Tsvangirai sworn in as Zimbabwe PM

HARARE, Wednesday

Zimbabwe's opposition leader Morgan Tsvangirai was sworn in as prime minister on Wednesday under a power-sharing deal with President Robert Mugabe.

Tsvangirai, 56, who won a first round presidential poll against Mugabe last year but boycotted a subsequent runoff over electoral violence, took the oath of office administered by Mugabe at a ceremony in Harare.

The two agreed to share power last year after elections condemned around the world, but their mistrust and continued disagreements held up implementation and have raised questions over how well they will be able to work together.

Implementation of the power-sharing deal only came after increased pressure from southern African countries, fearing a total meltdown in once-prosperous Zimbabwe.

Mugabe, in power since independence from Britain in 1980, is one of Africa's craftiest political operators. Tsvangirai is a former trade union leader known for fiery speeches, but his leadership skills in government remain untested.

Zimbabweans hope the new government will bring policies to revive a country suffering hyper-inflation, unemployment above 90 percent, food shortages and a cholera epidemic that has killed nearly 3,500 people.

"Expectations are high for Tsvangirai, who will carry the burden of rebuilding the economy, but people will have to be a bit more patient because they will be disappointed," said John Robertson, a leading economist.

Diplomats and dignitaries gathered for Tsvangirai's swearing-in ceremony, due at 0900 GMT. He will deliver an inaugural speech at 1100 GMT.

Movement for Democratic Change (MDC) leader Tsvangirai said on Tuesday he would focus on creating economic stability and attracting foreign investment, not an easy task given the global financial crisis and the fact that Western donors remain wary over the deal with Mugabe.

Central bank governor Gideon Gono on Tuesday backed adopting South Africa's rand as an anchor for the virtually worthless Zimbabwean dollar, an idea floated by South African President Kgalema Motlanthe.

It was not immediately clear how this would work, or whether South Africa's central bank would agree to the move, and Gono stressed a link could not be implemented immediately, Zimbabwe's state-owned Herald newspaper said.

Tsvangirai will also need to reverse a crippling brain drain after skilled workers fled Zimbabwe and its shattered economy in droves, mostly for neighbouring South Africa or Britain.

Refugees at a shelter in Johannesburg, who rank among more than 3 million Zimbabweans living in South Africa, were sceptical about a quick recovery and in no hurry to head home.

"You can't talk about a unity government today and see it work tomorrow," Peter Dzingayi said at the Johannesburg Central Methodist church, where thousands of Zimbabweans cram into halls to sleep, spilling on to the street outside.