i


QUARTERLY
ECONOMIC
REVIEW


SEPTEMBER 2023


CONTENTS


iii
List of Figures


iv
List of Tables

1.
OVERVIEW


According to IMF World Economic Outlook of
October 2023, global economic growth is
forecasted to slow down from 3.5 per cent in
2022 to 3.0 per cent in 2023 and 2.9 per cent in
2024 on account of tighter global monetary and
financial conditions occasioned mainly by the
Central Banks’ efforts to combat inflation. This
is well below the historical (2000–2019) average
of 3.8 per cent. Global inflation is expected to
decline steadily, from 8.7 per cent in 2022 to 6.9
per cent in 2023 and 5.8 per cent in 2024,
primarily driven by a tighter monetary policy
stance by Central Banks.
On the domestic front economic activity
remained
buoyant
supported
by
the
improvement in electricity generation, pick up in
tourism including food and accommodation
industries. The increases in activities in these
sectors is expected to impact positively on
overall economic growth.
Headline inflation decelerated from 30.9% in
June 2023 to end the third quarter of 2023 at
18.4%. The dissipating inflationary pressures
during the third quarter was partly attributed to
the relative stability in the exchange rate
underpinned by a tighter monetary policy stance.
Broad money stock (M3) stood at ZW$15 714.07
billion in September 2023, compared to
ZW$14 275.48 billion recorded in June 2023. In
terms of composition, foreign currency deposits
accounted for 82.89% of broad money, followed
by local currency deposits, at 17.04%; while
currency in circulation constituted the balance of
0.07%.


During the third quarter of 2023, the Zimbabwe
Stock Exchange was characterised by bearish
sentiments reflecting the generally tight liquidity
in the market. As a result, major indices
registered declines, with the All Share, Top 10
and Top 15 indices declining by 26.12%, 39.21%
and 30.30% to close at 126 642.42 points, 56
560.21 points and 82 825.72 points, respectively.

Regarding the national payments, the value of
electronic transactions processed through the
National Payment Systems (NPS) in the third
quarter of 2023 increased by 95% to ZW$84.55
trillion from ZW$43.45 trillion recorded in the
previous quarter. NPS volumes, however,
decreased by 12% to 167.41 million from 189.39
million during the same period.

The country’s merchandise exports for the third
quarter of 2023 amounted to US$1,931.0 million,
against merchandise imports of US$2,375.2
million. The country’s trade position widened
from a deficit of US$435.0 million in the second
quarter of 2023 to US$444.2 million during the
reporting period.

2.
INTERNATIONAL
ECONOMIC
DEVELOPMENTS

Global economic growth is forecasted to slow
down from 3.5 per cent in 2022 to 3.0 per cent in
2023 and 2.9 per cent in 2024 on account of
tighter global monetary and financial conditions
occasioned mainly by the Central Bank’s efforts
to combat inflation. This is well below the
historical (2000–2019) average of 3.8 per cent. In
addition, China's property sector crisis has the
potential to deepen with far-reaching impact on
various sectors of the global economy, mainly for
commodity-exporting countries.

Global inflation is expected to decline steadily,
from 8.7 per cent in 2022 to 6.9 per cent in 2023
and 5.8 per cent in 2024, primarily driven by a
tighter monetary policy stance by Central Banks
coupled with depressed international commodity
prices. The disinflation process will, however,
come with the trade-off of muted global growth
and sluggish recovery in commodity prices. As a
result, the risks to global growth remain tilted to
the downside

Near-term inflation expectations have risen and
could contribute, along with tight labour markets,
to core inflation pressures persisting and
requiring higher policy rates than expected.
Recurring climate and geopolitical shocks could
cause additional food and energy price spikes.
Intensifying geoeconomic fragmentation could
constrain the flow of commodities across
markets, causing further price volatility and
complicating the green transition.


Table 1 shows the global and regional economic
growth developments and outlook.

