A Budget of Stability and Renewal : Why Zimbabwe's 2026 Plan signals Real Economic Progress

By Elvis Dzvene – +263718035951

Zimbabwe’s 2026 National Budget has generated heated debate, with pessimistic voices claiming it reflects national collapse. Yet a closer look at the actual numbers tells a far more encouraging story—one of stability returning, exports rising, agriculture strengthening, and the economy repositioning itself toward Vision 2030. This budget, built on discipline and realism, offers Zimbabweans genuine progress and a clear pathway to long-term transformation.

One of the strongest indicators of national recovery is economic growth. In the first half of 2025, Zimbabwe recorded an impressive 8.1% growth, with the full year projected to close at 6.6%. Few countries in the region are performing at this level. This is not the profile of a failing state, but of an economy regaining momentum despite global pressures, sanctions, and limited access to international credit. The projected 5% growth for 2026 is firmly grounded in agriculture, mining, manufacturing, and tourism performance.

Critics have attempted to compare Zimbabwe’s national budget to the turnover of a South African supermarket chain, a misleading and shallow comparison. A national budget reflects a country’s fiscal planning, not its total economic output. Zimbabwe’s GDP continues to rise—from US$45.7 billion in 2024 to a projected US$52.4 billion in 2025—demonstrating real economic expansion and growing productive capacity.

Perhaps the most important achievement highlighted by the budget is stability. For the first time in many years, Zimbabwe has achieved sustained currency and and price stability. ZiG inflation dropped from 95.8% in July 2025 to 32.7% by October, while monthly inflation remained at 0.4%. This stability did not happen by chance. It is the result of strict monetary policy, strengthened reserves, growing exports, and responsible fiscal management. Ordinary citizens benefit from consistent prices, businesses benefit from predictable planning, and investors gain renewed confidence.

Foreign currency earnings have reached record levels. Zimbabwe generated US$12 billion in the first nine months of 2025, a 24% increase driven by strong performance in gold, tobacco, steel, ferrochrome, and manufactured goods. This healthy inflow contributed to a current account surplus of US$961.3 million, projected to reach US$1.4 billion in 2026—a key sign of economic health.

Agriculture, the backbone of the economy, posted 24% growth in 2025, driven by irrigation expansion, mechanisation, and climate-proofing initiatives. With a further 5.4% growth projected for 2026, Zimbabwe continues strengthening food security and agricultural value chains.

Some critics falsely claim the budget lacks job creation measures. In reality, job growth is embedded across all sectors—manufacturing, youth innovation hubs, SMEs, tourism, technology, and agriculture value-addition. Instead of isolated handouts, the budget supports systemic job creation through value chains and industrial revival.

Concerns about underfunding of social services ignore the broader fiscal realities. Despite limited access to global credit and inherited debt burdens, health and education still receive major allocations. Water and sanitation projects continue through infrastructure programmes and public-private partnerships. Security allocations, often criticized, ensure peace—an essential foundation for investment and national development.

The budget’s tax reforms, including a slight VAT adjustment and revised mining taxation, are not punitive but strategic steps to formalise the economy, reduce leakages, and increase fairness. Mining reforms especially ensure Zimbabwe captures more value from its resources.

In summary, the 2026 National Budget is not a miracle solution, but it is a firm, disciplined roadmap toward stability, growth, and national renewal. It strengthens the currency, supports key sectors, promotes job creation, and aligns with Vision 2030. Amid the noise, the evidence is clear: Zimbabwe is rising.

Written by:
Elvis Dzvene
+263718035951