The government is considering converting the country’s long-standing 3% AIDS levy into a broader health levy to address shifting public health priorities and a rising burden of non-communicable diseases.
Speaking during a mid-term budget review breakfast meeting hosted by the Daily News, Permanent Secretary in the Ministry of Finance George Guvamatanga said internal government consultations are underway to revamp the funding model as HIV/AIDS yields ground to other life-threatening conditions.
Guvamatanga noted that while HIV/AIDS remains a critical public health issue, recent medical statistics show that Zimbabwe’s national disease profile has fundamentally transformed, with conditions such as cancer, hypertension, and diabetes now driving mortality rates higher across the population.
“This is a conversation that we are having within the government, which is still under consideration. We were asking the Minister of Health to say, is AIDS still the main concern from a health perspective for our nation?
“Is it now cancer or is it high blood pressure? Is it the diabetic situation? So we were then saying that possibly we need to convert this AIDS levy into a health levy, which will cater not only for AIDS. Because people are dying a lot more from other diseases,” Guvamatanga said.
Under the proposed reform, the existing 3% levy deducted from formal sector earnings would be phased out in favour of the new health levy.
The restructured fund is expected to finance the treatment of non-communicable diseases while providing dedicated financial resources to support the implementation of the newly introduced Medical Services Amendment Act.
Guvamatanga said restructuring the existing tax mechanism would prevent the need to introduce additional health levies or seek alternative funding sources to back healthcare obligations under the new legal framework.
“The health statistics do not indicate that AIDS is the major concern. So, we are saying maybe we should consider converting this to a health levy, which will then address the key health concerns of our nation.
“From that perspective, if we convert this into a health levy, there will be money to pay for the new medical bills that have been introduced. We don’t even need to look for money elsewhere. The money will be there,” Guvamatanga said.
He added that the revamped fund would establish a formal payout line to reimburse healthcare providers who deliver care to patients in compliance with the updated health legislation, ensuring public health facilities remain financially sustainable while broadening treatment coverage nationwide.
Businesses operating in Zimbabwe must strictly comply with long-standing legal requirements to settle tax obligations in the specific currency of transaction, Permanent Secretary in the Ministry of Finance George Guvamatanga has warned, dismissing corporate complaints over historical liabilities.
Speaking during a mid-term budget review breakfast meeting hosted by the Daily News, Guvamatanga underscored the fundamental statutory principle: “You pay your taxes in the currency of trade.”
The clarification comes as the majority of Zimbabwean companies report the bulk of their sales in US dollars, making foreign currency tax compliance a vital revenue stream for the state and a key point of regulatory oversight.
Guvamatanga pushed back against assertions that the government is subjecting the corporate sector to retrospective taxation or triggering a broader compliance crisis.
“Let me just address the issue of historical taxes going back. I think the noise that we have in the economy that has been amplified simply relates to two large companies … which have actually amplified their own failure to follow tax laws into a national crisis,” Guvamatanga said. “We don’t have a national crisis of tax compliance or of historical issues.”
According to Guvamatanga, the non-compliance was driven by historical disparities between official and unofficial exchange rates, allowing firms to exploit foreign currency arbitrage to fund their operations rather than remitting required taxes to the state.
“We all know what was happening then. There was a huge gap between the official and unofficial exchange rate. And those companies, again we know, they were trading using the unofficial exchange rate. They played tax arbitrage, grew their businesses, and invested,” he noted.
He emphasised that withholding transaction-currency taxes deprived the public of essential funding for national infrastructure and public utilities.
Guvamatanga reiterated that state enforcement simply aligns with existing laws and established court rulings.
“We are not putting in new laws. No, it’s the same law which says you pay your tax in the currency of trade. It has always been there. So when you say retrospective, it’s not retrospective. You simply did not follow the law. And the courts have also said the same, that no, you did not follow the law,” he said.
However, corporate leaders and tax analysts have sharply pushed back against Treasury’s narrative, arguing that the dispute is not an issue of non-compliance or evasion, but of “value symmetry” and retroactive enforcement by the Zimbabwe Revenue Authority (ZIMRA).
The corporates and tax analysts challenged ZIMRA’s practice of reopening closed tax years between 2019 and 2024 to reassess liabilities in US dollars while failing to credit previous local-currency tax payments at their historical value when received.
According to the report, taxpayers who previously complied with ZIMRA’s official return architecture or operated under ambiguous statutes are now facing backdated dollar demands.
The private sector contends that when ZIMRA converts past liabilities into foreign currency, it discounts the value of the local currency payments already held by the state due to subsequent inflation and devaluation.
