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Zimbabwe: 2025 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Zimbabwe

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  • International Monetary Fund

Abstract

After facing significant macroeconomic volatility in recent decades, Zimbabwe has recently experienced a degree of stability thanks to tighter policies. The halting of quasi-fiscal operations and monetary financing by central bank have helped significantly reduce inflation and exchange rate pressures. Growth has recovered as extreme weather shocks subsided, and terms-of-trade significantly improved. But challenges remain from fiscal financing pressures with very limited access to official external financing and the accumulation of domestic arrears, low monetary policy credibility, a highly dollarized monetary system, low reserve buffers, a persistent gap between the official and parallel exchange rates, and economic governance vulnerabilities.

Suggested Citation

  • International Monetary Fund, 2025. "Zimbabwe: 2025 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Zimbabwe," IMF Staff Country Reports 2025/282, International Monetary Fund.
    • Handle: RePEc:imf:imfscr:2025/282
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