Table 1: World Economic Growth Rates
(2022-2024)

Region/Country

Est.

Proj.
2024 Proj.
World Output
3.5
3.0
2.9
Advanced
Economies
2.6
1.5
1.4
USA
2.1
2.1
1.5
Euro-Area
3.3
0.7
1.2
United Kingdom
4.1
0.5
0.6
Emerging
Markets &
Developing
Economies
4.1
4.0
4.0
Emerging and
Developing Asia
4.5
5.2
4.8
China
3.0
5.0
4.2
India
7.2
6.3
6.3
Emerging and
Developing
Europe
0.8
2.4
2.2
Russia
-2.1
2.2
1.1
Sub Saharan
Africa
4.0
3.3
4.0
Nigeria
3.3
2.9
3.1
South Africa
1.9
0.9
1.8
Sources: IMF World Economic Outlook (WEO): October 2023
Update
The growth rate of advanced economies is
forecasted to decline from 2.6% in 2022 to 1.5%
in 2023. This represents a slight upward revision
of 0.2 percentage points compared to the April
2023 projection. The growth rate is projected to
decrease to 1.4% in 2024. Notably, growth
prospects for the Euro area and the United
Kingdom are expected to fall to 0.7% and 0.5%
in 2023, respectively. Growth in the United
States is projected at 2.1% in 2023. The forecast

is revised upward by 0.3 percentage points for
2023, owing to stronger business investment and
resilient consumption growth.

For
emerging
markets
and
developing
economies, growth is expected to fall from 4.1
per cent in 2022 and stabilise at 4.0 per cent in
2023 and 2024. This is primarily driven by
regional divergences, with growth in two of the
five main geographic regions rising in 2023 and
then falling in 2024. Growth in Emerging and
Developing Asia is projected to increase from 4.5
per cent in 2022 to 5.2 per cent in 2023 and
decline to 4.8 per cent in 2024, reflecting a
downward revision of 0.1 and 0.2 percentage
points for 2023 and 2024, respectively. The
revision indicates a downward adjustment to
China's forecasted growth. Specifically, the
growth forecast for China for 2023 has been
revised downwards by 0.2 percentage points,
resulting in a projected growth rate of 5.0 per
cent. Similarly, the forecast for 2024 has been
revised down by 0.3 percentage points, leading to
a projected growth rate of 4.2 per cent.

Since July, there has been an upward revision of
0.6 percentage points to the growth rate of
emerging and developing Europe. As a result, it
is anticipated that the growth rate for the region
will increase to 2.4% in 2023. However, it is
projected to decrease to 2.2% in 2024. Russia’s
growth rate is anticipated to increase from -2.1%
in 2022 to 2.2% in 2023. This growth is attributed
to significant fiscal stimulus, robust investment,
and resilient consumption in tight labour
markets. The forecast for 2023 also includes a
notable increase of 5.0 percentage points in the
growth projection for Ukraine, reaching 2.0%.
This increase is driven by stronger-than-expected
growth in domestic demand as businesses and
households adapt to the ongoing war in the
country, declining inflation, and stable foreign
exchange markets.

The growth trajectory of sub-Saharan Africa is
expected to decline in 2023, with a projected rate
of 3.3 per cent, before rebounding to 4.0 per cent
in 2024. Despite the anticipated improvement,
the growth rate is predicted to remain below the
historical average of 4.8 per cent in the nearterm. The projected decrease in growth in 2023
can be attributed to multiple factors, including
adverse weather shocks, the global economic
slowdown, and domestic supply challenges,
particularly in the electricity sector. In Nigeria,
growth is forecasted to decline from 3.3 per cent
in 2022 to 2.9 per cent in 2023. This is mainly
influenced by the negative impact of high
inflation on consumption. South Africa’s growth
is expected to decline from 1.9 per cent in 2022
to 0.9 per cent in 2023, owing to power
shortages. However, there has been a 0.6
percentage point upward revision in the forecast,
as the intensity of power shortages in the second
quarter of 2023 was lower than initially
anticipated.

