Key View

• We at Fitch Solutions expect real GDP in Zimbabwe to expand by 2.6% in 2021, following an estimated contraction of 9.5% in 2020.
• An improved external environment and higher government consumption will bolster growth, while private consumption will rise as the Covid-19 vaccination programme is rolled out.
• However, operational

Key View

• We at Fitch Solutions expect the Reserve Bank of Zimbabwe (RBZ) to keep its key policy rate on hold at 40.00% over the remainder of 2021.
• While we expect price pressures to moderate as the pace of currency depreciation and central bank quasi-financing of the fiscal deficit slows, inflation will remain elevated, at an annual average

Key View

• Zimbabwe’s government continues to work on expanding the country’s pharmaceutical industry.
• AMA continues to gain traction across Sub Saharan Africa.
• As drugmakers increase their presence in Zimbabwe, the country’s trade deficit growth may slow down. 

Zimbabwe’s government continues to work on expanding the country’s

Key View

• Zimbabwe’s low healthcare budget allocation will not be enough to support the country’s struggling healthcare system.
• Zimbabwe’s hospitals are overwhelmed with rising Covid-19 infections, and healthcare workers are being disproportionately affected.
• We at Fitch Solutions forecast that Zimbabwe’s current account deficit will widen to

Key View

• Zimbabwe’s government is working towards increasing local pharmaceutical production.
• The country’s pharmaceutical market will continue to rely heavily on imports.
• Low healthcare budget allowance for 2021 not enough to tackle healthcare challenges.

Zimbabwe’s government is working towards increasing local pharmaceutical production

Key View

• We at Fitch Solutions expect Zimbabwe's monetary policy outlook to remain extremely challenging in 2020 and 2021.
• With a depleted FX reserve pile and facing a bout of currency weakness, the Reserve Bank of Zimbabwe (RBZ) has few viable monetary policy tools which would allow it to gain a hold on spiralling inflation.
• We forecast

Key View

• Zimbabwe continues to struggle to cope with the Covid-19 pandemic.
• The USD41mn contribution from the EU will help Zimbabwe reach its humanitarian appeal goal
• The lifting of the government freezing ban on healthcare will boost medical care available to the public.

The EU has contributed USD41mn to Zimbabwe’s healthcare fund to help

Key View

• The Reserve Bank of Zimbabwe (RBZ) will maintain its focus on price and exchange rate stability in 2020, in pursuit of a target of a y-o-y inflation rate of 50.0%, and broad stability of the Zimbabwe dollar, by year-end.
• We at Fitch Solutions expect both aims to prove challenging, however. Sustained currency weakness, shortage of USD

Key View

• Efforts to roll-out universal healthcare will support Zimbabwe’s healthcare market growth.
• Severe underfunding, exacerbated by a challenging macroeconomic environment, will undermine progress towards universal healthcare.
• The country will continue to rely on international aid to cover its medical needs as local pharmaceutical

Key View

• At Fitch Solutions we expect liquidity to remain constrained despite the introduction of new Zimbabwe dollar notes and coins, since their already low face value will be further eroded by hyperinflation and steady depreciation.
• The Reserve Bank of Zimbabwe (RBZ) lacks the reserves to maintain the value of the local currency, meaning