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Harare - Zimbabwe is targeting a 69% increase in foreign direct investment on the back of policy measures introduced in the 2015 budget.
Presenting an overview of the state of the economy at a workshop last week, Permanent Secretary in the Finance Ministry Willard Manungo said FDI in 2015 is projected to increase to US$591m from $349m in 2014, on the back of continued implementation of the ease and cost of doing business reforms.
News agency Financial Express quoted Manungo as saying the government has to redouble its efforts in growing the economy and seeking alternative sources to boost economic activity.
The move by government comes on the back of increasing realisation by all stakeholders that the country desperately needs FDI if the economy is to recover.
READ: Mugabe back from leave as Zim woes deepen
Zimbabwe’s economy is currently in the doldrums, and the ministry of finance has revised revenue projections made less than two months ago.
In his budget presentation made in November last year, Finance Minister Patrick Chinamasa had forecast 2015 revenues of $4bn, but has since made a downward revision to $3.55bn as the economy continues to slow down.
The economy’s downward spiral has also affected countries that trade with Zimbabwe, with the country’s 2014 import bill dropping to $6.37bn from $8bn in 2013.
READ: SA exports $2.5bn worth of goods to Zim
Aggregate demand in the country has continued to fall amid company closures and non-payment of salaries.
This has seen big retailers like OK Zimbabwe recording year-on-year internal inflation of -5.6% (half-year 2014) against official December 2014 inflation of -0.80%.
READ: SABMiller Zim sales hit by flatlining economy
It remains to be seen if these reform measures will be enough to stimulate the economy as investor appetite for the country continues to wane.
Presenting an overview of the state of the economy at a workshop last week, Permanent Secretary in the Finance Ministry Willard Manungo said FDI in 2015 is projected to increase to US$591m from $349m in 2014, on the back of continued implementation of the ease and cost of doing business reforms.
News agency Financial Express quoted Manungo as saying the government has to redouble its efforts in growing the economy and seeking alternative sources to boost economic activity.
The move by government comes on the back of increasing realisation by all stakeholders that the country desperately needs FDI if the economy is to recover.
READ: Mugabe back from leave as Zim woes deepen
Zimbabwe’s economy is currently in the doldrums, and the ministry of finance has revised revenue projections made less than two months ago.
In his budget presentation made in November last year, Finance Minister Patrick Chinamasa had forecast 2015 revenues of $4bn, but has since made a downward revision to $3.55bn as the economy continues to slow down.
The economy’s downward spiral has also affected countries that trade with Zimbabwe, with the country’s 2014 import bill dropping to $6.37bn from $8bn in 2013.
READ: SA exports $2.5bn worth of goods to Zim
Aggregate demand in the country has continued to fall amid company closures and non-payment of salaries.
This has seen big retailers like OK Zimbabwe recording year-on-year internal inflation of -5.6% (half-year 2014) against official December 2014 inflation of -0.80%.
READ: SABMiller Zim sales hit by flatlining economy
It remains to be seen if these reform measures will be enough to stimulate the economy as investor appetite for the country continues to wane.