Overall, downside risks dominate the global
economic outlook as China’s economic growth
declines and commodity prices become more
volatile amid climate and geopolitical shocks.
Additionally,
persistent
inflation,
financial
market repricing, deepening geo-economic
fragmentation, and increasing debt distress could
negatively affect global trade growth and
constrain policy responses.

INTERNATIONAL COMMODITY PRICE
DEVELOPMENTS
Most commodity prices retreated during the third
quarter of 2023 amid a stronger U.S. dollar on
investment demand. Table 2 shows the evolution
in selected commodity prices during the review
period.
Table 2: Commodities Price developments

Gold
Platinu
m
Copper
Nickel
Crude
Oil

US$/oz
US$/oz
US$/tonne
US$/tonne
US$/Bar
rel
2023 Q2
Average

Jul-23

Aug-23

Sep-23

2023 Q3
Average

Quarterl
y
Changes

Source: World Bank and Bloomberg, 2023

Precious Metals

Gold prices experienced a 2.4% decrease during
the third quarter of 2023 to average US$1,929.19
per ounce, from US$1,976.20 per ounce in the
previous quarter. The decline in gold prices was
partly attributed to the strengthening of the U.S.
dollar amid investor expectations of a prolonged
restrictive monetary policy stance by the U.S.
Federal Reserve.
During the period under review, platinum prices
decreased by 9.4%, from an average of
US$1,027.78 per ounce during the second
quarter to US$931.27 per ounce in the third
quarter of 2023. The decline in the platinum
prices was primarily attributed to China's
weaker-than-expected economic growth, which
has negatively impacted the demand sentiment
for platinum.
During the third quarter of 2023, palladium
prices experienced a significant decline of
13.1%, from an average of US$1,440.98 per
ounce in the second quarter to US$1,248.65 per
ounce. The decline was attributed to weak global
industrial demand, especially in the automotive
industry. Figure 1 shows the changes in the prices
of precious metals between September 2022 and
September 2023.

Figure
1:
Precious
Minerals
Prices
(US$/ounce): June 2022 – June

Source: Bloomberg, 2023
Base Metals
During the third quarter of 2023, copper prices
decreased to US$8,404.80 per tonne from
US$8,493.41 per tonne in the second quarter of
2023. The decline was underpinned by elevated
inventories and decreased risk appetite following
the indication by the U.S. Federal Reserve that

Sep-22
Nov-22
Jan-23
Mar-23
May-23
Jul-23
Sep-23
Gold
Palladium
Platinum (RHS)

monetary policy would remain restrictive for an
extended period. Additionally, disappointing
economic data from China, the largest consumer
of industrial metals globally, impacted the
demand outlook for the base metal.

During the third quarter, nickel prices retreated
due to subdued demand outlook from China and
Europe. Consequently, prices declined by 8.4%
from US$22,515.05 per tonne in the second
quarter of 2023 to US$20,616.70 per tonne in the
third quarter. Figure 2 shows the changes in base
metal prices throughout 2023.

Figure 2: Developments in base metal prices
Source: Bloomberg, 2023
Brent Crude Oil
During the quarter under-analysis, brent crude oil
prices witnessed an upward trend attributable to
supply constraints resulting from output cuts
implemented
by
prominent
oil-producing
countries such as Russia and Saudi Arabia.
Furthermore,
anticipations
of
a
demand
resurgence from the United States, the world's
largest oil consumer, also played a role.
Consequently, crude oil prices increased by
10.1%, reaching an average of US$85.80 per
barrel during the third quarter of 2023 from
US$77.96 per barrel during the second quarter.
Figure 3: Brent Crude Oil Prices (US$/barrel)


Source: Bloomberg, 2023

MERCHANDISE TRADE DEVELOPMENTS

During the third quarter of 2023, the country’s
total merchandise trade amounted to US$4,306.2
million, representing a 12.0% increase from
US$3,845.9 million recorded in the comparable
period in
2022. This
increase in
total
merchandise trade was largely on account of a
marked increase in both merchandise exports and
imports during the period under analysis.


