Zimbabwe’s Reserve Bank reported over $5 billion in foreign currency inflows during the first five months of 2025, driven by strong export performance, diaspora remittances, and development partner support, signaling growing economic stability.
The central bank’s quarterly economic report highlighted key achievements including growth in reserves backing the Zimbabwe Gold currency, stable prices, steady bank policy rates, increasing local currency demand, and a stable interbank foreign exchange market. These developments demonstrate the effectiveness of recent monetary policy interventions.
Economic analysts have praised the Reserve Bank’s efforts in restoring macroeconomic fundamentals and enhancing market confidence. The substantial foreign currency inflows reflect improved investor sentiment and the effectiveness of policies designed to attract international capital and support domestic economic activity.
“There is that element of a huge return to macro-economic fundamentals as evidenced by the statistics from the central bank and the situation on the ground points to stable economic conditions,” stated economist Dr. Zack Murerwa, highlighting the significance of restored macroeconomic stability.
The private sector has welcomed the stability, with the Confederation of Zimbabwe Industries noting that businesses can now plan more effectively due to predictable economic conditions. This improved planning capability is essential for sustained business operations and attracting both domestic and foreign investment.
The Reserve Bank emphasized growing public and institutional acceptance of the ZiG currency, which is backed by gold and other reserves. The structured currency has contributed to declining market volatility and increased confidence in Zimbabwe’s monetary system.
Market indicators show steady improvement with reduced inflation, strengthened foreign currency reserves, and enhanced exchange rate stability. The interbank foreign exchange market has demonstrated consistent performance, facilitating efficient currency trading and price discovery mechanisms.
Monetary authorities anticipate continued macroeconomic resilience supported by declining inflation rates, rebounding global commodity prices, and steady economic growth. These factors create a favorable environment for sustained foreign currency inflows and economic development.
The positive developments align with the National Development Strategy 1 framework, which aims to achieve sustained economic recovery and growth. The strategy emphasizes domestic resource mobilization, export promotion, and foreign investment attraction as key pillars for economic transformation.
Industry representatives express optimism about continued stability, noting that predictable economic conditions enable better business planning and investment decisions. The improved economic environment supports the government’s efforts to attract foreign direct investment and promote sustainable economic growth.
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