in the country’s prime resort town are concerned that the outbreak could leave the industry grounded.

Some hotels and operators are reportedly sending workers on forced leave due to lost business. The industry is, however, concerned about what is says is sensationalisation of the situation by the media and have appealed for responsible reporting while also urging citizens to desist from circulating fake news, which negatively affects the fragile industry.

The concerns come after some messages circulated on WhatsApp platforms on Monday claiming that a Chinese woman had been quarantined after showing symptoms of the infection while checking in at a local hotel. Tourism authorities and health experts yesterday said the tourist was actually a British national who only suffered moderate fever and tested negative to Covid-19.

Hospitality Industry Association of Zimbabwe (HAZ) Victoria Falls chapter chairman Mr Arnold Musonza said:

“There is not much movement in terms of supplies, which we get from far afield like China and it’s worrying to us as an industry because we have even had cancellations with a lot of clients asking for cancelations or postponement of their trips. 

“We have tried to remain calm so that we don’t sensationalise the situation and we will always conscientise staff and clients to be careful. Our plea is for people to rely on official information and not follow untruths that are circulated on social media. “The media should also not sensationalise because jobs will be lost in tourism. We need more of reassurance from our media because the industry might collapse with this sensational reporting,” said Mr Musonza.

He could not be drawn into giving statistics but industry representatives said almost all hotels and tour operators have recorded some cancelations. HAZ has organized a stakeholders meeting to be held on Friday to talk about the state of the industry in light of the Coronavirus.

Matabeleland North Provincial Medical Director, Dr Purgie Tawanda Chimberengwa, also dismissed as untrue claims that a Chinese woman had shown symptoms of the virus. He said the woman was actually from Windsor in Britain where there is no outbreak and had been cleared as she continued with her tour around the region.

The woman only had fever and was given antibiotics, which she responded positively to before being cleared, highlighted Dr Chimberengwa.

“It doesn’t necessarily mean that when a person comes from a country that has Coronavirus then the person is infected. We concluded that she had ordinary pneumonia and as we stand, we don’t even suspect that it was Coronavirus. 

“Our primary problem is the Press, which is panicking about Coronavirus and sending wrong information to the people. The Press should be educating people like what the Ministry of Health and Child Care is doing these days giving daily updates. What we want to reiterate, however, is that people should practice basic hygiene, wash their hands and eat warm food to protect themselves from the virus,” said Dr Chimberengwa.

He urged people not to cause unnecessary panic and to check messages before forwarding them saying unnecessary panic tends to strain the already stressed health system. — @ncubeleon.

Source: Covid-19 effect hits Vic-Falls tourism bookings (12/03/20)

US dollar returns as Zimbabwe govt wavers on use of local currency

THE Zimbabwean economy is reverting back to the US dollar less than a year after the government reintroduced the local currency to assert economic independence.

Over the past month, local businesses have resorted to using the dollar and civil servants want their pay disbursed in greenback, making the government’s policy useless.

In June last year, Zimbabwe abandoned its multi-currency regime, which included the South African rand, US dollar and Chinese yuan; following a decade of dollarisation that was forced by record hyperinflation.

President Emmerson Mnangagwa’s government at the time said the adoption of the Zimbabwe dollar was meant to breathe life into the economy. Now that experiment has been nothing short of a disaster.

The government is now giving certain sectors such as tourism and the fuel industry permission to charge in dollars.

The Reserve Bank of Zimbabwe (RBZ) argued that it was struggling to harness foreign currency locally to pay for critical imports, this had to endorse the policy reversal. But, it seems the entire economy is going back to the dollar.

Civil servants have, since last year, been pushing the government to pay their salaries in foreign currency, arguing that their incomes are being eroded by hyperinflation.

Doctors working in public hospitals went on strike for over four months demanding to be paid in foreign currency.

They only returned to work in January after billionaire Strive Masiyiwa offered $6.25 million to pay their salaries.

Even informal traders now reject the local currency citing its instability and hyperinflation.

The government already allows for the use of foreign currency for payment of Customs duties on selected products, paying for emergency passports and basic commodities such as food items and fuel.

The hospitality industry is allowed to operate in foreign currency under a special dispensation.

Tony Hawkins, an economist in Harare said the government’s expansion of hard currency exemptions for many sectors was proof that it was fighting a losing battle against the dollarisation of the economy.

“Evidence suggests that de-dollarisation has not worked,” Mr Hawkins said.

The University of Zimbabwe economics professor warned that history was repeating itself citing the 2009 shift to multi currencies where the government had to take a cue from the market.

“Unfortunately, the market decides for the government and not the other way round. So we should stick with the devil we know, which is the dollar.

“The only problem with the dollar is that the authorities can’t print it, but they are spending too much in relation to their revenues,” said Prof Hawkins.

Morgan & Co, a stock brokerage firm said it was clear that Zimbabwe was returning to the dollar instead of cushioning the local currency as shown by the waning confidence in the local currency.

