We expect a marked slowdown in Zimbabwean GDP growth this year and for growth to trend even lower in 2025. The drought has ravaged agricultural output and inadequate dam levels have caused severe electricity disruptions. Meanwhile, the Zimbabwean private sector is yet to embrace the new Zimbabwe Gold (ZiG) currency, with informal economic activity remaining ubiquitous. We expect GDP growth to drop from 4.2% in 2023 to 2.1% this year, before weakening further to 1.7% in 2025.
Zimbabwe: Drought to hit the economy on numerous fronts