Harare – Latest figures from the International Monetary Fund projects Zimbabwe’s economy to grow by 3.6 percent this year ascending from the 2.4 percent which it earlier projected in April.
According to figures available in the October 2018, World Economic Outlook Report Zimbabwe’s economy will grow by 3.6 percent this year, then 4.2 percent next year and is expected to reach 5 percent by 2023.
All the figures projected by the international lender are way below the 6.3 projected for this year by the new Finance Minister Mthuli Ncube.
Addressing delegates and members of the media after the monetary policy presentation by RBZ governor Dr John Mangudya, Ncube said Zimbabwe’s economy is expected to grow by more than six percent against the original Budget projection of 4.5 percent and 4.8 percent estimated for 2017, driven mainly by agriculture and mining.
“With this projected growth Zimbabwe will join the “6 percent club” of African countries growing at more than 6 percent per annum.
However, Ncube said the quality of the growth, which is primarily being driven by two sectors of agriculture and mining is obviously not inclusive.
“Moreso, the growth trajectory faces risks and challenges which are related but not limited to foreign currency and cash shortages, unsustainable high budget and current account deficits, emerging inflation pressures, slow moving re-engagement process; infrastructure deficiencies; and weak social service delivery,” he said adding that these challenges call for urgent reforms.
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