Zimbabwe poised for economic prosperity





HARARE – Government remains positive that its Vision 2030 will be met despite the ravaging impact of the COVID-19 pandemic that has seen Zimbabwe go through lockdowns and reduced the number of productive hours.

In a State of the Nation Address, President Emmerson Mnangagwa called on Zimbabweans to remain vigilant in the fight against COVID19 pandemic.

“This pandemic and the constraints, insecurity and anxieties it has brought along will surely end. Let us not despair, Zimbabwe is rising. Together we will cross the finish line and achieve Vision 2030,

“Through the rapid implementation of the National Development Strategy 1, and buoyant agriculture and mining sectors; we remain positive about the prospects of notable economic growth in 2021,” he said.

President Mnangagwa also reiterated the need to maintain the prevailing economic stability which can be attributed to the foreign currency management system the Dutch Auction System.

“To date, our flourishing progress has seen stability of the foreign exchange rate and prices of our goods and services.

“As a responsible and patriotic people, I urge all of us, across all economic spectrums, to persistently play our part in maintaining this stability, for a better quality of life for all.

“The current agriculture season is promising to result in a bumper harvest and food self-sufficiency, with provinces having received above normal rainfall.

“We are also consolidating our export and bilateral investment promotion strategies given the enhanced economic integration under the Africa Continental Free Trade Area.”

The current rains have given many Zimbabweans hope including many Zimbabwe Stock Exchange listed companies with Ariston Holdings in their trading update projecting increased volumes on the basis of a good agricultural season.

“During the period, tea production volumes increased from 821 tonnes to 941 tonnes due to more favorable weather patterns compared to prior years. While the harvesting of mature macadamia which began in March, though lower is a good indicator, allowing greater production at maturity.

“Normal to above normal rainfall is predicted for the rest of the year and has seen a favorable climatic condition which has seen Tea volumes rise 941 tonnes from 821 tonnes and a 65 percent jump in banana production,” said Ariston.

OK Zimbabwe also anticipates a good agricultural season which the group projects will give “the company projects further growth against the background of a good agricultural season which is anticipated to result in improved local availability of products, consumer spending power and consumption.”

According to analysts with the agricultural season looking promising on the back of good rains which will help the Government save foreign currency to import food and direct resources to import raw materials for industry and the GDP growth projection is attainable.

In 2021, the government has projected economic growth of 7.4% with the implementation of NDS1 while World Bank’s flagship report the Global Economic Prospects 2021 report forecast a 2.9% growth this year.

Growth this year will be anchored by agriculture and mining, which forecast to grow by 11.3% and 11% respectively.

Zimbabwe generates the bulk of its foreign currency earnings from exports of tobacco, gold and platinum.

The key sectors such as agriculture and mining have been treated as essential sectors which remain open in lockdowns, which should provide the needed impetus for economic growth.