Corporate representatives argue that this creates a double penalty, forcing businesses to meet shortfalls in foreign currency while denying fair value for local-currency overpayments the state already accepted.
Old Mutual Limited has officially listed on the Victoria Falls Stock Exchange (VFEX), ending a six-year trading suspension on its shares.
The government suspended trading of Old Mutual on the Zimbabwe Stock Exchange (ZSE) in 2020. Authorities blamed the Old Mutual Implied Rate, a metric derived from price differences between Old Mutual’s ZSE and Johannesburg Stock Exchange listings, for driving local currency devaluation.
Speaking at the listing ceremony, Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube highlighted the listing as a significant milestone in the evolution of Zimbabwe’s capital markets and commended Old Mutual for demonstrating confidence in the VFEX platform.
“This decision represents an important endorsement of the exchange’s growing role within Zimbabwe’s and regional capital markets and demonstrates how VFEX can serve as a strategic platform for companies seeking broader investor participation and greater connection to regional and international investment opportunities,” he said.
Minister Ncube noted that the decision serves as a strategic endorsement of the dollar-denominated exchange’s growing role as an emerging regional financial hub connecting issuers to broader domestic and international capital.
“Through its unique proposition and ability to facilitate access to international capital, VFEX is playing a key role in strengthening Zimbabwe’s investment ecosystem and positioning the country firmly as an emerging regional financial centre. This achievement reflects the collective efforts of government, regulators, issuers, investors and market participants in building a transparent, efficient and internationally connected capital market,” he said.
Prof Ncube highlighted that Old Mutual has mobilised long-term savings into key productive sectors, including agriculture, mining, manufacturing, and services.
Among these initiatives is the Old Mutual Renewable Energy Fund, established in partnership with the Zimbabwean government and the United Nations.
The fund has financed renewable energy projects totaling just under 80 megawatts, including the solar power project at Mater Dei Hospital.
Old Mutual also partnered with the government to launch the Bulawayo Student Accommodation facility in 2025, with several of these initiatives receiving Prescribed Asset status.
Minister Ncube emphasised that economic expansion cannot rely solely on commercial bank lending and conventional debt financing.
“In order to sustain growth, we must continue building deeper and more diversified capital markets that provide businesses with access to long-term growth capital while creating broader investment opportunities for our local institutional investors such as pension funds, insurance companies, and retail investors as well as international investors,” he said.
“This requires the continued development of a wide range of capital market solutions that respond to the evolving needs of businesses and investors while mobilising long-term capital for productive investment. These markets are not merely financial mechanisms; they are important tools for supporting enterprise growth, financing development, strengthening domestic savings and creating employment opportunities. Strong capital markets and deep financial systems anchor sustainable economic development.”
The Minister underscored recent regulatory reforms, including the gazetting of the Victoria Falls Financial Services Centre regulations and VFEX regulations, designed to support financial innovation while preserving market integrity.
He said the regulatory developments align with the country’s National Development Strategy 2 targets aimed at achieving upper-middle-income economic status by 2030.
ZSE Holdings chairperson Caroline Sandura said Old Mutual’s return would significantly expand investment opportunities on the VFEX and boost trading activity.
“As the 21st listed security, Old Mutual significantly broadens the quality and depth of investment opportunities available to local, regional and international investors on the VFEX. Its inclusion is expected to enhance liquidity, improve market visibility and strengthen the VFEX’s position as Zimbabwe’s international financial market,” she said.
She described the development as a landmark moment for Zimbabwe’s capital markets.
“Today’s listing is a product of constructive engagement and reflects the willingness among all stakeholders to pursue solutions that strengthen Zimbabwe’s financial markets while balancing the interests of investors, issuers and the broader economy,” she said.
Established in 2020 as a subsidiary of the Zimbabwe Stock Exchange, the Victoria Falls Stock Exchange is a US dollar-denominated bourse operating within the Victoria Falls Special Economic Zone.
Gold prices have surged, driven by broad changes in central bank behaviour and ongoing global tensions, causing a major shift in how countries manage their cash reserves and international trade.
Understanding where the yellow metal stands today and where it might head next requires examining the structural forces driving its rise, the macroeconomic scenarios that could alter its trajectory, and the urgent strategic choices facing producer nations, most notably Zimbabwe.
Gold prices have experienced an extraordinary rally, surging past the US$4,000 mark in late 2025 and briefly topping US$5,100 per ounce in early 2026.
The rally was powered by record central bank purchases, persistent inflation, and heavy safe-haven demand triggered by escalating trade and geopolitical friction.
