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African News

Price Cuts Throw Zimbabwe Into Chaos

Sunday, July 01, 2007 11:59:13 AM
By ANGUS SHAW

Zimbabwe President Robert Mugabe attends the opening ceremony of the African Union summit in Accra, Ghana Sunday, July 1, 2007. More than 30 heads of state gathered in Ghana's capital Sunday to debate a pan-African government and to discuss a joint U.N.-African peacekeeping force in Sudan's Darfur region. On the sidelines of the summit, South African President Thabo Mbeki is expected to report on the progress of his attempt to mediate a solution in Zimbabwe. (AP Photo/Olivier Asselin)HARARE, Zimbabwe (AP) - Inspectors and police raided stores Sunday to enforce sweeping price cuts imposed to curb Zimbabwe's soaring inflation, while shoppers fought over rapidly disappearing staples at supermarkets.

At least 20 business executives were arrested over the weekend for hoarding goods and violating the government's order last week to slash prices of most products by half, the official Sunday Mail reported. Gasoline prices were ordered reduced by 70 percent, and stations quickly ran dry.

Store managers have complained they were being forced to sell goods at lower than cost.


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