Political Risk

The ruling ZANU-PF party controls all the levers of power but its behaviour continues to appear paranoid.

President Mbeki's State of the Nation speech was upbeat, but honest enough to detail the serious challenges facing the country.

Local elections on March 1 will generate another convincing ANC victory.

Economic progress is putting strain on the until political paradigm.

The economy has slowed, but is still performing well. However, unemployment is a problem, and is exacerbated by the number of immigrant workers.

The political situation is expected to deteriorate during 2006.

One of the major long term risks to growth and, to a lesser extent, political and social stability is HIV/AIDS. Given the length of time that victims may be unaware of their infection,... 2005-12-16

Factional divisions within the ruling ANC have not been resolved despite efforts by the party hierarchy.

The MDC is on the verge of splitting over the issue of participation in the forthcoming senatorial elections.

The ruling ZANU-PF party is only held together by the lure of access to patronage and fear of the security forces.