Thursday , May 26 2022

The African Development Bank is launching a report on the Zimbabwe economy – New Ethiopia Business


The African Development Bank (AfDB) has launched a leading economic report on Zimbabwe, called "Building a new Zimbabwe: Targeted growth and job creation policies" aimed at supporting renewal and transform the country.

The report is prepared by the Bank Bank's Economic Governance and Information Management Vice President.

The launch was presented in plenary by the Bank's Lead Economist, Ferdinand Bakoup, attended by the Government officials of the country, representatives from the public and private sectors as well as other development partners in the country.

After making eleven read-in chapters, the report is derived from extensive year-to-year research into country, sector and thematic studies to offer economic analyzes and policy recommendations that can help trigger the transformation of Zimbabwe.

Zimbabwe has huge potential due to its generous endowment of natural resources, current stock of public infrastructure, and relatively good human resources. However, in realizing this, prompt action to rectify the financial, rehabilitation of the financial system, and the resolution of arrears to international lenders that would allow resume funding for development, will be required with the World Bank.

The new AfDB report on Zimbabwe provides the current government, the donor community, and the private sector with a detailed assessment of investment opportunities in Zimbabwe. As an analytical work, it also provides other scenarios for infrastructure investment to the year 2030 and identifies sectors for potential investment to ensure sustainable and inclusive growth.

In contributing to the overall efficiency of the development process, the report also offers options to develop a variety of opportunities and, in doing so, helps to fill out the information about the gap on sectoral investment priorities .

Bakoup said Zimbabwe was a generous endowment with natural resources, stock of public infrastructure, as well as a relatively skilled workforce. For it, "this is an unprecedented asset to the country joining existing supply chains in Africa through the African Continent Free Trade Area."

However, he said measures needed to increase productivity of public investment, strengthen the confidence of investors, attract the capital of patients and develop special economic areas to further improve the business climate, and continue to protect macroeconomic stability. "

"I have no doubt that the report can contribute to the overall efficiency of the development
process in Zimbabwe. It will be useful in informing and supporting the government dialogue with donors and the business community for further development of the economic sectors, "said Bakoup further.

The Government approved the timely launch of the report that will help implement the Transitional Stabilization Program and prepare the Medium Term Plan for 2021-2025.

The World Bank report shows that Zimbabwe has digital growth rates soon after dollars in 2009, but growth has declined in 2012 as confidence has begun to significantly reduce and lower the investment-gross domestic product (GDP).

Apart from a higher growth in 2017 of 3.4% (partly due to recovery in agriculture production), up from 0.6 in 2016, the economic growth trend is now about 2% lower than average for Africa Sub-Saharan It is projected to be slow to 2.7% in 2018 partly due to a shortage of liquidity, according to World Bank.

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