Washington, D.C. – Zimbabwe’s Finance Minister Mthuli Ncube has expressed optimism about the country’s economic future under a potential second term for US President Donald Trump, following the lifting of sanctions by the Biden administration last year.
Speaking in an exclusive interview with The Africa Report on the sidelines of the annual Powering Africa Summit in Washington, Ncube highlighted a series of policy reforms aimed at stabilising Zimbabwe’s economy and improving its global standing.
Among the key developments he pointed to was the long-awaited start of a $3.5 billion compensation package for white commercial farmers who were displaced during Zimbabwe’s controversial land reform programme two decades ago. The compensation, a crucial step in addressing property rights concerns and restoring investor confidence, marks a major milestone in the government’s bid to repair relations with Western nations and attract foreign direct investment.
Ncube also underscored the government’s decision to abolish the death penalty in December 2023, a move seen as part of broader governance and human rights reforms. The abolition has been widely welcomed by human rights groups and could bolster Zimbabwe’s standing in international forums.
Another significant policy shift is the recent introduction of a new gold-backed currency, the Zimbabwe Gold (ZiG), aimed at curbing inflation and stabilising the country’s volatile financial sector. The government hopes that backing the currency with tangible reserves will restore confidence in the monetary system after years of hyperinflation and economic turmoil.
With the US presidential elections looming, Ncube expressed hope that a Trump administration could offer new economic opportunities for Zimbabwe, especially in the areas of trade and investment. Trump’s presidency from 2017 to 2021 was marked by a more transactional approach to foreign relations, which some Zimbabwean policymakers believe could work in their favour in forging new economic partnerships.
Zimbabwe has been under US sanctions since the early 2000s, primarily due to human rights violations and electoral irregularities. However, the Biden administration lifted most of these restrictions in 2024, citing progress in governance and economic reforms. The move has sparked cautious optimism within Zimbabwe’s leadership as the country seeks to reintegrate into the global financial system.
Despite the positive outlook, economic challenges remain. Zimbabwe continues to grapple with high unemployment, external debt, and a fragile exchange rate system. Analysts caution that while recent reforms are steps in the right direction, sustainable economic recovery will require consistent policy implementation and stronger institutional reforms.
As the country looks to the future, Ncube’s optimism reflects a broader ambition within Zimbabwe’s leadership to reposition itself as an attractive destination for investment and trade. Whether this vision materialises will depend largely on the country’s ability to maintain reform momentum and build stronger international alliances.
