Site icon News Azi

Zimbabwe to more than double spending in 2023

Zimbabwe more than doubled its spending plans for 2023 as it seeks to revive an economy that exited a recession last year.The plan presented by Zimbabwe’s Finance Minister Mthuli Ncube projects expenditure will increase by 121% to 4.2 trillion Zimbabwe dollars ($6.5 billion) budget.

The bulk of the funds will be spent on social services and infrastructure projects with a key focus on the mining, energy and agricultural sectors to jolt economic growth, he said in a budget presentation to lawmakers at the new Chinese-built Parliament in Mount Hampden, 23 kilometres north of the capital.

Gross domestic product growth is estimated to slow to 3.8% next year from 4% forecast for 2022, he said.

Economic growth globally is being crimped by tightening financial conditions as central bankers including Zimbabwe’s try to temper high inflation, adding to the damage from the war in Ukraine and China’s slowdown. The southern African nation’s benchmark interest rate is at 200%, while annual inflation is at 269%.

The IMF last month cut its forecast for global growth next year to 2.7%, from 2.9% and sees Zimbabwe’s economy expanding at 2.8%.

Other highlights

  • Mthuli expects Z$21.8 trillion in revenue
  • About Z$76 billion was allocated toward next year’s general elections in which President Emmerson Mnangagwa is seeking re-election
  • Budget deficit to GDP is forecast at 1.5%
  • To plug the funding gap, the government plans a bond issuance on the Victoria Falls Stock Exchange

© 2022 Bloomberg L.P.

Stay connected with us on social media platform for instant update click here to join our  Twitter, & Facebook

We are now on Telegram. Click here to join our channel (@TechiUpdate) and stay updated with the latest Technology headlines.

For all the latest Business News Click Here 

 For the latest news and updates, follow us on Google News

Read original article here

Denial of responsibility! NewsAzi is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – admin@newsazi.com. The content will be deleted within 24 hours.
Exit mobile version