Inflation at 1281%

The total collapse of the Zimbabwe economy is getting closer. With the inflation now at 1281% President Robert Mugabe's regime is breaking down. The army and police are disintegrating, waves of strikes; power blackouts and breakdown of every essential service are part of the daily life.

Mr Mugabe finds himself locked in a vicious circle. It takes only a few weeks for the value of every pay rise given to civil servants to be wiped out. But the bankrupt regime can only cover the cost of further wage rises by printing money – which fuels inflation still further and creates pressure for yet more pay increases.

It’s very sad to see what used to be one of Africa’s most prosperous countries being mishandle by one person who believes it all comes down to the legacy of white minority rule.