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