Zimbabwe's forex inflows rise to US$3,35bn

Zimbabwe's foreign currency inflows surged to US$3.35 billion in the first two months of 2026, up sharply from US$1.89 billion recorded during the same period last year, according to the Reserve Bank of Zimbabwe (RBZ).

RBZ Governor John Mushayavanhu said the strong performance was largely driven by increased exports in the mining sector, particularly gold and Platinum Group Metals (PGMs).

"Reflecting strong export performance mainly driven by mining exports, particularly gold and PGMs, total foreign currency inflows increased to US$3.35 billion during the first two months to February 2026," he said following a Monetary Policy Committee (MPC) meeting.

The central bank noted that the surge in inflows has strengthened Zimbabwe's foreign exchange reserves and provided crucial backing for the local currency, the Zimbabwe Gold (ZiG).

According to the RBZ, the improved inflows have also contributed to greater stability in the foreign exchange market, helping to anchor confidence as authorities push ahead with monetary reforms.

Zimbabwe recorded more than US$16 billion in foreign currency receipts in 2025, supported by a current account surplus of about US$2 billion. The RBZ expects inflows to exceed that figure this year, underpinned by firm global commodity prices, improved agricultural output following a favourable rainy season, and sustained diaspora remittances.

The MPC also reaffirmed its tight monetary policy stance, leaving the benchmark interest rate unchanged at 35% in response to inflationary pressures linked to rising global oil prices.

At the same time, the central bank announced plans to introduce upgraded ZiG banknotes on April 7, 2026, following what it described as "overwhelming positive" feedback from a nationwide awareness campaign.

"The introduction of the upgraded ZiG Banknote Series is expected to improve transactional convenience and support wider use of the local currency," Mushayavanhu said.

In a move aimed at easing pressure on small-scale miners, the RBZ also temporarily suspended the export-retention threshold for gold producers after facing implementation challenges.

Despite global uncertainties, including geopolitical tensions in the Middle East pushing up oil prices, the central bank remains optimistic that inflation will stay within single-digit levels throughout 2026.

The latest figures point to a strengthening external position for Zimbabwe, with mining exports continuing to play a central role in driving economic momentum.