Zimbabwe is "closer than ever to complete collapse" due to an economic crisis that threatens to destabilise southern Africa, according to a report published today.
"Four out of five of the country's twelve million people live below the poverty line and a quarter have fled, mainly to neighbouring countries," the International Crisis Group (ICG) report said.
"A military-led campaign to slash prices has produced acute food and fuel shortages, and conducting any business is becoming almost impossible."
The ICG called on the Southern African Development Community (SADC) group of nations to overcome internal divisions and focus on ways to persuade Zimbabwean President Robert Mugabe to step down.
"SADC must resolve internal differences about how hard to press into retirement Robert Mugabe . . . and the wider international community needs to give it full support," the Brussels-based think tank said in a report.
SADC has launched an initiative led by South African President Thabo Mbeki aimed at mediating between Mugabe and Zimbabwe's opposition in the hope of reaching a political solution there.
Mugabe, in power since independence in 1980, accuses the main opposition Movement for Democratic Change and Western foes of sabotaging Zimbabwe's economy and plotting to oust him.
He denies accusations that he has hurt the economy with policies like seizing white-owned farms for landless blacks.
Mugabe faces few political challenges as his opponents are weak and divided, and international efforts to isolate him have had little impact, analysts say.
"Western sanctions - mainly targeting just over 200 members of the leadership with travel bans and asset freezes - have proven largely symbolic," said the ICG.
"And general condemnations from the UK and US if anything (are) counterproductive because they help Mugabe claim he is the victim of neo-colonial ambitions."