“We are perplexed by the fact the monetary authorities in the country exhibit a lack of touch and appreciation of developments within the broader monetary system,” said Morgan & Co in a review of the RBZ’s latest monetary policy.

“Our concern is that those that follow economic policy developments in Zimbabwe will have to separate fiction from reality so as to make sound investment decisions.”

On Wednesday last week, the International Monetary Fund said Zimbabwe’s economy, which shrunk by 8.3 percent last year, will see stagnation in 2020 with growth of only 0.8 per cent.

The IMF had originally forecast growth of 2.5 per cent in 2020, but revised the projections in the face of another devastating drought.

Morgan & Co said declining exports and low production will put more pressure on the local currency, which might eventually lead to its collapse.

“Industry capacity utilisations have fallen to 27 per cent given that forex shortages are limiting the ability to import critical raw materials,” the firm added.

“We cite that low production volumes will ultimately lead to diseconomies of scale and increase in the cost of production.”

RBZ governor John Mangudya, however, insisted that Zimbabwe’s economy was not dollarising, saying the decision to allow fuel retailers to charge in foreign currency was a strategy to mop up the US dollar that was flooding the parallel market.

“The issue is basically about supply and demand,” Dr Mangudya told Parliament last week. “Foreign currency earned through diaspora remittances tends to go to the parallel market.

“The issue is how do we harness that money into the formal system.

“For instance, we have a fuel bill of $500 million (a month). So it means that if we allow, for example, 30 per cent of the fuel bill to be funded through free funds, it will result in a 30 percent foreign currency saving, monies that will then flow to the interbank market for other uses.”

Zimbabwe has been facing an acute shortage of fuel since late 2018 due to lack of foreign currency.

The country is also struggling to import adequate grain to feed more than half of the population, which aid agencies say face starvation this year unless there is intervention from donors.

Dr Mangudya said the expanding foreign currency exemptions should not be mistaken for a policy shift towards the dollarisation of the economy.

“Allowing the use of free funds within the national economy for payment… should not be misconstrued as going back to dollarisation, but rather, as common good for the country to promote inflow of free funds from the diaspora and necessary to buttress the confidence that is needed under the de-dollarisation process,” the central bank boss said.

Zimbabwe received $635 million in diaspora remittances in 2019, which was a 2.6 per cent increase from the previous year.

President Mnangagwa has been struggling to deliver the swift economic revival he promised at the beginning of his presidency.

His government blames sanctions imposed by Western countries and successive droughts for the stalled economic turnaround.

The European Union, which renewed an arms embargo against Zimbabwe a fortnight ago, says its restrictive measures have nothing to do with the Southern African country’s economic troubles.

On the other hand, the IMF urged the country to fight corrupt “vested interests” and come up with a debt repayment plan in order to win support for its economic reforms. – The East Africa

Source: US dollar returns as Zimbabwe govt wavers on use of local currency (03/03/20)

MDC expels Victoria Falls mayor for defying party directive

 The MDC has expelled Victoria Falls mayor Somvelo Dlamini.

MDC secretary general Charlton Hwende wrote to Dlamini on February 24, advising him that he was being recalled as a councillor and mayor.

The decision follows Dlamini’s defiance of a party directive in 2018 not to contest Ward 1 councillor Margaret Varley for mayor. The MDC leadership had picked Valley for the position.

Hwende said Dlamini had been expelled for “violation of party obligations and instructions.”

“This letter serves to inform you and confirm the termination by the National Council of your membership of the party with immediate effect as per the resolution of the National Council on November 23, 2018,” Hwende wrote to Dlamini.

“Consequently, the party is immediately invoking the provisions of Section 278 (1) of the Zimbabwe Constitution as read with Section 129 of the same to have you removed from the position of councillor of the Victoria Falls Municipality.”

It was not clear why the party took so long to enforce its 2018 resolution. The MDC’s 10 remaining councillors are expected to pick a new mayor, likely to be Varley.

Source: MDC expels Victoria Falls mayor for defying party directive (28/02/2020)

Truck kills two rhinos in Zambian national park

Two white rhinos were killed when a truck hit them in the Mosi-oa-Tunya national park in Livingstone, the Zambia National Broadcasting Corporation reported.

It said the truck with Namibian registration numbers hit the animals on the Livingstone-Kazungula road which passes through the national park.

Southern Province Minister Edify Hamukale told the broadcaster that he had instructed the department of national parks and wildlife, the road development agency and the road transport and safety agency to put up speed humps on the road within the park to avoid similar accidents.

He said it was also important to place visible warning signs indicating that wild animals often crossed the road within the park, to alert motorists.

Source: Truck kills two rhinos in Zambian national park (27/02/20)

Three Feared Dead, Several Injured In Bus Accident

By Matabeleland North Correspondent

THREE people are feared dead after a CAG bus travelling from Victoria Falls to Bulawayo hit a Lion Encounter truck from the back Tuesday morning.

The truck, which was carrying Lion Encounter employees, was travelling in the same direction with the bus when it was hit from the back as the truck driver attempted to turn right near the Victoria Falls Airport. 

Lion Encounter is a tour operating company.