While spot prices have since cooled to the US$4,000 to US$4,300 range, major institutions like J.P. Morgan and Goldman Sachs continue to forecast long-term targets of US$5,000 to US$6,000 per ounce if fiscal pressure and global uncertainty persist.
The sustained upward momentum in gold prices rests on three core catalysts. First, global monetary authorities have fundamentally re-evaluated how they protect their balance sheets.
Following high-profile foreign asset freezes and aggressive US trade sanctions, non-aligned central banks, led by China, India, and emerging Asian nations, have systematically reduced their US dollar holdings.
By shifting into physical gold, these institutions gain a sovereign asset immune to jurisdiction risk and foreign sanctions.
Second, exploding US national debt and heavy government spending have heightened long-term fears of currency debasement.
Because gold is priced globally in US dollars, prolonged dollar weakness creates a natural tailwind, driving demand for gold as a stable store of value against persistent inflation and lower real interest rate environments.
Third, broad-based tariffs, aggressive trade stances, and escalating regional conflicts have heightened market uncertainty.
Whenever trade war anxieties or diplomatic tensions spike, global capital routinely migrates toward safe-haven assets.
Analysts across major financial institutions have projected gold targets reaching elevated heights, underscoring how deeply entrenched these bullish drivers have become.
Yet the metal’s long-term outlook depends heavily on whether global trade and diplomatic policies remain fragmented or begin to cool.
Looking ahead, the market faces two distinct potential paths. In a bullish scenario, trade policies remain aggressive, international relations stay strained, and fiscal deficits in major economies continue to widen.
Central banks would maintain their multi-year shift away from dollar-denominated debt, treating gold as a core reserve pillar.
Under these conditions, safe-haven demand stays high, supporting elevated price levels.
Conversely, a bearish reversal could take hold if a shift in US political leadership or global policy regimes opens the door to diplomatic reconciliation.
In that case, international trade friction could soften considerably. A reduction in tariff rhetoric, stabilisation of US trade relationships, and renewed fiscal discipline would bolster confidence in foreign exchange markets.
As concerns over currency weaponisation ease, central bank buying could slow, prompting a significant price correction towards historical equilibrium levels around US$1,800 per ounce.
What it means for Zimbabwe
For Zimbabwe, the performance of global gold is far more than an abstract commodity story—it is the single largest determinant of macro-financial stability, foreign currency inflows, and domestic currency support.
Gold currently accounts for roughly 50 percent of Zimbabwe’s total export basket, generating approximately US$4,5 billion of the country’s US$9 billion annual export earnings.
This extraordinary concentration means the country’s external trade balance is effectively tied to global gold prices.
Should global geopolitical risks soften and gold correct back towards traditional support levels near US$1,800, Zimbabwe risks losing up to US$3 billion in annual export proceeds, shrinking total export revenues to US$6 billion and severely widening the national trade deficit.
This market dynamic directly impacts domestic currency stability. The stability of the ZiG relies heavily on reserves held by the Reserve Bank of Zimbabwe.
Because the ZiG is anchored by gold and foreign currency holdings, high gold prices allow the central bank to rapidly build balance sheet value.
However, over-relying on physical gold assets without a balanced portfolio of liquid hard currencies leaves the national anchor vulnerable to sudden market drawdowns.
To navigate both market scenarios, Zimbabwe cannot afford to treat the current commodity boom as a permanent feature.
To safeguard the national economy, Zimbabwe must implement a clear three-part strategic playbook.
The first step in this playbook requires maximising immediate extraction to “sweat the assets.” Rather than sitting on unmined reserves or hoarding physical output in anticipation of further price increases, Zimbabwe needs to maximise production while prices remain high.
Capturing peak prices maximises foreign currency cash flow today, creating the liquid wealth needed to transform the broader economy before a market correction materialises.
Building on that cash flow, the second step focuses on broad economic diversification. Revenue generated from the current gold boom should be redirected immediately into non-gold sectors, critical infrastructure, power generation, and agro-processing.
Using mining revenues to build broader productive capacity ensures that when the commodity cycle eventually turns, the national economy has secondary growth engines to rely on.
Finally, the third step requires adopting balanced reserve management. While central banks globally continue to accumulate gold, the Reserve Bank of Zimbabwe must manage its reserves through a robust risk framework.
A sound policy requires a balanced portfolio split between physical gold and liquid foreign currencies, such as US dollars.
This ensures the central bank captures upside value while remaining insulated if gold prices experience a sharp downcycle in the years ahead.