1.2


Sep-22
Oct-22
Nov-22
Dec-22
Jan-23
Feb-23
Mar-23
Apr-23
May-23
Jun-23
Jul-23
Aug-23
Sep-23
Copper
Nickel

Sep-22
Oct-22
Nov-22
Dec-22
Jan-23
Feb-23
Mar-23
Apr-23
May-23
Jun-23
Jul-23
Aug-23
Sep-23

Figure 4: Quarterly Merchandise Total Trade
(US$m)
Source: Zimstat, 2023
Compared to the previous quarter, merchandise
trade rose marginally by 4.1% from US$4,137.6
million to US$4,306.2 million in the reporting
quarter, driven by growth in merchandise exports
and imports.

Merchandise Export Developments
The country’s exports for the third quarter of
2023 amounted to US$1,931.0 million, up 21.1%
from US$1,594.2 million registered in the
comparable quarter in 2022.


Figure 5: Quarterly Merchandise Exports
(US$m)
Source: Zimstat, 2023
Similarly, the third quarter of 2023 outturn was
4.3%, slightly higher than the US$1,851.3
million realised in the preceding quarter, as
shown in Figure 5.
The increase in the country’s export earnings
during the third quarter of 2023 was underpinned
by the improvements in industrial diamonds and
tobacco exports, which rose by 24.4% and 2.4%,
respectively. Notably, export earnings from
PGMs were subdued during the quarter under
analysis, owing to tapering commodity prices on
the global markets.


2022Q3
2023 Q2
2023Q3
1,594.2
1,851.3
1,931.0


2022Q3
2023Q2
2023Q3

Table 3 shows developments in the country’s
exports for the second and third quarters of 2023.
Table 3: Quarterly Merchandise Exports

2023Q2
(USm)
2023Q3
(USm)
Q2-Q3

Changes
(%)
Share of
Exports
(%)
Total

Gold

PGMs

Tobacco
(Incl.
cigarettes)

Industrial
diamonds

Ferrochromium

Coal

Cane sugar

Chromium
ores
and
concentrates

Cotton

Granite

Source: Zimstat, 2023

Major Merchandise Export Destinations

During the quarter under review, 48.3% of the
country’s export products were destined for Asia,
followed by Africa with 32.9%, Europe with
5.1%, and the Americas with 1.1%. Analyzing
the exports by country of destination during the
same quarter shows that the United Arab
Emirates absorbed 26.6% of the country’s
exports; followed by South Africa, 25.9% and
China, 16.2%.

Figure 6 depicts the country’s top export
destinations for the reporting quarter.
Figure
6:
Zimbabwe’s
major
export
destinations
Source: ZIMSTAT & RBZ Computations
Merchandise Import Developments

Merchandise imports for the third quarter of 2023
increased from US$2,251.7 million in the
corresponding period in 2022 to US$2,375.2
million, representing a 5.5% growth, as shown in
Figure 7.

United Arab Emirates
South Africa
China
Hong Kong
Mozambique
Belgium
Zambia
Viet Nam
Netherlands
Italy

Figure 7: Quarterly Merchandise Imports
(US$ m)

Source: Zimstat, 2023
In
comparison
to
the
previous
quarter,
merchandise imports which amounted to
US$2,375.2 million were 3.9% higher than the
US$2,286.3 million recorded in the second
quarter of 2023. The country’s imports were
primarily dominated by diesel and petrol. Other
major imports were machinery, fertilisers,
medicaments, and crude soya bean oil, as shown
in Table 4.