Matabeleland North police spokesperson Chief Inspector Siphiwe Makonese confirmed the incident, but said she was yet to get more details.

Some passengers interviewed said an unconfirmed number of Lion Encounter workers who were in the Hyundai pick-up truck were seriously injured and rushed to Victoria Falls Hospital where they were admitted.

Two died on the spot while the third is said to have died in hospital.

“The driver of the Lion Encounter truck delayed to indicate his intentions to turn right and the driver of the bus was trying to overtake.

“When the truck suddenly turned right, it got hit from the back and overturned, killing people. The bus veered off the road but stopped without anyone getting injured,” said a passenger who was in the bus.

No one was injured in the CAG bus.

Meanwhile, in a separate incident, a bus belonging to Kakono Bus Service fell into Shangani River in Nkayi on Monday after the driver lost control.

This was after the bus hit three cows and it fell into the river after the driver had missed the bridge.

There have always been concerns about the narrow Tshangani River bridge as several buses have in the past also fallen into the river bed.

Nkayi District Development Coordinator Matilda Muhaso said six people were seriously injured while several others escaped with minor injuries.

She said the bus which was heading for Gokwe, from Bulawayo via Nkayi had 65 passengers on board, five of them children.

“Six passengers were seriously injured and taken to Loreto Hospital while two were later transferred to Mpilo Central Hospital in Bulawayo,” she said.

The injured were ferried to Loreto in neighbouring Silobela because Nkayi District Hospital is incapacitated as it has no x-ray equipment.

Source: Three Feared Dead, Several Injured In Vic Falls, Nkayi Bus Accidents  (11/02/20)

Victoria Falls mayor arrested

 THE Zimbabwe Anti-Corruption Commission (ZACC) has arrested Victoria Falls Mayor Councillor Somvelo Dlamini for alleged abuse of office.

ZACC officials picked up Clr Dlamini who is also MDC-Alliance councillor for Ward 9 from his home on Saturday.

He is expected to appear in court today.

Details leading to his arrest were still sketchy last night.

ZACC spokesperson Commissioner John Makamure yesterday confirmed Clr Dlamini’s arrest.

“I don’t have the details of his case off hand but what I know is that he has been arrested. If you want further details phone me in two hours-time as I am driving at the moment,” said Comm Makamure.

He later said he was still to go through the charge sheet.

Clr Dlamini’s arrest comes as ZACC has pledged to leave no stone unturned in the fight against corruption.

The Justice Loice Matanda-Moyo-led commission assumed its duties last year in May and since then it has handled a number of high-profile cases including that of fired Environment, Tourism and Hospitality Industry Minister Prisca Mupfumira.

President Mnangagwa fired Mupfumira from Cabinet as she answers to charges that include involvement in the siphoning of US$95 million from the National Social Security Authority (NSSA).

On Thursday the commission arrested a Bulawayo businessman, accused of fuelling the forex black market, through alleged money laundering and externalisation of over US$1,3 million. Ismail Moosa Lunat (57) of Kumalo suburb appeared in court on Friday following his arrest.

In December the anti-graft body revealed that it was dealing with 600 dockets and at least 100 have been fully investigated and 74 of them involve high profile figures.

In the same month, ZACC arrested Acting President Dr Constantino Chiwenga’s estranged wife Marry Mubaiwa whose case is pending before the courts for alleged fraud and externalising of forex.

Source: Victoria Falls mayor arrested (09/02/2020)

ZimParks Hikes Vic Falls Entry Fees

THE ZIMBABWE Parks and Wildlife Management Authority (Zimparks) has reviewed the Victoria Falls rainforest conservation fees to improve the authority's operations. The adjustment will see domestic tourists now paying $60 per person, up from $30, while the entry fee to the Zambezi National Park is now pegged at $50 with effect from the 1st of February. Regional and international fees remain unchanged. The locals who constitute around 25% of the total annual visitors to the rainforest expressed mixed reactions to the adjustment with some describing the revised fees as reasonable while others bemoaned the short notice.

"With everything going up we certainly cannot expect the entry fees to remain constant. When you compare to what the international tourists are paying, the $60 is still reasonable in my opinion," said one local tourist.

Victoria Falls tourism industry players say the adjustment is reasonable compared to the 30 United States dollars being paid by foreigners and are optimistic the funds will go a long way in enhancing the authority's operations.

"An adjustment of ZW$30 is somehow justified, considering that a few years ago locals were being asked to pay seven United States dollars. One also has to take into account the fact that the authority has to fund conservation works," said Fungai Nhau, Director of Afro Honey Guide.

Clement Mukwasi President of the Employers Association for Tourism and Safari Operators also echoed the same sentiments arguing that the rates are reasonable and competitive.

The legendary and breathtaking Mosi-oa-Tunya remains a major drawcard and the most-visited gem in the country, with a total of 357 552 tourists having visited the waterfall in 2019, representing a 5.6% increase compared to 338 472 recorded in 2018. ZBC

Source: ZimParks Hikes Vic Falls Entry Fees (04/02/20)