Zimbabwe set to receive US$961 million from IMF

By ZBC Reporter

Economic experts believe the allocation of nearly one billion United States dollars in Special Drawing Rights by the International Monetary Fund will only boost the country’s economic growth prospects.

The IMF board of Governors approved the 650 billion package at the beginning of the month for its membership.

Speaking to ZBC News, economist Persistent Gwanyanya said the package has come at the right time when government has demonstrated prudent spending and shrewd economic planning which will boost the balance sheet of the country.

This is a big turbo charge for the Zimbabwean economy and given that already the economy is doing well in all aspects our foreign currency reserves will be boosted, he said.

Another economist, Titus Mukove noted that economic growth prospects of 7.8 percent are now even brighter given that the economy has already shown resilience to the COVID-19 fix. 

The allocation is timely and brightens the set targets by Treasury because as a country we have been largely affected by Covid-19 pandemic compared to other countries, noted Mukove.

The financial package is part of measures to cushion members of the IMF from COVID-19 induced economic shocks.

In the aftermath of the global financial crisis in 2008, Zimbabwe received over US$500 million in special drawing rights from the fund.