Adequacy of Citizen Engagement in the 2019 Fiscal Policy Development Process in Harare, Zimbabwe

Abstract

The key objectives of this research were to establish the adequacy of citizen engagement which was done in the 2019 fiscal policy development process in Zimbabwe and to examine Zimbabwe’s state of preparedness in successfully implementing austerity measures as an economic policy. It also sought to establish alternative fiscal policy thrusts that the government can focus on outside austerity measures. The study population consisted of citizens of productive age operating in Glenview 8 Manufacturing Industries, Harare. To meet these objectives, wide literature review was conducted, in-depth interviews with experts in the sector like renowned economists, and a survey was undertaken. A total of 600 questionnaires were distributed to sampled entrepreneurs working in the Glen View 8 Furniture Industries. Of these, a total of 506 questionnaires were retuned, giving a response rate of 84%. The research established that the government of Zimbabwe fell short in the quest to fulfil the principles of citizen engagement in fiscal policy formulation as stipulated by the International Monetary Fund (IMF) through what are known as the Global Initiative for Fiscal Transparency (GIFT) Principles. With regards to these core principles only 5% of the citizens operating in Glenview 8 Complex felt this is respected by the government. The research further established that Zimbabwe is not ready and prepared to successfully implement austerity measures, especially as there are high levels of mistrust of government among the citizens, and general lack of confidence in the system. 77% of the study population felt that austerity is a good policy on paper, but the leadership in Zimbabwe is the key challenge. Only 7% of the participants actually felt austerity measures represent a good policy thrust in Zimbabwe, and only 8% of the people felt it is better for people to suffer now through austerity as government prepares for a better future. The research established four key alternative fiscal policy thrust that government can take to revive the economic fortunes of the country, among them, solving the political question and restoring public confidence in the leadership. The research recommends that government need to explore alternative ways of promoting citizens of productive age’s participation in fiscal policy making processes like digital based consultation processes, invest in the restoration of public confidence in community engagement processes so that people see value in participation, solve the political question in Zimbabwe through political dialogue and lastly explore alternative fiscal policy thrusts beyond austerity.