IMF Praises ZiG Stability, Urges Continued Economic Discipline
The International Monetary Fund (IMF) has praised Zimbabwe’s gold-backed currency, Zimbabwe Gold (ZiG), for its stability so far, but stressed that more must be done to keep the broader economy on track.
This came after an IMF delegation led by Mission Chief Wojciech Maliszewski met with President Emmerson Mnangagwa at State House on Monday, 9 June 2025. The team was joined by Finance Minister Professor Mthuli Ncube as part of ongoing talks under the Staff Monitored Programme (SMP)—a framework where the IMF helps governments implement reforms but without offering loans.
After the closed-door meeting, Maliszewski said Zimbabwe is heading in the right direction economically. However, he pointed out that lasting stability will require stronger policies.
He explained that the IMF and Zimbabwean authorities are working on agreements to keep the ZiG stable, improve the foreign currency market, and strengthen government spending controls.
“As you may be aware, we are here to discuss the Staff Monitored Programme. We are making good progress in agreeing on policies to enhance the stability of the domestic currency, deepen the foreign exchange market, and ensure fiscal discipline is fully entrenched,” he said.
According to him, these reforms are essential for building public trust and ensuring that the current calm in the economy lasts.
Maliszewski also stressed the importance of narrowing the gap between the official exchange rate and the black market rate, as it signals real confidence in the currency.
Finance Minister Mthuli Ncube said the discussions focused on how Zimbabwe can avoid slipping back into economic instability. He said the country has made progress, especially with the stability of the ZiG and declining month-on-month inflation.
Ncube added that if Zimbabwe can stay on this path, it will become easier for businesses to plan and grow due to better predictability. But he also pointed out that the country’s longstanding debt arrears need to be cleared to access affordable international loans.
“We have been discussing how to make sure we maintain fiscal discipline to ensure it continues. We need to look at the areas of risk and how to avoid those risks and be able to deal with them. We have come a long way, the ZiG is stable and the discussions of the staff monitoring programme are on how to maintain the stability of the ZiG. We have all been acknowledging the month-on-month stability of the inflation. It is quite clear that the macro stability is welcome to allow companies to thrive due to more predictability. The goal of clearing arrears is a real one, it will open flood gates for cheaper financing,” he said.
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