Business / Local
GMAZ happy with Mthuli Ncube and Mangudya
12 Aug 2021 at 11:02hrs | Views
THE grain milling industry has hailed 2021 mid-term fiscal and monetary policies presented by authorities, underscoring that the twin policies would foster price and exchange rate stability, at a time government has introduced a raft of measures to set Zimbabwe's floundering economy on a firm recovery and growth trajectory.
A fortnight ago, Finance minister Mthuli Ncube presented the 2021 Mid Term Budget statement, projecting that the economy would grow by 7,8% in 2021.
This was an upward review from the 7,4% that he forecast for 2021 when he announced the budget in November 2020.
Last week, Central bank governor John Mangudya buttressing the fiscal measures announced by Treasury, announced that the apex bank had inked a US$150 million facility with the Africa Export Import Bank to ease significant pressures being exerted on its overwhelmed foreign currency exchange system as demand outstrips available funding.
In a statement, the Grain Millers Association of Zimbabwe (GMAZ) chairperson Tafadzwa said the fiscal and monetary measures would stabilise the exchange rate-a key ingredient required by industry to sustain operations.
"We note with satisfaction that there is complementarity by the two statements towards consolidating and sustaining price and exchange rate stability.
The two policies expose the government's continued strenuous efforts in maintaining fiscal discipline and tight monetary conditions towards achieving macro-economic stability.
"The expected 7,8% GDP growth in 2021 against the economic headwinds fermented by negative Covid-19 economic impact attest to a buoyant economy manifesting," GMAZ said in a statement.
Growth in 2021 is forecast to be driven by bumper harvests largely attributed to government's Pfumvudza program.
GMAZ noted: "We are further thrilled by the current bumper grain harvest, particularly maize, which way exceeds the national requirement.
"The management of the same by government, in partnership with private sector, confirms to international best practices being executed to reward farmers and replicate the same bumper harvests in the forthcoming seasons."
A fortnight ago, Finance minister Mthuli Ncube presented the 2021 Mid Term Budget statement, projecting that the economy would grow by 7,8% in 2021.
This was an upward review from the 7,4% that he forecast for 2021 when he announced the budget in November 2020.
Last week, Central bank governor John Mangudya buttressing the fiscal measures announced by Treasury, announced that the apex bank had inked a US$150 million facility with the Africa Export Import Bank to ease significant pressures being exerted on its overwhelmed foreign currency exchange system as demand outstrips available funding.
In a statement, the Grain Millers Association of Zimbabwe (GMAZ) chairperson Tafadzwa said the fiscal and monetary measures would stabilise the exchange rate-a key ingredient required by industry to sustain operations.
The two policies expose the government's continued strenuous efforts in maintaining fiscal discipline and tight monetary conditions towards achieving macro-economic stability.
"The expected 7,8% GDP growth in 2021 against the economic headwinds fermented by negative Covid-19 economic impact attest to a buoyant economy manifesting," GMAZ said in a statement.
Growth in 2021 is forecast to be driven by bumper harvests largely attributed to government's Pfumvudza program.
GMAZ noted: "We are further thrilled by the current bumper grain harvest, particularly maize, which way exceeds the national requirement.
"The management of the same by government, in partnership with private sector, confirms to international best practices being executed to reward farmers and replicate the same bumper harvests in the forthcoming seasons."
Source - Byo24News
