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Zimbabwe forex receipts jumps 17.9% to $10 billion in 2024
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Zimbabwe recorded a remarkable 17.9% increase in foreign currency receipts in the first nine months of 2024, reaching US$10 billion compared to US$8.5 billion during the same period in 2023. This growth, attributed to robust export performance and diaspora remittances, highlights the country's resilience in international trade amidst global economic fluctuations.
Export receipts, which accounted for 59% of total foreign currency inflows, underscored Zimbabwe's strong position in global markets. The total value of merchandise exports reached US$5.4 billion, marking a 3.3% increase compared to the same period in 2023. Key drivers included gold and tobacco, both experiencing heightened demand internationally.
Mineral exports rose to US$4.2 billion, a modest increase from US$4.1 billion in 2023. Gold emerged as a standout performer with a 16.7% surge in export value, reaching US$1.5 billion. This growth is attributed to higher production levels and increased global gold prices, as investors seek safe-haven assets amid economic uncertainties.
While gold shone brightly, the overall growth in mineral exports was tempered by fluctuations in the prices of platinum group metals (PGMs) and lithium, which affected their export values. Despite these challenges, Zimbabwe's mineral sector remains a cornerstone of its export economy.
Diaspora remittances accounted for 25% of total foreign currency inflows, continuing to play a vital role in supporting the economy. The steady inflow of funds from Zimbabweans abroad has been instrumental in bolstering household incomes and contributing to national development.
Finance, Economic Development, and Investment Promotion Minister, Prof. Mthuli Ncube, highlighted the significance of these inflows during his presentation of the 2025 National Budget at the New Parliament Building in Mt. Hampden on Thursday.
"Zimbabwe recorded a 17.9% increase in foreign currency receipts to US$10 billion in the first nine months of 2024 from US$8.5 billion received during the same period in 2023. The growth was primarily driven by export receipts and diaspora remittances which accounted for 59% and 25% of the total receipts, respectively," said Prof. Ncube.
Projections indicate that total merchandise exports will rise by 2.8% by the end of 2024, reaching US$7.4 billion, up from US$7.2 billion in 2023. Continued growth in gold and tobacco exports is expected to fuel this upward trend.
The surge in foreign currency receipts has also strengthened Zimbabwe's balance of payments position, providing financial stability and supporting the accumulation of foreign currency reserves.
As Zimbabwe benefits from rising global gold prices and increasing export volumes, the outlook remains positive for sustained growth in foreign currency earnings, reinforcing the country's efforts to navigate economic challenges and drive development.
Export receipts, which accounted for 59% of total foreign currency inflows, underscored Zimbabwe's strong position in global markets. The total value of merchandise exports reached US$5.4 billion, marking a 3.3% increase compared to the same period in 2023. Key drivers included gold and tobacco, both experiencing heightened demand internationally.
Mineral exports rose to US$4.2 billion, a modest increase from US$4.1 billion in 2023. Gold emerged as a standout performer with a 16.7% surge in export value, reaching US$1.5 billion. This growth is attributed to higher production levels and increased global gold prices, as investors seek safe-haven assets amid economic uncertainties.
While gold shone brightly, the overall growth in mineral exports was tempered by fluctuations in the prices of platinum group metals (PGMs) and lithium, which affected their export values. Despite these challenges, Zimbabwe's mineral sector remains a cornerstone of its export economy.
Diaspora remittances accounted for 25% of total foreign currency inflows, continuing to play a vital role in supporting the economy. The steady inflow of funds from Zimbabweans abroad has been instrumental in bolstering household incomes and contributing to national development.
"Zimbabwe recorded a 17.9% increase in foreign currency receipts to US$10 billion in the first nine months of 2024 from US$8.5 billion received during the same period in 2023. The growth was primarily driven by export receipts and diaspora remittances which accounted for 59% and 25% of the total receipts, respectively," said Prof. Ncube.
Projections indicate that total merchandise exports will rise by 2.8% by the end of 2024, reaching US$7.4 billion, up from US$7.2 billion in 2023. Continued growth in gold and tobacco exports is expected to fuel this upward trend.
The surge in foreign currency receipts has also strengthened Zimbabwe's balance of payments position, providing financial stability and supporting the accumulation of foreign currency reserves.
As Zimbabwe benefits from rising global gold prices and increasing export volumes, the outlook remains positive for sustained growth in foreign currency earnings, reinforcing the country's efforts to navigate economic challenges and drive development.
Source - The Herald
