By Rudo Saungweme

Economic recovery is expected in 2020, with projected growth of three percent, a Cabinet Minister has said.

Minister of Finance and Economic Development, Professor Mthuli Ncube said this today whilst presenting the 2020 National Budget Highlights in Harare.

“Economic recovery is expected in 2020, with projected growth of three percent. This is premised on the following assumptions, expected better rainfall season, increased use of irrigation to sustain agricultural activities, better planning for agriculture production, improved electricity supply through imports and other alternative sources of energy like solar, improved macro-economic environment, fiscal incentives to various sectors of the economy and improved investments by both public and private sector,” said the Minister.

Minister Ncube also said following the introduction of the local currency, competitiveness has improved and as a result, the country’s current account has also improved from -US $1.4 billion in 2018, to a projected -US $ 323 in 2019.

He said that in 2020, the current account is poised to further improve on the back of improved export performance and a shift of demand towards locally produced goods.

Professor Ncube recited the 2020 priority areas to enhance productivity for growth which includes agriculture, mining, industry tourism and the tripartite negotiating forum.

He mentioned that Government introduced Tax relief Measures so as to encourage productivity in all sectors of the economy.

Tax relief Measures introduced are, youth employment tax credit, personal income tax-free, bonus tax-free threshold among others.

Monetary and fiscal reforms being undertaken by Government will see a significant growth in the economy, and will help Zimbabwe to attain Vision 2030.