Mid-term budget review on today

the statement that the minister will present to Parliament this Thursday (today),” she said.

Financial market analyst, Mr George Nhepera, said the mid-term fiscal policy statement comes against a backdrop of a general stability in the economy that is characterised by stability both on the exchange rate front and the general pricing of good and services.

“This is unlike last year during the same period when the country went into its first lockdown period after the reported spikes in Covid-19 cases,” he said.

“By then the decision to quickly move away from austerity measures, which by nature were restrictive of expenditure, to stimulus policies and spending by Government, was indeed a very noble and wise decision.

“This is what has largely resulted in us receiving the economic stability dividend we are enjoying as a country.”

The Reserve Bank of Zimbabwe introduced the weekly foreign exchange trading auction last year, which has helped improve accessibility of forex by companies, as well stabilising the exchange rate.

“Our hope is that the Minister of Finance continues with the same path of introducing more and more stimulus policy packages since we are now in another lockdown period and battling the third wave of Covid-19 pandemic,” said Mr Nhepera.

Another economic commentator, Mr Munyaradzi Mhaka, said expectations were high that the mid-term fiscal policy would come with measures to boost disposable incomes.

“The statement should also focus on boosting disposable incomes, tackle the Covid-19 pandemic and restore market confidence,” he said.

Last year, Prof Ncube announced a $421,6 billion National Budget for this year in which he handed down tax relief measures to cushion workers and corporates in line with the Government’s thrust to steer increased production and widening the job market.

Prof Ncube had to strike a delicate balance between maintaining a tight macro-economic policy, incentivising production and cushioning workers and vulnerable groups.

Coming out of a background of austerity measures and the recent macro-economic and natural disaster shocks in the last two years, the 2021 budget buttressed the inclusive ideals of the National Development Strategy (NDS 1: 2021-2025).

President Mnangagwa launched the new blueprint last year to lead the way towards Vision 2030, succeeding the shortterm Transitional Stabilisation Programme (TSP), which scored major milestones. — @okazunga