Manufacturing output in Zimbabwe plunged 28% in 2007 following an 18% decline in 2006, the Confederation of Zimbabwe Industries said, releasing the results of a survey of firms.
The Confederation some firms have almost halted production. Around 60% of responding firms reported capacity utilization under 35%, with 13% running under 15% of capacity.Confederation President Callisto Jokonya cited price controls, shortages of foreign exchange and raw materials, and the lack of international credit lines as culprits in the decline.
Jokonya estimated that it would take US$ 7billion to relaunch Zimbabwe's economy.The only good news, Jokonya told reporter Patience Rusere of VOA's Studio 7 for Zimbabwe, is that remittances from the diaspora are keeping many companies going.
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