Zimbabwe’s Finance Minister Mthuli Ncube has forecasted the country’s economy to grow by 6% in 2025, surpassing the regional average, as recovery from last year’s drought gains momentum. The optimistic projection was announced during his mid-term budget speech delivered to lawmakers in the capital, Harare.
Strong Agriculture and Commodity Prices Drive Growth
Minister Ncube attributed the anticipated growth to a rebound in agriculture due to favorable weather conditions and stable commodity prices. “Given the positive economic developments from January to June, we are confident that the projected 6% growth outlined in the 2025 national budget is achievable,” he stated.
Key sectors, including mining, energy, and manufacturing, are also expected to contribute to the expansion, supported by improved electricity generation, exchange rate stability, and deflationary trends.
Regional Growth Revised Downward
While Zimbabwe’s outlook appears robust, sub-Saharan Africa faces a slowdown. The region’s growth projection has been revised downward from 4.2% (October 2024) to 3.8%, due to adverse weather shocks, weaker global demand, declining commodity prices, and tighter financial conditions.
Ncube acknowledged external risks, including rising trade tariffs and geopolitical tensions in Europe and the Middle East, which could impact global markets. However, he expressed confidence in Zimbabwe’s domestic resilience.
Challenges Remain Amid Optimism
Despite the positive forecast, Zimbabwe’s economy continues to navigate challenges, including fluctuating mineral prices and a subdued global economic environment. Analysts will closely monitor whether the projected growth materializes, particularly if agricultural output meets expectations.
As Zimbabwe moves into the second half of 2025, the government’s ability to sustain macroeconomic stability will be critical in achieving its ambitious targets.
