{ "title": "IMF Staff Concludes Virtual Staff Visit to Zimbabwe", "publication": "IMF News, June 16, 2021", "sourceUrl": "https://www.imf.org/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe", "canonical": "https://www.imf.org/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe", "overlayPath": "/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe/index.md", "summary": "Mission led by Dhaneshwar Ghura.", "publishDate": "2021-06-16", "sections": [ { "heading": "Visit overview", "content": "- Mission led by Dhaneshwar Ghura.\n- Virtual staff visit with the Zimbabwe authorities during June 1–15, 2021.\n- Purpose: discuss recent economic developments and the economic outlook.\n- Outcome: end-of-mission statement conveying preliminary findings; this mission will not result in a Board discussion.\n- IMF Communications contact: PRESS OFFICER: Lucie Mboto Fouda; Phone: +1 202 623-7100; Email: MEDIA@IMF.org." }, { "heading": "Economic assessment and outlook", "content": "- Real GDP contracted by 4 percent in 2020, after a 6 percent decline in 2019.\n- An economic recovery is underway in 2021, with real GDP expected to grow by about 6 percent, reflecting:\n - a bumper agricultural output,\n - increased energy production,\n - the resumption of greater manufacturing and construction activities.\n- Risks and uncertainties highlighted:\n - pandemic evolution,\n - the pace of vaccination,\n - implementation of sustainable policies.\n- Other shocks noted prior to and during the pandemic:\n - cyclone Idai in 2019,\n - a protracted drought,\n - weak policy buffers." }, { "heading": "Policy measures acknowledged", "content": "- Mission notes authorities’ efforts to stabilize the local currency and lower inflation.\n- Policy measures cited as \"in the right direction\":\n - contained budget deficits,\n - reserve money growth control,\n - introduction of a foreign exchange auction system.\n- Near-term macroeconomic imperative:\n - improve coordination among fiscal, foreign exchange and monetary policies,\n - address COVID-19 related economic and humanitarian challenges." }, { "heading": "Structural reforms and development strategy", "content": "- Structural reforms emphasized as essential to ensure sustained and inclusive growth:\n - improve the business climate,\n - reduce governance vulnerabilities.\n- Recommendation: fully operationalize and implement the authorities’ strategy and policies as embodied in their National Development Strategy.\n- Expected outcome: durable macroeconomic stability and structural reforms would bode well for the recovery and Zimbabwe’s development objectives." }, { "heading": "IMF engagement and conditions for financial support", "content": "- Zimbabwe has been a Fund member in good standing since it cleared its outstanding arrears to the IMF in late 2016.\n- IMF provides extensive technical assistance in:\n - economic governance,\n - financial sector reforms,\n - macroeconomic statistics.\n- IMF is precluded from providing financial support to Zimbabwe due to:\n - an unsustainable debt and official external arrears.\n- Conditions for a Fund financial arrangement would require:\n - a clear path to comprehensive restructuring of Zimbabwe’s external debt, including the clearance of arrears and obtaining financing assurances from official creditors;\n - a reform plan that is consistent with macroeconomic stability, growth and poverty reduction;\n - a reinforcement of the social safety net;\n - governance and transparency reforms." }, { "heading": "Next steps and mission logistics", "content": "- The virtual IMF mission staff visit outcome will serve as a key input in preparations for the 2021 Article IV consultation mission expected to take place later this year.\n- IMF staff held meetings with:\n - Minister Mthuli Ncube,\n - Reserve Bank of Zimbabwe Governor John Mangudya,\n - other senior government and RBZ officials,\n - representatives of the private sector and Zimbabwe’s development partners.\n- IMF staff expressed gratitude to the Zimbabwean authorities and stakeholders for the constructive and open spirit in which all discussions were held.\n\nIMF Press Release No. 21/183 — \"IMF Staff Concludes Virtual Staff Visit to Zimbabwe\", June 16, 2021.\n\n---\n\n\n References\n\n- Zimbabwe and the IMF\n- Press Releases\n- PRESS CENTER\n- https://www.imf.org/en/home\n\nSource: https://www.imf.org/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe" } ], "bullets": [ "[Markdown version](/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe/index.md)", "[Structured JSON version](/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe/index.json)", "[Bundle manifest](/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe/bundle-manifest.json)", "Published: June 16, 2021", "Mission led by Dhaneshwar Ghura.", "Virtual staff visit with the Zimbabwe authorities during June 1–15, 2021.", "Purpose: discuss recent economic developments and the economic outlook.", "Outcome: end-of-mission statement conveying preliminary findings; this mission will not result in a Board discussion.", "IMF Communications contact: PRESS OFFICER: Lucie Mboto Fouda; Phone: +1 202 623-7100; Email: MEDIA@IMF.org.", "Real GDP contracted by 4 percent in 2020, after a 6 percent decline in 2019.", "An economic recovery is underway in 2021, with real GDP expected to grow by about 6 percent, reflecting:", "Risks and uncertainties highlighted:", "Other shocks noted prior to and during the pandemic:", "Mission notes authorities’ efforts to stabilize the local currency and lower inflation.", "Policy measures cited as \"in the right direction\":", "Near-term macroeconomic imperative:", "Structural reforms emphasized as essential to ensure sustained and inclusive growth:", "Recommendation: fully operationalize and implement the authorities’ strategy and policies as embodied in their National Development Strategy.", "Expected outcome: durable macroeconomic stability and structural reforms would bode well for the recovery and Zimbabwe’s development objectives.", "Zimbabwe has been a Fund member in good standing since it cleared its outstanding arrears to the IMF in late 2016.", "IMF provides extensive technical assistance in:", "IMF is precluded from providing financial support to Zimbabwe due to:", "Conditions for a Fund financial arrangement would require:", "The virtual IMF mission staff visit outcome will serve as a key input in preparations for the 2021 Article IV consultation mission expected to take place later this year.", "IMF staff held meetings with:", "IMF staff expressed gratitude to the Zimbabwean authorities and stakeholders for the constructive and open spirit in which all discussions were held.", "[Zimbabwe and the IMF](http://www.imf.org/external/country/ZWE/index.htm)", "[Press Releases](https://www.imf.org/en/news/searchnews)", "[PRESS CENTER](http://presscenter.imf.org/)", "[https://www.imf.org/en/home](https://www.imf.org/en/home)" ], "alternates": { "markdown": "/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe/index.md", "json": "/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe/index.json", "bundleManifest": "/en/news/articles/2021/06/16/pr21183-zimbabwe-imf-staff-concludes-virtual-staff-visit-to-zimbabwe/bundle-manifest.json" }, "generatedAtUtc": "2026-09-26T00:28:39.687Z" }