The aim for Zimbabwe is to attain a growth rate of at least 5% per annum till 2025. The Zimbabwean economy has been growing by an average of 5.6% between 2009 and 2022 which is higher than its regional neighbours as per the World Bank Country Statistics. The average growth rate (13.4%) for the period between 2009 and 2013 is 12.9 percentage points higher than that of the period between 2018 and 2022, with part of the difference being attributed to the advent of COVID-19 in 2020 and a relatively volatile macroeconomic environment in the latter period. With macroeconomic and political stability, growth rates of at least 5% per annum are achievable. The Agenda 2030 is targeting to attain an upper-middle-income society by 2030 with a GNI per capita between US$4,046 and US$12,535 (2021). Zimbabwe recorded a GNI per capita of US$1,530 in 2021, implying a lower-middle-income economy in the current state. The policymakers are hopeful of an Asian Miracle.

The recent (04 March 2024) Executive Order (E.O.) by the President of the United States of America (U.S.A.) terminating the national emergency concerning the situation in Zimbabwe marks a significant shift in U.S. policy towards the Southern African nation. The move, which revokes previous E.O.s dating back to 2003, including sanctions on certain individuals and entities, opens up new possibilities for Zimbabwean businesses, investment, trade, and international relations. However, it also raises important questions about the future direction of Zimbabwean-U.S. relations and the potential for Zimbabwe to emerge as a growth hub for Southern Africa.

Celebrating 129 years of existence this year, the Zimbabwe National Chamber of Commerce (ZNCC) has played a pivotal role in bolstering businesses, fostering economic progress, and nurturing community advancement since its establishment in 1894. For more than a century, ZNCC has served as a reliable pillar of support, empowerment, and advocacy across diverse sectors of the economy.

The economic landscape in Zimbabwe is currently undergoing a transformative period, shaped not only by the strategies outlined in the National Development Strategy I (NDS1: 2021-2025) but also by the urgent need to address the critical skills gap. During the recent Zimbabwe National Chamber of Commerce Business Agenda on Friday, the Minister of Skills Audit and Development, Prof. Paul Mavima, emphasized the significance of a comprehensive and regular analysis to identify and bridge this skills gap. This initiative aligns with global efforts as, in 2022, the International Labour Organization collaborated with the Government of Zimbabwe and various partners, including the private sector and civil society, to develop a Horticultural Sector Skills Strategy. This strategy, being piloted in the horticultural sector, recognizes the disconnect between what educational institutions produce and the industry's actual requirements.

Mrs Marah Hativagone – Managing Director, Codchem & Past President, ZNCC

In pursuance of further studies, Mrs. Marah Hativagone had to quit her job after six years. The tax regime at that time drove her out of employment as the pay-as-you-earn (PAYE) was 56%. She sold her car which helped her raise start-up capital and she started selling quite a variety of consumer goods. Later on, she would supply government hospitals with bandages. As water was a challenge, she drilled a borehole at her home and started to grow nursing plants which she would supply in and around Harare. Thus, at one point in time, she would have four to five projects running including commuting the public to and from Chitungwiza.

An informal economy (informal sector or shadow economy) is the part of any economy that is neither taxed nor monitored by any form of government. Although the genesis and significant rise in informality in Zimbabwe dates back to 1991 when the country adopted and implemented the Economic Structural Adjustment Programme (ESAP), the informal economy has been on the rise, and the fast-track land reform program of 2000 which triggered the closure of some owned foreign-owned enterprises across various economic sectors added to the growth of informality over the years. The informal sector in Zimbabwe is indeed a “pool” of entrepreneurial talent that can be harnessed to fuel economic growth. The COVID-19 pandemic has seen a rise in the informal sector as people have struggled to eke out a living. The table below presents some stylized facts about Zimbabwe’s informal economy.

Many government support programs and business strategies often fail on the road between conceptualization and reaching their targets if they are not designed well. This can stem from a variety of reasons, from insufficient targeting to firms’ real pain points the design of overly complex deployment channels which become access barriers to the most vulnerable groups, or the lack of coordination and follow-up between different measures and existing policy elements. The implementation of policy positions has been one of the greatest challenges for Zimbabwe despite the availability of well-documented targets and end goals.