An Analysis Of The Implications Of The Bretton Woods Institutions In Southern African Economies In The Twenty First Century; The Case Of Zimbabwe

Abstract

The purpose of this research was to investigate the implications of the Bretton Woods

Institutions in Southern African economies in the twenty first century using Zimbabwe as a

case study.Limited information has been availed regarding the implications of the IMF and

WB operations in Zimbabwe and it is the role of this research to fill the void by analyzing

various researches and spell it out clearly.The WB and IMF are the two most powerful

institutions in global trade.The twenty first century witnessed ailing economies in Southern

African countries for example Mozambique,Zambia,Kenya and Zimbabwe.The research

made use of the qualitative data collective technique which was subjected to intervene data

analysis with various sources of documentary identified.The research findings established

that WB prescriptions caused devastating impact to the economy of Southern African

Countries.Zimbabwe adoped the ESAP to readdress the economic challenges in 1991,rather

ESAP prescriptions had effects to the country’s social service and educational services

amongst others.Manufacturing sector collapsed thereby retrenchment became the order of the

day. The study concluded that most of the SADC countries including Zimbabwe's economies

still reflect the colonial imbalances and the government still has a notion and obligations to

pursue policies that seek to achieve fairness and equality.The prescription to retrench the civil

service meant that the previously disadvantaged blacks would suffer most as they were the

majority employed by the government and the indirect costs would also be great. A reduction

in subsidies also failed to take into consideration the historical disadvantages or

discrimination of the blacks by the whites. Most of the blacks had little access to health and

education, hence subsidies were considered an affirmative action to achieve equity and

equality since the majority blacks would also access health and education facilities for free.

The study concluded for intense historical study by both the IMF and the WB on one side and

the loan facility receiving country on the other side and for the IMF and the WB to prescribe

policies that also intend to achieve equity and equality in economic growth.It was also noted

that public consultation should take part in implementing policies.Matters of governance are

also of greater importance to note for countries with weak institutions should be supported

and strengthened to assist them when implementing WB and IMF policies.