Is a manufacturing boom of this scale actually sustainable, or is it merely a temporary spike? The question is now dominating discussions across Zimbabwe’s industrial sector as findings from the State of the Industry and 2027 Prospects Report reveal expansion in production capacity.
Having historically recorded modest economic contributions, the manufacturing sector has rapidly emerged as the leading driver of gross domestic product (GDP) at 17,1%, prompting analysts and business leaders to examine the sector’s future trajectory.
According to Africa Economic Development Strategies (AEDS) executive director, Professor Gift Mugano, the surge is built on durable, long-term fundamentals.
Addressing concerns over long-term viability, Prof Mugano pointed to clear evidence from the study showing that capital is actively flowing into physical infrastructure and productive capacity rather than short-term consumption.
He noted that national import trends are shifting away from finished consumer goods and toward long-term industrial capability.
“30% of our total imports are equipment and machinery. Out of an estimated US$10 billion total import bill this year, about US$3 billion will go directly into machinery for industry. This shows we are laying a foundation to support industrialisation and move manufacturing towards a 25% share of GDP,” said Prof Mugano.
Where the money is going
A primary driver of this positive outlook is the strategic deployment of commercial credit across the country’s industrial zones. Rather than funding operational deficits or short-term debt, corporate financing is actively modernising production floors.
“Our study shows that 81.9% of loans extended to industry are going towards building a strong industrial base. Specifically, 35.5% went toward new equipment and machinery, while approximately 10% was directed to warehouse construction to support expanded logistics,” Prof. Mugano said.
The report also indicates that roughly 10% of industrial financing is backing new product development and market expansion, with another significant share funding facility retooling.
“The fact that we are investing in new machinery, facility retooling, modern warehouses, product development, and new export markets demonstrate that we are establishing the necessary infrastructure to propel long-term growth,” he added.
This sustained capital investment has resulted in a younger, more technologically competitive industrial setup.
“It is particularly refreshing that 65% of our industrial machinery is now less than 10 years old. This modernisation ensures our manufacturing sector operates with efficient, competitive equipment that can sustain growth over time,” noted Prof Mugano.
Production and employment outlook
Looking ahead, business sentiment reflects this structural transformation. Elevated capital investments are expected to translate directly into higher industrial output and new job creation over the coming year.
“A significant share of surveyed companies, 49%, confirmed they will increase production investment next year. Higher investment directly boosts manufacturing output, which sustains overall economic growth. Furthermore, 39% of firms indicated they will be creating new jobs,” Prof Mugano said.
Key policy drivers
The factory-floor modernisation is supported by overarching government policy frameworks, specifically the Zimbabwe National Industrial Development Policy 2 (ZNIDP 2) and the Local Content Strategy.
“These two policies will shape the industrial landscape in a disruptive, positive manner. The local content initiative aims to substitute between US$2,5 billion and US$3 billion in imported inputs.
“This localisation of value chains will expand domestic production and solidify manufacturing as a major GDP pillar,” explained Prof Mugano.
Supported by sector-specific strategies, the Industrial Development Fund, and duty-free machinery imports, Zimbabwe is positioning its industrial base not just for a seasonal rebound, but as a central engine for export diversification, import substitution, and sustained economic growth.
Why pension funds hold the key to Zimbabwe’s industrial transformation
While modern machinery and policy frameworks are laying the floor for this industrial surge, Prof Mugano stressed that a critical piece of the sustainability puzzle remains locked away in institutional vaults: long-term, low-cost capital.
Addressing the financing bottleneck facing domestic factories, Prof Mugano pointed out that the argument over a lack of domestic long-term capital is fundamentally flawed.
In reality, Zimbabwe’s pension fund market currently sits on an estimated US$3 billion pool of liquidity—a balance that grows steadily month after month.
“We have on record US$3 billion in pension funds in terms of total balances in the market. In economics, pension savings are identical to investments. This money is invested in stock markets, money markets, commercial banks, and real estate. But the argument that there is not enough capital in the market to provide long-term finance—we violently refuse that. This argument is misplaced,” Prof Gift Mugano said.
Retooling factories over building malls
Currently, a significant portion of pension assets is concentrated in real estate and commercial shopping developments.
While single pension funds are capable of bankrolling individual US$50 million property construction projects, manufacturing leaders argue that national development policy must guide a larger share of these reserves directly into factory floors.
Prof Mugano stressed that while property development builds retail space, it does not build the production capacity needed to supply those retail shelves with local goods.
