(1) any extension by the respective institution of any loan, credit, or guarantee to the government of Zimbabwe; or
(2) any cancellation or reduction of indebtedness owed by the government of Zimbabwe to the United States or any international financial institution.
Since ZDERA was passed in 2001, Washington has blocked all lines of credit, development assistance and balance of payment support from international lending institutions to Zimbabwe.
When the act was passed, then US president George W. Bush declared his hope that “the provisions of this important legislation will support the people of Zimbabwe in their struggle to effect peaceful democratic change, achieve economic growth, and restore the rule of law.” 
Since effecting peaceful democratic change meant ousting the Zanu-PF government and restoring the rule of law meant forbidding the uncompensated expropriation of white farm land, what Bush was really saying was that he hoped the legislation would help overthrow the government and put an end to fast-track land reform.
ZDERA was co-drafted by one of the opposition MDC’s white parliamentarians, and introduced as a bill in the US Congress in March of 2001 by the Republican senator, William Frist. The legislation was co-sponsored by the Republican rightwing senator, Jesse Helms, and the Democratic senators Hilary Clinton (now Secretary of State), Joseph Biden (now Vice-President) and Russell Feingold.
Helms died in early July, 2008. He denounced the 1964 Civil Rights Act, was a spokesman for the tobacco industry and was a slum landlord. He opposed school bussing, compensation for Japanese Americans and Communists. He complained that public schools were being used “to teach our children that cannibalism, wife-swapping, and the murder of infants and the elderly are acceptable behavior.”  Helms was also fond of sanctions. He co-authored the Helms-Burton Act of 1996, which tightened the blockade on Cuba.
The MDC had always been reluctant to admit that sanctions had crippled Zimbabwe’s economy, and more reluctant still to call for their removal. This is to be expected. In opposition, the MDC’s goal was to blame the government for the country’s economic difficulties. If it could do so convincingly, and at the same time persuade voters it could do a better job, it chances of prevailing at the polls would increase accordingly. Likewise, if it refused to add to the pressure on Western governments to lift sanctions, and even encouraged Western governments to maintain or escalate them, the government would remain burdened with the political liability of an ailing economy. But times have changed. The MDC has formed a coalition government with Zanu-PF, and the MDC controls the finance ministry. Sanctions are no longer in the party’s interest, and the MDC has, as a consequence, changed its tune. Not only does it now acknowledge ZDERA, the finance minister, Tendai Biti, complains about it bitterly.
“The World Bank has right now billions and billions of dollars that we have access to but we can’t access those dollars unless we have dealt with and normalized our relations with the IMF. We cannot normalize our relations with the IMF because of the voting power, it’s a blocking voting power of America and people who represent America on that board cannot vote differently because of ZDERA.” 
As bad as ZDERA is, it’s not the only sanctions regime the United States has used to sabotage Zimbabwe’s economy. Addressing the Senate Foreign Relations African Affairs Subcommittee, Jendaya Frazer, who was George W. Bush’s top diplomat in Africa, noted that the United States had imposed financial and travel restrictions on 135 individuals and 30 businesses. US citizens and corporations who violate the sanctions face penalties ranging from $250,000 to $500,000. “We are looking to expand the category of Zimbabweans who are covered. We are also looking at sanctions on government entities as well, not just individuals.” She added that the US Treasury Department was looking into ways to target sectors of Zimbabwe’s critical mining industry. 
On July 25, 2008 Bush announced that sanctions on Zimbabwe would be stepped up. He outlawed US financial transactions with a number of key Zimbabwe companies and froze their US assets. The enterprises included: the Zimbabwe Mining Development Corporation (which controls all mineral exports); the Zimbabwe Iron and Steel Company; Minerals Marketing Corporation of Zimbabwe; Osleg, or Operation Sovereign Legitimacy, the commercial arm of Zimbabwe’s army; Industrial Development Corporation; the Infrastructure Development Bank of Zimbabwe; ZB Financial Holdings; and the Agriculture Development Bank of Zimbabwe. 
In early March 2009, Obama extended sanctions for another year, announcing that,
“The crisis constituted by the actions and policies of certain members of the government of Zimbabwe and other persons to undermine Zimbabwe’s democratic processes or institutions has not been resolved. These actions and policies pose a continuing unusual and extraordinary threat to the foreign policy of the United States.” 
It would be more accurate to say that US sanctions pose a continuing unusual and extraordinary threat to the economy of Zimbabwe.
Topping off the falsehoods in Obama’s speech was his assurance to Africans that “African-Americans…have thrived in every sector of (US) society.” This is nonsense. Income, employment, education and opportunity are profoundly unequal in the United States, and inequality is inextricably bound up with race. The per capita income of blacks in the United States is 40 percent lower than that of whites. One in four blacks live in poverty, compared to eight percent of whites. The proportion of blacks without health insurance is twice that of whites.  And the official seasonally adjusted unemployment rate for blacks in June 2009 was almost twice as high as the jobless rate for whites. 
The degree to which blacks haven’t thrived is evident in who languishes in the country’s jails. While the United States has only five percent of the world’s population, it has one-quarter of the world’s prisoner population, and US prisoners are disproportionately black. One-third of black males born in 2001 are expected to be imprisoned at some point in their lifetime, compared to six percent of white males.  Poor, unemployed, without health insurance and in prison. That’s hardly thriving.