Table 4: Quarterly Merchandise Imports
(US$m)

Q2
(US$
M)
2023Q3
(US$M)
Q2-Q3

Change
s (%)
Share of
Imports
(%)
Total

Diesel

Leaded
petrol

Machinery

Fertilisers

Medicament
s

Crude soya
bean oil

Rice

Structures
& parts of
structures

Electricity

Wheat

Source: ZIMSTAT & RBZ Computations 2023
Major Import Sources
The country’s imports for the third quarter of
2023 were mainly sourced from South Africa
(38.8%), China (14.0%), Bahamas (8.9%), and
other markets, as shown in Figure 8.
2,251.7
2,286.3
2,375.2
2022Q3
2 0 2 3 Q 2
2023Q3
M E R CHA NDIS E IM P OR TS :
2022Q2 & 2023Q2

Figure 8: Major Merchandise Import Sources
(% Share)
Source: ZIMSTAT & RBZ Computations 2023

TRADE BALANCE
The country’s trade position widened from a
deficit of US$435.0 million in the second quarter
of 2023 to US$444.2 million during the reporting
period. Figure 9 depicts the country’s trade
balances for the second quarter of 2022, second
and third quarters of 2023.
Figure
9:
Merchandise
Trade
Balance
(US$ m)
Source: Zimstat & RBZ Computations-2023
Relative to the corresponding quarter in 2022, the
country’s trade balance narrowed from a deficit
of US$657.5 million in 2022 to a deficit of
US$444.2 million.

EXCHANGE RATE DEVELOPMENTS
During the third quarter of 2023, the interbank
exchange rate, appreciated by 5%, from
US$1:ZW$5,739.80 in the second quarter to
US$1:ZW$5,466.75.
Reflecting stability in the foreign exchange
market, the parallel market exchange rate
appreciated by 18.8% from US$1:ZW$8,500 in
the second quarter to US$1:ZW$6,900 in the
third quarter of 2023. The stability in the foreign
exchange market benefited immensely from the
introduction of the wholesale auction system by
the Reserve Bank of Zimbabwe (RBZ) in June
2023 which strengthened the interbank foreign
exchange market.

South Africa
China
Bahamas
Bahrain
United Arab Emirates
Hong Kong
Mozambique
Zambia
Mauritius
Egypt


2022Q3
2023Q2
2023Q3
Exports
Imports
Trade Balance

Precisely, the liberalisation of the foreign
exchange market has brought about stability and
reduced volatility in the domestic foreign
exchange markets. Consequently, the premium
associated with the parallel exchange rate was
below 30% for the greater part of the third quarter
of 2023, shown on Figure 10.
Figure 10: Exchange Rate Premium, March to
September 2023
Source: Reserve Bank of Zimbabwe 2023
3.
DOMESTIC
ECONOMIC
DEVELOPMENTS

REAL SECTOR DEVELOPMENTS

Economic activity remained strong during the
third quarter of 2023 on account of improvement
in electricity, tourism as well as food and
accommodation industries. The increases in
activities in these sectors is expected to impact
positively on overall economic growth.


AGRICULTURE
During the third quarter of 2023, there was
winding down of marketing of major cash crops
such as tobacco, and cotton. Remarkable
progress had also been made towards the
production of the winter wheat crop. The
livestock sector continued to be buoyant, with
increased offtake of the major classes such as
cattle and pigs.

Crops
Tobacco
As at end of September 2023, cumulative
tobacco sales stood at 296.04 million kilograms,
up 43% 207.10 million kgs sold in 2022. The
tobacco prices remained relatively flat at average
of US$3.03 per kilogram in 2023 from US$3.06
per kilogram in 2022. As a result, the total value
of tobacco at US$896.65 million surpassed the
previous years’ performance by 41.45%.

Sales of tobacco produced under contract
arrangements accounted about 93.27% of total
sale, with the remaining 6.73% being sold on
auction floors. Table 5 summarises the tobacco
sales statistics as at end of September 2023.

