Register Login

"The Year 2023 Will Be Very Dire For Zimbabwe" - Economists Pessimistic

Economists are pessimistic about 2023 saying the situation will be “dire” in Zimbabwe due to a number of factors including harmonised elections and spill-over effects of difficulties encountered in 2022.

During a visit to the southern African country in December, the International Monetary Fund (IMF) predicted a further fall in the gross domestic product (GDP) by 3.5 per cent in 2023.

The Breton Woods institution cited, among other things, “renewed domestic and external shocks (inflation surge, erratic rainfall, electricity shortages, and Russia’s war in Ukraine) … adversely affecting economic and social conditions.”

Analysts say years of economic mismanagement under Zimbabwe’s first leader, Robert Mugabe and later under his predecessor Emmerson Mnangagwa, have stymied the economy, further exacerbated by hyperinflation and the currency devaluing rapidly.

Gift Mugano, a visiting professor of economics at the University of Zimbabwe Business School, said the country’s 2023 economic outlook is gloomy. He told Al Jazeera:

The year 2023 will be very dire, driven by spill-over effects of difficulties we encountered in 2022.

Zimbabwe is entering a very volatile social and economic period which needs level political minded leaders to handle this with care but I don’t see [the authorities] having that capacity to think straight in terms of management of the affairs of Zimbabwe

Some context:

1). In December, inflation in Zimbabwe peaked at 280 per cent, one of the highest rates globally. 

2). The Zimbabwean dollar also continues to weaken against the U.S. dollar. 

3.). Inflation and exchange rate could more than double by the second quarter of 2023 due to increased government spending.

4). The war in Ukraine and high inflation have also affected the agriculture sector which could plunge the nation into hunger and starvation.

5). Power cuts nationwide occasioned by reduced electricity generation have resulted in industries and households experiencing power outages that last for as much as 20 hours on a daily basis. Authorities hope refurbishment work at its Hwange Thermal Power Plant will add 300 megawatts to the national grid by the end of the first quarter of 2023.

6). Zimbabwe, which has traditionally relied on power imports from South Africa, Mozambique and Zambia, is now in a dilemma because the region is also grappling with an enormous power deficit.

7). It is almost certain that there will  be heightened political instability in the months leading to the polls and after, according to Rashweat Mukundu, a Harare-based independent political analyst. He said ZANU-PF will attempt as much as possible to stop any campaigns by the opposition be it in urban and rural areas using the security structures and also party militias.

Mukundu’s sentiments are shared by the Crisis Coalition of Zimbabwe which has warned that the coming election could become the bloodiest in Zimbabwe’s history.

More Pindula News

Share Article



SeeSee 4 weeks ago

CCC have the solution and the international community trust them when they are in charge.Apa pakudiwa vanogona kwete varinani.

Nahoreka 4 weeks ago

What else were we to expect from a regime that grabbed power thru a coup and went on to steal the elections?

Shampoo 4 weeks ago

We need competition pakutonga apa. Not relying on one Party chete.

Chamatams 4 weeks ago

Zvimwe Cherima yakauya munyika iyi ingapere. Kana ivo vazvipa ma Solar, moto kanganwa. Think before you vote.

Dzvamu 4 weeks ago

Simple choice. Any purpose of an election is to replace failure with potential. Replace mediocre with those with capacity. In CCC every zimbo is synonymous with Biti. Even rural areas the alleged support base of the incumbent. The current elite have failed in all honesty and with facts onthe ground. No jobs, even with available jobs they pay little monies. Those inthe informal sector can lay claim to better livelihoods. So what kind of life is this? Surely failure is smelt everywhere. Remember 2008 when the economy was dead the incumbent lost, there is no difference with this current scenario.

CCC for 2023 4 weeks ago

Vote for progress and prosperity. Don't vote for those who will tell you about sanctions for the next 5 years

Hannibal Lecter 4 weeks ago

u don't need an economist to tell you that this year.....this year we f.u.c.k.ed

4 weeks ago

According to Mthuli Ncube and Panonetsa Mangudya they said the opposite kkkk anzi zvinhu zvakutonaka and zvirikutonaka , the economy is growing at more than 2% 2e are having a budget surplus, Magetsi arikushaika because of the increased economic activities munyika. And a recent survey by an American Fintec Zim economy is going to post a surplus🤣🤣🤣🤣. Tirikutaurirwa zvekupenga nevarume ava zvekutoti vanotiona se brainless citizens who cant think.kutiiudza kuti inflation will cool down kunge ya weather !!!!! Yet its at 240% one of the highest in the world.


gg 4 weeks ago

we are tired of tgese pessimitic people. They always see bad things ahead. They dont give people hope which is a dangerous mindset

Zuze 4 weeks ago

A more dangerous mindset is like yours which rationalises mediocrity and failure. ZANU has failed us for 43 years. That's enough reason to 3pessimistic.

Optimism under such circumstances is like the proverbial ostrich- hiding head in the sand and pretending not to see the collapse of this once beautiful country Zimbabwe

patriot 4 weeks ago

mvura iri kunaya hatife ne nzara kunyepa ikoko. Muboora, mutakura, chibage , mbambaira, manhanga etc zvinenge zvakazara

stallion 4 weeks ago

sorry for your poor thinking

MuSabatha(SDA) 4 weeks ago

In this age and time? You want us to go back to the days our forefathers used to survive on mangai, mutakura, muboora, nhopi, etc, and you say thats development? Shame on you @patriot.

Zuze 4 weeks ago

@patriot, your backwardness reeks of manyoka echolera. You want to take us back to the 16th century diet of muboora, maputi and mazhanje. Wake up and move with the times - think in terms of bacon and eggs, strawberries and cream, steak and chips not mangai and mutakura.

Next ZANU will want us to dress in nhembe and shashiko sedzaMbuya Nehanda. No wonder this country has gone to the dogs

cathy 4 weeks ago

and our cost of living went up today as vat increased from 14.5 per cent to 15 pet cent

Tkt 4 weeks ago

vele even after Hwange Refurbishment, we will still be IMPORTING from Hwange 7&8 failure to pay of which power will be exported to S.A by our all weather Friends, kkkk

Leave a comment

Recent News

News Categories