馃嚳馃嚰ZimbabweSouthern Africa
Zimbabwe's 2025 GDP growth driven by price increases, not production volume
via NewsDay Zimbabwe9 min read
Zimbabwe's economy in 2025 showed a nominal GDP of ZiG 448 billion in Q4, nearly triple the ZiG 142 billion in Q1 2024. However, this apparent growth is largely due to price increases rather than actual production volume. Real, inflation-adjusted growth for the year was in the single to low double digits, while prices for output increased by approximately twenty times compared to the 2023 base year. The Zimbabwe Gold ZiG currency, introduced in April 2024, has not achieved price stability, with the deflator surging from near 100 in 2023 to 2,347 by Q4 2025. This indicates that roughly 95 cents of every ZiG in the 2025 nominal GDP reflects price inflation, not new production. Key sectors contributing to real growth include agriculture, which rebounded significantly from a negative 2024, and information and communication, showing steady expansion in digital services. Transportation and storage also saw growth, mirroring the agricultural recovery. Construction experienced a volatile year, with a strong rebound in the second half, possibly due to delayed projects. Electricity generation also improved. However, sectors like water supply, sewerage, and waste management contracted throughout the year, signaling chronic underinvestment. Mining and quarrying showed volatility, while wholesale and retail trade, reflecting household consumption, grew modestly, barely keeping pace with population growth. Manufacturing showed positive momentum but from a fragile base. Financial and insura
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This summary was AI-generated from a story originally published by NewsDay Zimbabwe.
Must ReadThe Zimbabwean government is increasing efforts to repatriate its citizens affected by xenophobic attacks in South Africa. The Ministry of Local Government and Public Works, in collaboration with the Ministry of Foreign Affairs and International Trade, is coordinating the repatriation. The initiative focuses on ensuring the safe return of affected citizens, providing assistance such as food, temporary shelter, and transport from South Africa to reception centers in Zimbabwe. The government has activated its Emergency Fund and is engaging with over five humanitarian organizations, development partners, non-governmental organizations, church groups, and the private sector to bolster the response. Government departments at border entry points have also been activated to receive and facilitate the reintegration of returnees. The ministry has called for additional support from all stakeholders, emphasizing a "whole-of-government and whole-of-society approach" for this humanitarian cause. The number of Zimbabweans expected to return and specific details of the incidents in South Africa were not provided.
Must ReadZimbabwe aims to achieve US$1.56 billion in tourism revenue by 2026. The country is also seeking to boost its climate recovery efforts with a US$25 million initiative and is exploring membership in the AIIB for infrastructure funding, particularly in the energy sector. Additionally, Zimbabwe is looking to expand rabbit exports to African markets and is working on digitizing the Deeds Office to accelerate property transactions. Political tensions are noted, with concerns about Zanu PF's influence and a potential referendum. The ADF has urged South Africa to cease support for Zanu PF.
Must ReadZimbabwe is targeting a tourism revenue of US$1.56 billion by 2026. Other news includes political developments such as a Supreme Court declaration regarding a divorce consent dispute, discussions around the Constitution of Zimbabwe Amendment Bill No. 3 2026, and alleged financial power usage by Zanu PF to advance a one-party state agenda. Economic initiatives include an ambassador backing a rabbit export drive to African markets, a US$25 million climate recovery boost, and efforts by Ncube to secure infrastructure funding from AIIB. Social issues like political tensions leading to violence and forced evictions are also reported. Additionally, there are calls for Zimbabweans in South Africa to take precautions due to xenophobia, and an urge for South Africa to cease support for Zanu PF.