HARARE, May 15, 2011- Reserve Bank of Zimbabwe (RBZ) Governor Gideon Gono says the country's economy is still recovering and cannot sustain an election, The Sunday Mail reported.

"In deciding when and whether or not to hold elections, a fine balance may need to be struck between the twin objectives of politics and the economy," Gono told The Sunday Mail which always reflects political views of former ruling party, Zanu (PF).

"Key is to be decisive and not leave the economy in a state of guesswork for far too long. Zimbabwe is not the only destination crying for investment in a world not yet fully recovered from the global financial crisis," he said."Put differently, the economy favours no elections for now while political dynamics and imperatives may favour or dictate otherwise," he added.

Zimbabwe's economy has shown signs of recovery since President Robert Mugabe and Prime Minister Morgan Tsvangirai formed a power-sharing government in 2009.That pact was aimed at ending deadly political violence sparked by their presidential run-off election in 2008.Although no dates have been set, Mugabe and his party have said elections should be held this year, while Tsvangirai and his MDC-T party want reforms to ensure a level playing field before the polls.

Finance Minister Tendai Biti has indicated that the country cannot afford to hold elections, with election officials saying they would cost $400 million (285 million euros) to conduct