“There is nothing wrong with building properties or shopping malls—that is where retail happens. But we want to also create production so we don’t just sell foreign goods in those shopping malls. We need a regulatory framework where pension funds have a balanced portfolio, ensuring a reasonable amount of capital is set aside specifically for industrialisation,” he said.
Dismantling the cost of capital barrier
The push for pension-backed funding is aimed at solving a persistent industrial handicap: Zimbabwe’s reliance on raw material exports versus value-added finished goods.
Currently, raw and semi-raw materials account for 92% of total national exports, while manufactured commodities make up just 6.7% and services represent 1.3%.
To shift this balance, manufacturers require affordable, long-term financing, something current commercial lending practices fail to deliver.
“What came out from our study is that industry is crying for long-term finance which is also cost-effective and cheap.
“Currently, banks charge standardised interest rates regardless of the source of capital. If they source money offshore at18%, they charge 18%.
When they get money from pension funds, deducted directly from workers’ payslips at zero cost, they still charge 18%,” he added.
The formal admission of Zimbabwe into the BRICS New Development Bank (NDB) represents a monumental structural shift in Southern Africa’s geopolitical and economic landscape.
Minister of Finance, Economic Development, and Investment Promotion Professor Mthuli Ncube announced the admission at the Zimbabwe Industrialisation Conference and Expo 2026, marking a critical structural turn in Southern Africa’s geopolitical and economic trajectory.
The admission of Zimbabwe into the Shanghai-based NDB reflects a departure from an international financial framework that has constrained the nation’s productive capacity for decades.
“The approval is a significant milestone in the country’s engagement and re-engagement, as well as international cooperation. This is a breakthrough for the country’s economic recovery strategy, as this will assist in mobilising long-term financing for infrastructure and other developmental projects at reasonable cost,” Prof Ncube said.
He added that this is against the background of over two decades without access to direct concessionary loans or lines of credit from 190 traditional international financial institutions, particularly for infrastructure developmental projects.
To fully activate the membership, the Treasury Chief said Government will deposit an instrument of accession to the agreement and commence the payment of subscriptions.
Zimbabwe establishes a practical mechanism to address the persistent capital deficit that has long limited domestic industry and infrastructure development by securing access to the primary financial institution of the Global South.
For over twenty years, the Zimbabwean economy remained bound by a persistent multilateral bottleneck.
Having accumulated external arrears following economic shocks and structural defaults around the turn of the century, the country found itself consistently excluded by traditional Western multilateral institutions, including the International Monetary Fund and the World Bank.
These lenders maintained a strict policy requirement, with the southern African nation required to complete debt clearance and specific structural reforms were demanded before fresh concessional lending would be extended.
This created a self-reinforcing cycle wherein the state was expected to service international obligations while lacking the long-term capital required to build modern power grids, retool industrial facilities, and expand export capacity to generate those necessary revenues.
This institutional stalemate was further complicated by political friction. While multilateral institutions framed credit freezes around technical risk metrics and policy compliance, Harare viewed these measures as deliberate tools to restrict fiscal policy options.
The existing global financial structure effectively tied capital access to specific policy stances, leaving developing nations with few choices between policy independence and essential development funding.
Even when Zimbabwe made verified efforts toward debt service and fiscal adjustment, access to long-term multilateral credit remained restricted, forcing both state enterprises and private firms to rely on high-cost, short-term commercial debt that deepened underlying financial pressures.
Entry into the New Development Bank changes this fundamental operating model. Established by the founding BRICS members as an alternative to traditional financial institutions, the NDB functions on explicit principles of sovereign equality, non-interference, and South-South cooperation.
The institution evaluates credit proposals through project viability, financial return, and baseline economic impact rather than political alignment.
For Zimbabwe, this shifts the relationship from continuous policy negotiation to project-based funding, allowing capital to be directed toward primary structural priorities.
The practical impact of this accession on the domestic economy centres on liquidity and interest rate pressures.
High domestic borrowing costs and severe shortages of long-term foreign currency have long hindered local businesses.
Manufacturing, mining, and agricultural enterprises have operated with aging equipment, constrained by high interest rates and short loan tenures that prevent major capital investments.
Access to non-fragmented development capital through the NDB offers a viable path for systematic industrial retooling.
Upgrading industrial machinery, modernising rail networks, and expanding bulk water capacity remain necessary conditions for moving the domestic economy from raw commodity exports toward higher-value processing.
Furthermore, the alignment between NDB financing programs and Zimbabwe’s power requirements addresses a core operational vulnerability.
Severe droughts have repeatedly compromised hydroelectric output at Kariba, exposing weakness in the national grid and forcing load-shedding that reduces industrial output.
