Thought Leadership
Powering Zimbabwe: energy sector reforms and reasons for cautious optimism
Zimbabwe’s economy has demonstrated growth and resilience of late, despite being buffeted by global geopolitical turbulence, volatile commodity and energy prices and climate-related risks. After a drought-hit 2024, growth rebounded strongly in 2025 and is forecast at around 3.5% in 2026. The International Monetary Fund’s August 2026 review noted that Zimbabwe “has continued to consolidate stabilization gains under the [IMF] Staff-Monitored Program (SMP) despite external shocks”, with inflation low, the exchange rate broadly stable and a window opening to “advance reengagement toward arrears clearance and debt resolution”.