IMF revises Zim’s growth forecasts upwards | Fin24
 
  • Labour trends

    Here's where you're most likely to find a job.

  • High returns

    SA's dagga belt could bring high returns for horticulture, says Wandile Sihlobo.

  • State capture

    8 things to know about Gordhan's first day at the state capture inquiry.

Loading...

IMF revises Zim’s growth forecasts upwards

Oct 11 2017 10:39
Malcom Sharara

Harare -  The International Monetary Fund (IMF) has revised Zimbabwe’s growth forecasts upwards, saying the new growth projections are anchored by the agricultural and mining sectors.

In its October 2017 World Economic Outlook, entitled Seeking Sustainable Growth - Short-Term Recovery, Long Term Challenges, the IMF said Zimbabwe’s economy is now expected to grow by 2.8% - up from earlier projections of 2%.

The IMF’s growth projections are however still below what the Zimbabwean government expects to achieve this year.

In March this year, Zimbabwe revised its 2017 GDP growth rate to 3.7% from 1.7% on the back of an expected bumper maize harvest.

Former finance and economic development minister Patrick Chinamasa said at the time that the revision in growth projections was on the back of prospects of a bumper harvest this farming season.

“This good harvest, anchored on Command Agriculture expected this year, would spur economic growth,” said Chinamasa. More than 1.1 million metric tonnes have since been delivered to the Grain Marketing Board, which is mandated to buy all maize output from farmers and is paying $390 per tonne.

The IMF is however forecasting the country’s growth prospects to go down in coming years.

“Zimbabwe’s medium-term growth is expected to recede, and is projected to decline to 0.8% next year and  a negative 0.9% come 2022."

Inflation is expected to rise and close the year at 7% this year, and 9.5% next year.

imf  |  zimbabwe  |  growth  |  africa economy
NEXT ON FIN24X

 
 
 
 

Company Snapshot

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

Was Momentum fair when rejecting R2.4m insurance claim?

Previous results · Suggest a vote

Loading...