Zimbabwe's GDP increased from $52.8 billion in the first quarter of 2022 to $56.1 billion in the first quarter of 2023, a 6.2% increase, reports say.
The increase in GDP growth rates is consistent with the nation's persistent development path, advocated by Zimbabwe's President Emmerson Mnangagwa, who has seen the nation overcome macroeconomic challenges to achieve key milestones in a variety of economic sectors.
For instance, between 2018 and 2022, the so-called New Dispensation (a government program) launched 6,869 development projects nationwide, of which 4,984 were finished and 1,885 were still in progress as of December 2022.
The inclusive development strategy has strengthened Zimbabwe's unwavering will to improve the livelihoods of ordinary people by facilitating extensive enterprise development and a large increase in job possibilities across industries.
The agriculture, finance, manufacturing, mining, retail, wholesale and insurance sectors, which continue to make significant steps in accordance with the National Development Strategy (NDS1) principles, were the main development drivers, according to the Zimbabwe National Statistics Agency (ZIMSTAT).
The estimates give indicators of economic activity based on events during the first three months of the year, according to Taguma Mahonde, ZIMSTAT's director general, who presented the first quarter GDP report for 2023.
"The 2023 first quarter recorded a year-on-year growth rate of 6.2% when compared with the first quarter of 2022," said Mahonde. "During the first quarter of 2023, the top five contributing industries in terms of value added were wholesale and retail trade which contributed 20.1 percent, mining and quarrying (14%), agriculture (12%), finance and insurance (9.6%) and manufacturing with 8.9%."
According to him, the sectors that saw substantial improvements in the time period under review on an annual basis were information and communication technology (30.2%), mining and quarrying (18.9%), finance and insurance (16.2%), transport and storage (16%), wholesale and retail trade (10.9%), and agriculture, fishing, and forestry (4.7%).
Other industries that contributed more to the GDP in the first quarter of 2023, include manufacturing, the provision of electricity, gas, steam, and air conditioning, the provision of water and sewerage, the management and remediation of waste, construction, and the provision of lodging and food services, he said.
However, Mahonde emphasized that value-added products decreased by 11.1% from the fourth quarter of 2022 to the first quarter of 2023.
"The slowdown in the first quarter was mainly on account of a decline in electricity production, decline in mineral output, depressed demand for goods and services, and decline in manufacturing activities," he stated.
Mahonde also noted that the industries that experienced declines quarter over quarter in the first quarter of 2023 were manufacturing, which fell by 40%, accommodation and food services, which fell by 23.2%, electricity, which fell by 21.6%, transport and storage, which fell by 13.5%, information and communication, which fell by 12.2%, and wholesale and retail trade, which fell by 11.6%.
According to reports, the fact that Zimbabwe has succeeded in outpacing the predicted GDP growth of 5.5 percent to post a record 6.2 percent annual increase is a strong testament to the beneficial impact of the government's policy reforms implemented since the establishment of the Second Republic in 2017.