The NDB maintains specific mandates for funding green infrastructure and modern energy distribution.
Dedicated funding streams for solar installations, upgraded transmission networks, and climate-resilient agricultural systems directly address these supply constraints, helping stabilise industrial output against environmental variations while supporting the execution of the National Development Strategy framework.
At the macroeconomic level, targeted capital injections support the national balance of payments and reserve stability.
Persistent foreign currency shortages and trade imbalances have historically driven local currency volatility and domestic price increases.
NDB-financed infrastructure functions as a structural stabiliser rather than an added liability by enabling domestic producers to scale operations, supply local markets, and increase export capacity.
Furthermore, the bank’s policy of executing transactions in member-state currencies provides Zimbabwe with an option to reduce exposure to external currency fluctuations and global dollar liquidity constraints.
Equally important is the approach NDB membership offers for managing legacy debt. Traditional recovery frameworks frequently relied on expenditure cuts and structural reductions that directly impacted public infrastructure and basic services.
The economy can generate the revenues required to address legacy liabilities from expanded domestic output rather than fiscal contraction by prioritising productive capacity and sector growth through project-specific finance.
Beyond national balance sheets, Zimbabwe’s integration into the NDB illustrates broader shifts in global capital allocation.
It demonstrates the continued growth of alternative financial networks established by emerging economies to address regional development requirements.
Harare diversifies its credit access and reduces reliance on singular capital markets by establishing direct ties with the Shanghai-based institution.
While accession to the New Development Bank does not automatically resolve underlying economic challenges, it directly addresses the primary financial barrier that has limited Zimbabwean industrial growth for years.
The final outcome will depend on implementation—specifically, ensuring that funds obtained through the bank are directed toward economically viable, well-managed projects.
The Government has approved a new round of reforms aimed at reducing the cost of doing business by reviewing licences, permits, levies, and fees in sectors not covered in the initial exercise.
The measures, approved by Cabinet following a presentation by Finance, Economic Development and Investment Promotion Minister Mthuli Ncube, target agriculture, education, transport, sport and the natural stone export sub-sector.
Among the changes are lower registration and licensing fees for industrial hemp, including application processing, licensing and research permits administered by the Agricultural Marketing Authority and the Medicines Control Authority of Zimbabwe.
Cabinet also resolved to keep school annual affiliation fees, ZIMSEC affiliation fees and examination fees at their current levels. In the transport sector, tricycles will now be formally registered, with riders required to obtain licences, while vehicle change of ownership fees will remain unchanged.
To improve service delivery, Government will establish a One Stop Shop to simplify vehicle ownership transfers. Selected fees charged by the Sport and Recreation Commission will also be reduced.
The latest reforms are part of Government’s broader programme to remove duplicated regulations, scrap unnecessary charges and make it easier and less costly for businesses and investors to operate in Zimbabwe.
The Ministry of Agriculture, Mechanisation and Water Resources Development will convene the National Agriculture Conference and Expo 2026 next month to unlock sector growth while tackling persistent operational hurdles.
To run from September 24 to 25, 2026, the high-level gathering serves as a critical strategic platform to review national agricultural sector performance, mobilise structured investments, and align public and private stakeholders around the priorities of the Agriculture, Food Systems and Rural Transformation Strategy Phase II.
Co-hosted by the Ministry of Agriculture, Mechanisation and Water Resources Development and the Agricultural Marketing Authority, with Africa Economic Development Strategies (AEDS) serving as the research partner, the conference will feature the launch of the Agricultural Investment Prospectus.
The prospectus will showcase bankable project opportunities across key value chains and infrastructure to attract domestic and international capital.
The conference will convene key stakeholders to review agricultural sector performance, mobilise investment and strengthen coordination towards a resilient and inclusive agricultural sector.
The two-day event will convene representatives from government ministries, financial institutions, private agribusinesses, research institutions, and international development organisations.
A primary deliverable of the conference will be the formal presentation and validation of the State of the Agricultural Sector Study, which outlines performance metrics and medium-term agricultural projections through 2027.
Attendees will also focus on establishing an operational delivery roadmap for the second phase of the Agriculture and Food Systems Transformation Strategy.
The conference will focus on yield productivity, climate adaptation, private sector finance mobilisation, domestic agro-processing, regional trade integration, digital farming technologies, storage and transport infrastructure, and rural economic development.
In addition to policy deliberations, the conference will feature an investment platform designed to present a pipeline of bankable agricultural projects to potential financiers and sponsors.