Table 5: Cumulative Tobacco Sales in 2022
and 2023

Variance (%)
Total sold
(million kg)
296.04 207.10
42.94
Total value
(US$ million)
896.65 635.90
41.45
Average price
(US$)/kg
3.03
3.06
-1.04
Source: TIMB, 2023.


31-Mar
21-Apr
12-May
2-Jun
23-Jun
14-Jul
4-Aug
25-Aug
15-Sep

Wheat
Wheat output is projected to surpass 400 000
tonnes in 2023, up from 375 131 tonnes in 2022.
The expected increase in output is due to a 11%
increase in crop area, adequate water, and
increased availability of electricity to power
irrigation throughout winter season. The third
successive annual increase in wheat production
is in line with Government desire for wheat selfsufficiency for the nation.

Cotton
Seed cotton deliveries by end of September 2023
amounted to 90.02 million kilogrammes, up
from 54.27 million kilograms which were
delivered during the comparable period in the
previous season. Government’s Free Cotton
Inputs Scheme accounted for 76.83% of the
intake. The remaining 23.17% was supported
and marketed to private contractors.

Livestock

Cattle
During the third quarter of 2023, cattle slaughters
from registered abattoirs stood at 93 086 head,
up 2.5 % from the 90 820 head in the same period
in 2022. This was also 1.5% higher than the 91
698 head slaughtered in the preceding quarter.

The increase in cattle slaughters in the third
quarter of 2023 is in line with the rising cattle
population, following the successful efforts at
curbing tick borne diseases, and improved
grazing, feed, and water availability. Table 6
shows quarterly cattle slaughters in 2022 and
2023.


Table 6: Cattle Slaughters

Variance %
Q1
81 249
87 352
7.51
Q2
82 323
91 698
11.39
Q3
90 820
93 086
2.50
Total
254 392
272 136
6.98
Source: Ministry of Lands, Agriculture, Fisheries, Water,
and Rural Development, 2023
Pigs
Pig slaughters stood at 59 615 head in the third
quarter of 2023, up 2.8% from the 57 992 head
that was slaughtered during the same period in
2022. Table 7 shows statistical information on
quarterly pig slaughters in 2022 and 2023.

Table 7: Quarterly Pig Slaughters

% Change
Q1
55 440
61 384
10.72
Q2
54 647
58 773
7.55
Q3
57 992
59 615
2.80
Total
168 079
179 772
6.96
Source: Ministry of Lands, Agriculture, Fisheries, Water
and Rural Development, 2023.
Dairy
Fresh milk production increased by 10.7% in the
third quarter of 2023 to 26.01 million litres, from
the 23.50 million litres produced during the same
period in 2022.

Figure 11 shows the trend in quarterly fresh milk
production since 2020.

Figure 11: Quarterly Fresh Milk Output
(litres)

Source: Ministry of Lands, Agriculture, Water and Rural
Development, 2023

The growth in milk production is largely driven
by the increase in the dairy herd, following
imports of cows and heifers by individual
farmers and other value chain players. Improved
husbandry methods have also resulted in
improved cow productivity. The dairy industry
has also benefited from Presidential pasture and
livestock
scheme,
which
boosted
fodder
availability.

MINING

Despite the depressed commodity prices outlook,
major minerals such as gold, platinum,
palladium, nickel, granite and lithium recorded
positive production performance in third quarter
of 2023. There were notable declines in the
production of phosphate, iridium, diamonds, and
coal during the same period.
Mining output outlook continues to be positively
influenced by the ongoing investment projects in
the
sector
including
exploration,
mine
development, and mechanization.


Table 8 shows mineral performances for 2022
and 2023 by quarters.

