The following are the highlights of the Mid-term budget review presented by the Minister of Finance and Economic Development Professor Mthuli Ncube:

  • Tax free threshold has been raised from ZW$2 000 to ZW$5 000
  • Zimbabwe has been ranked third in Africa in terms of budget transparency
  • The economy is expected to recover to 7% in 2021 and averaging 5% onwards
  • Total expense amount increased to ZW$30 billion as of June 2020
  • Ministries and Government departments spent 46% of the budget. Due to this spending Government has avoided tabling a supplementary budget
  • Food assistance extended to urban areas. Government is giving 63 000 households cash reimbursement
  • A budget surplus of ZW$800 million has been realized
  • Banking sector remained largely safe, sound and resilient in the first half of this year despite Covid-19 pandemic
  • Foreign exchange auction introduced to enhance transparency and stabilize the Zimbabwe dollar exchange rate and discourage speculation
  • Government has made structural reforms by repealing POSA and AIPPA
  • National Development Strategy 2021 – 2025 will guide Zimbabwe towards Vision 2030
  • All transactions captured in the currency of trade, and invoiced in the tendered currency receipts
  • Global GDP is expected to shrink by minus 4% from 3% projected earlier
  • The mining sector contributes 60% of the forex is set to surplus the agricultural sector
  • Distribution industry is expected to contract by -7.45
  • The Beitbridge – Harare road would see 200km of the tarred road by the year end
  • Government came up with ZW$18.2 billion stimulus package which was 28.6% of the 2020 National Budget