The National Agriculture Conference and Expo comes as the agriculture sector is projected to grow by 6.9% in 2026, supported by an increase in crop and livestock production.
According to the 2026 Mid-Term Budget and Economic Review, significant output growth is expected from tobacco, maize, cotton and horticulture, and the livestock sub-sectors.
Tobacco output is projected at 400 million kilograms (kgs) this year, representing an increase of about 12.7% over the 2025 record output of 355 million kgs.
The 2025/26 agricultural season is projected to register a modest improvement in maize production, with output projected at 2.4 million metric tonnes (mt), a 2% increase from the 2.3 million mt recorded during the 2024/25 season.
Traditional grain output is projected at 390 272 mt, comprising sorghum at 290 216 mt, pearl millet at 87 677 mt, and finger millet at 12 379 mt.
Cotton production is projected to increase to 38 500 tonnes this year from about 28 900 tonnes in 2025, on account of the increase in area planted.
The livestock sub-sector is projected to maintain a positive growth trajectory in 2026, driven primarily by strong expansion in the dairy subsector and steady improvements in beef production.
The beef subsector is projected to record moderate growth in 2026, with beef slaughter output increasing by 2.8% from 108 000 tonnes in 2025 to approximately 111 000 tonnes.
The dairy sub-sector is expected to remain one of the strongest performers in the livestock subsector in 2026, with milk production projected to increase by 7.5% from 155 million litres in 2025 to approximately 166 million litres.
Agriculture remains central to food security, rural livelihoods, industrial inputs, exports and inclusive growth.
The conference provides a structured platform to align policy, financing, research, market access and implementation priorities around practical outcomes.
Zimbabwe’s banking sector loans reached approximately ZiG85 billion by the end of June 2026, driven by sustained credit demand across key economic sectors.
According to the 2026 Mid-Term Budget and Economic Review, foreign-currency-denominated loans continued to dominate, accounting for about 90% of total banking sector lending.
“The banking sector continues to support the productive sectors of the economy, with 74.8% of total loans channelled towards the productive sector as of end June 2026,” Minister of Finance, Economic Development and Investment Promotion Professor Mthuli Ncube said in the Mid-Term Budget and Economic Review.
Financial institutions directed the majority of their loan portfolios toward key economic drivers, including agriculture, mining, manufacturing, and distribution.
Treasury added that the banking sector’s liquidity position remained satisfactory, enabling the sector to provide financing to the productive sectors of the economy.
Total banking sector deposits amounted to ZiG148.1 billion as at June 2026, dominated by foreign currency deposits, which accounted for 80% of total deposits.
Banks maintained prudent underwriting standards throughout the review period, ensuring that credit growth was accompanied by manageable asset quality metrics, controlled non-performing loan (NPL) ratios, and adequate capitalisation across the banking architecture.
The quality of the banking sector’s loan portfolio remained satisfactory as at March 31, 2026, with the average non-performing loans to total loans ratio at 3.6%. Treasury said the NPL ratio remained within the internationally acceptable threshold of 5%.
The banking sector remained adequately capitalised to absorb potential losses and maintain solvency during periods of stress.
As of March 31, 2026, average capital adequacy and tier 1 ratios stood at 29.1% and 23.2%, exceeding their respective regulatory minimums of 12% and 8%.
The sector recorded a profit of ZiG1.5 billion for the three months ended March 31, 2026, compared to ZiG2.6 billion recorded in 2025.
“The decline in aggregate net income for the banking sector is mainly attributed to reduced revaluation gains on foreign exchange and investment properties previously arising from foreign exchange fluctuations. On aggregate, the quality of earnings, however, improved as a result of stability in the exchange rate over the past year,” the Mid-Term Budget and Economic Review said.
During the period under review, fees and commissions and interest income on loans and advances were the key drivers of banking sector income, accounting for 47.5% and 40.9% of total income, respectively.
In response to public calls for lower transaction costs across the economy, the Reserve Bank introduced new measures to reduce bank charges, effective March 31, 2026.
Cash withdrawals and ZIPIT charges are now capped at 2%, while Point-of-Sale, Bank-to-Wallet, Wallet-to-Bank, and Send Money fees are capped at 1.5% (subject to a maximum ceiling of US$20 or its ZiG equivalent).
Additionally, balance inquiries and cash deposits are now free, bank card fees are limited to cost recovery, accounts with balances below US$100 are exempt from charges, and POS transactions under US$5 incur no fees.
Historically, financial institutions derived a significant portion of their income from transaction fees, digital service commissions, and non-interest streams.