Table 8: Quarterly Mineral Output Statistics

q3 2023
q2 2023
q1 2023
q4 2022
Gold (kg)

Platinum
(kg)

Palladium
(kg)

Rhodium
(kg)

Iridium (kg)

Ruthenium
(kg)

Diamond
(cts)

Chrome
(MT)

Nickel (MT)

Copper
(MT)

Cobalt
(MT)

Coal (MT)

Lithium
(MT)

Phosphate
(T)

Granite
(MT)

Vermiculite
(MT)

Source: Ministry of Mines, 2023

Q4:2020
Q1:2021
Q2:2021
Q3:2021
Q4:2021
Q1:2022
Q2:2022
Q3:2022
Q4:2022
Q1:2023
Q2:2023
Q3:2023
Millions

Gold
Gold output stood at 8 601.77 kgs in the third
quarter of 2023, which is about 0.4% higher than
8 567.93 kgs produced in second quarter of 2023.
The third quarter of 2023 output was 16% lower
compared to the same period in 2022.
On a quarter-on-quarter basis, gold output was
boosted by increased output from both the
Artisanal Small-scale Gold Miners (ASGM) and
large-scale miners whose output increased by 4%
and 3%, respectively in the third quarter of 2023
when compared to the second quarter of 2023.
The ASGM miners delivered 60% (5,175 kgs) of
the total gold deliveries during third quarter of
2023 with large scale producers and secondary
scale producers accounting for 36% and 4%,
respectively.
Figure

shows
sectorial
contributions to total gold output during the
period under review.
Figure 12: Quarterly Developments in Gold
Output (kgs)

Source: Ministry of Mines and FPR, 2023


PGMs
The major components of the Platinum Group of
Metals (PGMs), platinum, palladium, and
rhodium registered marginal growth of 1.6%,
0.4% and 1% in the third quarter of 2023,
respectively, compared to the second quarter
2023.
Figure 13 shows trends in output from major
PGMs.
Figure 13: Quarterly Trends in Platinum and
Palladium Output

Source: Ministry of Mines, 2023
Rhodium output increased marginally by 1% in
the third quarter of 2023 despite the softening
prices of the commodity, as shown in Figure 14.
Figure 14: Quarterly Trends in Rhodium
Output

10000 12000
q4 21
q1 22
q2 22
q3 22
q4 22
q1 23
q2 23
q3 23
Large Scale Producers
ASGM
Secondary Producers

q4 21 q1 22 q2 22 q3 22 q4 22 q1 23 q2 23 q3 23
Platinum
Palladium

q1 22
q2 22
q3 22
q4 22
q1 23
q2 23
q3 23
kgs

Source: Ministry of Mines, 2023
Platinum mining houses continue to undertake
capital development projects including mine
development, exploration, and improvement in
operational efficiency to sustain PGMs output.
There are various capital projects in the PGMs
sub-sector at various stages in exploration,
replacement of depleting mines, establishment of
new concentrator plant, refurbishment of plants,
construction of solar power lines, construction of
furnaces and storage facilities.
Nickel

Nickel output recorded an output of 4 643 tonnes
in the third quarter of 2023, which is 8% above
output in the second quarter of 2023 and 4% less
compared to the third quarter of 2022, as shown
in Figure 15.
Figure 15: Quarterly Trends in Nickel Output

Source: Ministry of Mines, 2023
Output benefited from the primary producer,
Bindura Nickel Corporation (BNC) which
ramped up nickel production during the quarter
under review.
Diamond
Diamond output for third quarter of 2023 at 1.035
million carats was 14% down from 1.204 million
carats produced in the second quarter of 2023.
This was also 23% lower than carats produced
during the third quarter of 2022 as shown in
Figure 16.
Figure 16: Quarterly Trends in Diamond
Output 2021-2023

Source: Ministry of Mines, 2023
Diamond potential was adversely affected by
frequent power outages that resulted in loss of
production time at some of the mining houses.
Chrome

