Zimbabwe’s finance minister announced on Thursday that the country aspires to establish a fresh staff-monitored program in collaboration with the International Monetary Fund (IMF) by April 2024. In preparation for this endeavor, an IMF delegation is scheduled to arrive later this month to engage in preliminary discussions.
Minister Mthuli Ncube, while participating in the IMF and World Bank Annual Meetings in Marrakech, articulated our intention to have finalized and signed off on a Staff Monitored Programme by the time we attend the spring meetings in April 2024, emphasizing our commitment to this initiative.
The forthcoming program will prioritize upholding fiscal discipline, refining the exchange rate system, and sustaining a stringent monetary policy. Zimbabwe’s economy has been marred by recurring episodes of hyperinflation, underscoring the importance of these measures.
Zimbabwe currently faces a challenge in accessing long-term international capital due to its substantial $14 billion debt owed to foreign lenders, which encompasses institutions such as the World Bank and the African Development Bank. A significant portion of this debt, nearly half, remains in arrears, presenting a substantial financial hurdle for the nation.