Zimbabwean President Robert Mugabe is celebrating his 85th birthday with a lavish bash while the new unity government tries to raise funds to rescue the country's collapsed economy, according to reports.

But Prime Minister Morgan Tsvangirai has decided not to attend the celebrations in Chinhoyi, 100 kilometres northwest of Harare on Saturday, the news agency Associated Press reports.

Tsvangirai's spokesperson James Maridadi says the longtime opposition leader considers Mugabe's party a "private" affair.

The $25 000-bash is taking place the day after Zimbabwe failed to secure a $2-billion economic rescue package from neighboring countries.

Zimbabwe faces the world's highest official inflation rate, a hunger crisis and a cholera epidemic that has killed nearly 4 000 people since August.

Sapa

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