Policy developments May 2020 update
Following Government’s announcement of the ZWL$18 billion Economic Recovery and Stimulus Package in May 2020, CZI highlighted some of the advantages and disadvantages of the package.
The package was aimed at reviving the economy and providing relief to individuals, households, small businesses, and industries impacted by the economic slowdown worsened by the coronavirus pandemic.
The main elements of the Recovery and Stimulus package were to provide critical liquidity support to all the productive sectors of the economy; including Manufacturing, Agriculture, Mining and Tourism.
According to CZI, one of the advantages of the Package was its support to agriculture which is expected to revive and strengthen
the local value chain. More advantages are highlighted on the attached document below.
In terms of disadvantages, foreign currency earning sectors of manufacturing, mining and tourism were collectively allocated a smaller share at ZWL$4.5 billion compared to agriculture which was meant to get ZWL$ 6 billion. Yet they are the most vulnerable
sectors to covid19.
Find more CZI thoughts on the ZWL$18 billion package POLICY DEVELOPMENTS UPDATE 13 May 2020.