‘Zimbabwe economy moves into growth stage’

GOVERNMENT is gearing to move into the second phase of the implementation of the Transitional Stabilisation Programme (TSP) which is aimed at increasing productivity and poverty reduction.

To achieve Vision 2030, Government introduced the TSP, which set a solid foundation to bring about financial discipline, inclusive economic growth and sustainable socio-economic development.

The programme was implemented from 2018 and will run until 2020 laying the foundation for two five-year national development plans that will see the attainment of Vision 2030, of making Zimbabwe an upper middle income economy.

Speaking at a TSP and national peace building workshop held in Mutare on Monday, chief director in the Ministry of Finance and Economic Development Mr Clive Mphambela said austerity measures under the first phase of TSP are now being relaxed as they have largely achieved their purpose, with the economy now poised for growth under the second phase.

“TSP is a two-year programme so what we did was to implement all the hard measures in the first year. That is why we are saying phase one is over which was the phase of hard austerity making the painful reforms and adjustments to the economy,” he said.

The chief director said the second phase of TSP will focus on to transitioning from austerity to stimulating production and productivity, jobs creation and competitiveness.

“The 2020 National Budget has put in place various measures and interventions to stimulate production in all sectors of the economy including agriculture, mining, manufacturing, tourism and construction and housing.

“The country’s economic outlook in 2020 and beyond is upbeat with prospects for a growth of 3 percent in 2020, recovering from a contraction of about 6,5 percent in 2019,” he added.

Officiating at the same event, Minister of State for Manicaland province Dr Ellen Gwaradzimba applauded developmental projects accomplished under Government’s first phase of the TSP.

“The austerity measures were meant to come up with alternatives aimed at enabling economic growth and it is good news that we were able to accumulate revenue meant to address economic challenges.

“Government was able to employ more teachers and also managed to pay off some debts to the International Monetary Fund (IMF),” she said.

She also urged people in the province to play their part in contributing towards economic growth under devolution as we enter into the second phase of  TSP. – Manica Post