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Zimbabwe's Economy Expected To Shrink By 12.9% - Report

Zimbabwe's Economy Expected To Shrink By 12.9% - Report

Zimbabwe’s economy is projected to shrink by a massive 12.9%, the worst-performing behind Venezuela, according to the Economist/Vantu News.

The country is experiencing it’s worst economic meltdown since 2008, with over half of Zimbabweans being food insecure.

In June 2019, the government of Zimbabwe reintroduced the Zimbabwe dollar which had been abandoned in 2009 at the height of hyperinflation.

The new currency has however failed to end cash shortages or maintain its value. It has fallen by more than 1 680% against the United States Dollar.

With the majority of formally employed people working in the public sector, the government has failed to raise salaries to keep up with galloping inflation. Prices of goods and services have increased by more than 1 800% compared to 2016.

In contrast, Guyana is expected to register the best performance with its GDP expected to grow by a huge 35% while Rwanda is expected to come second with a growth of 8.1%, Bangladesh at number 3 with 7.7%, and Ethiopia is expected to come 4th with a 7.4% growth.

More: Vantu News

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