Finance Minister Mthuli Ncube predicted on Friday that Zimbabwe’s GDP may grow by 6% this year, up from a previous estimate of 3.8% growth, due to a strong performance in agriculture and the reduction of power shortages.
We believe that the 3.8% growth rate is insufficient. “The growth should be closer to 6%,” Ncube stated in a web-based briefing.
According to a cabinet statement published this week, the government anticipates a maize harvest of 2,3 million metric tons, a 58% increase over the previous season as a result of favorable precipitation.
This week, our primary objective was to recognize the 54% growth in the agriculture industry, at least in the cereals sector. Ncube remarked that the non-food industry is expanding at a rate of 35%.
The minister added that increased energy output at the Hwange coal plant and Kariba hydroelectric facility could be helpful.
He dismissed concerns that the impending election would lead to excessive government spending and instead reaffirmed the November forecast that the budget deficit would reach 1.5% of GDP.