The Chamber of Mines of Zimbabwe says the mining sector requires approximately US$2 billion in capital for beneficiation this year, with 70% of the funding targeted at the platinum group metals (PGMs) and lithium industries.
Speaking at the Zimbabwe Industrialisation Conference & Expo 2026, Chamber of Mines Chief Executive Officer Dr Isaac Kwesu said while Zimbabwe has made operational strides, manufacturing higher-value finished goods requires addressing fundamental cost and operational barriers.
“In terms of the funding gap, in 2026 alone, the mining industry requires approximately US$2 billion for beneficiation, with 70% required in the PGMs and lithium industries. There is a need for a competitive operating environment that unlocks sufficient capital to meet requirements for setting up and running beneficiation facilities,” he told delegates at the conference.
He said fiscal measures, including export penalties, continue to constrain investment in mineral beneficiation.
“There is a need to establish special economic zones for beneficiation facilities, supported by competitive fiscal incentives and enabling infrastructure,” he said.
Dr Kwesu highlighted that major operational bottlenecks are currently undermining local industrialisation, including power supply constraints.
“The power supply situation in the country has remained predominantly fragile. Mining companies are experiencing unscheduled outages resulting in production stoppages and output losses,” he said.
“The industry is currently consuming around 1,000 MW of power. However, with ongoing expansion activities and new beneficiation facilities, the energy demand is set to surge to more than 1,500 MW in the next 12 months.”
He said additional challenges include inadequate rail and water infrastructure, high production costs, capital constraints, and a suboptimal fiscal framework burdened by export penalties.
Zimbabwe is currently drafting an integrated Beneficiation Strategy intended to align mineral processing directly with broad industrialisation goals.
Dr Kwesu said establishing a competitive operating environment remains a necessary precursor to attracting the capital needed to convert raw natural resources into lasting national prosperity.
He said mineral beneficiation is crucial to expanding the mining sector’s role in national development, value addition, and job creation.
Dr Kwesu said Zimbabwe’s industrialisation strategy should move beyond producing refined minerals to manufacturing finished products.
“Zimbabwe’s rich mineral endowment can be strategically leveraged to advance the country’s socio-economic development agenda. Mineral beneficiation serves as a catalyst for maximising the sector’s contribution to economic growth, industrialisation, value addition, employment creation, and national development,” he said.
He noted that the national strategy must pivot from relying on static comparative advantages to deliberately cultivating competitive advantages.
“Mining and manufacturing beneficiation are integrated critical components of the growth, development and transformation of Zimbabwe’s economy,” he said.
He called for a decisive shift in national policy to transition the country’s industrial sector, warning that possessing vast mineral reserves is no longer sufficient to secure economic growth.
“Mining beneficiation should not be viewed as the end goal. It should serve as the bridge to manufacturing beneficiation,” Dr Kwesu said.
“The availability of mineral resources does not necessarily provide a competitive advantage. There is need to address the competitive advantage issues to sustain beneficiation. The country therefore needs to develop an integrated policy framework to incorporate the mineral beneficiation and mineral value chains into the broader manufacturing and industrialisation framework,” he added.
Despite highlighting systemic barriers, Dr Kwesu pointed to key operational strides already made on the local beneficiation agenda.
He said the platinum sector now processes 100% of its concentrates in-country, while Zimplats is refurbishing its base metal refinery.
In the lithium sub-sector, he said producers are advancing under a government roadmap to process lithium sulphate locally by 2027, with Prospect Lithium already exporting sulphate.
He added that the Dinson Iron and Steel plant in Manhize is already producing over 600,000 tonnes of steel products annually toward a 1.2 million-tonne design capacity.
Dr Kwesu highlighted global market dynamics to demonstrate that primary mineral extraction does not automatically yield downstream industrial processing.
Pointing to international gap analyses across diamonds, gold, platinum group metals (PGMs), and steel, he noted that major beneficiation centres such as India, China, Japan, Europe, and Dubai capture the highest economic value despite producing minimal or no raw minerals themselves.
To bridge this gap, Dr Kwesu argued that local policies must look beyond primary refining. Zimbabwe’s mining sector is built on a rich geological endowment of over 60 commercially proven minerals, dominated by gold, PGMs, lithium, chrome, and iron ore.
The industry serves as the backbone of the national economy, contributing approximately 12% to GDP and generating more than 75% of Zimbabwe’s total export earnings.
While historically focused on raw extraction, the sector is increasingly pivoting toward domestic beneficiation and value addition to drive full-scale industrialisation and job creation.
