Zimbabwe’s foreign currency inflows increased by 17.9% in the first nine months of 2024, mainly driven by export earnings and remittances from the diaspora.
While presenting the 2025 National Budget on Thursday, Finance Minister Mthuli Ncube explained that export receipts made up 59% of the total, while diaspora remittances contributed 25%. Ncube remarked:
“The country’s external sector has shown resilience, with foreign currency receipts rising to US$10 billion in the first three quarters of 2024, up from US$8.5 billion during the same period in 2023.”
The positive growth in foreign currency inflows has had a favorable impact on the country’s balance of payments position, according to Ncube.
He further noted that preliminary data suggests Zimbabwe’s current account balance recorded a surplus of US$227 million in the first nine months of 2024, a significant increase from the surplus of US$59.4 million during the same period in 2023. Ncube added:
“Strong inflows through secondary income have helped achieve the current account surplus, despite deficits in the services and primary income accounts.”
Looking ahead, the current account is expected to record a surplus of US$150.5 million in 2024, and is projected to rise to US$277.4 million in 2025, driven by continued strong diaspora remittances and a predicted reduction in the trade deficit.
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