Chrome ore output for third quarter of 2023
amounted to 248 176.10 tonnes, which is 9.7%
lower than 274 978.3 tonnes produced in second
quarter of 2023. The q3 output was also 28%
lower than comparable period in
2022.
Depressed commodity prices weighed down
production.
Figure 17 shows developments in the chrome ore
output from first quarter of 2022 to third quarter
of 2023.

q4 21 q1 22 q2 22 q3 22 q4 22 q1 23 q2 23 q3 23
mt


q4 21 q1 22 q2 22 q3 22 q4 22 q1 23 q2 23
carats

Figure 17: Quarterly Trends in Chrome Ore
Output

Source: Ministry of Mines, MMCZ, 2023
Coal

Coal output for third quarter of 2023 was
recorded at 1 254 417.52 tonnes, a 30% decline
from 1 781 038 tonnes produced in second
quarter of 2023. The output was 22% above
output produced in the comparable period in
2022, as shown in Figure 18.
Figure 18: Quarterly trends in coal output
2022 and 2023

Source: Ministry of Mines, 2023
TOURISM
Performance in the tourism sector was positive
during the third quarter of 2023 as the sector
continues to record remarkable growth, on
account of improved accessibility, heightened
marketing efforts, and rising international
interest. Further the increase in investments in
the tourism industry since the beginning of the
year, saw significant improvement in the
operations in the tourism industry.

Tourist Arrivals
During the third quarter of 2023 the country
recorded a total of 494 878 tourist arrivals which
was 41.9% higher than 348 559 recorded in the
comparable period in 2022. Arrivals from major
source markets, however, registered growth for
the third quarter of 2023 in comparison to the
second quarter of 2023, as shown in Table 9.

Table 9: Quarterly Tourist arrivals
Q3:2022
Q2:2023
Q3:2023
Africa
217,096
235,828
344,496
America
41,522
23,334
41,569
Asia
16,388
15,056
29,910
Europe
66,838
38,958
66,482
Middle Est
1,698
2,042
3,232
Oceania
5,017
5,374
9,189
TOTAL
348,559
320,592
494,878
Source: ZTA 2023

The increase in tourist arrivals was attributed to
the ongoing recovery in global tourism,
improved transportation infrastructure, and
marketing and promotion initiatives by the
players in the tourism industry. The remarkable
increase in monthly tourist arrivals is shown in
Figure 19.


q1 22 q2 22 q3 22 q4 22 q1 23 q2 23 q3 23
tonnes


q1 22 q2 22 q3 22 q4 22 q1 23 q2 23 q3 23
Tonnes

Figure 19: Monthly Tourist Arrivals in 2022
and 2023

Source: ZTA 2023

Tourism Receipts
In line with the rise in arrivals, tourism receipts
are estimated to have risen by 24% from
US$219.45 million in the second quarter of 2023
to US$272.26 million in the third quarter of
2023. The positive trend reflects effective
marketing strategies and improved appeal of
Zimbabwe’s cultural and natural attractions.

Figure 20 shows the trend in monthly tourism
receipts in the comparable periods 2022 and
2023.

Figure 20: Tourism Receipts January to
September (US$m)
Source: ZTA 2023

ELECTRICITY
Total power generated during the third quarter of
2023 amounted to 2,746.10GWh, increasing by
52.22% from the 1,804.01GWh produced in the
previous quarter. The rise in electricity
production was due to the commissioning of the
Hwange Units 7 and 8, which added about
937.22GWh during the quarter.

Hwange Power Station, inclusive of the newly
commissioned units, contributed 56.11% of total
electricity production during the third quarter,
while Kariba Hydro Power Station accounted for
39.08%. The reduced water allocation for
purposes of electricity generation impacted
negatively on performance of Kariba.

Table 10 shows power output statistics from the
major power stations and independent power
producers.


Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep

Table 10: Quarterly Power Output.

Q3:2022
Q2:2023
Q3:2023
Kariba
1 575.25
1 105.34
1 093.17
Hwange
642.02
560.79
567.68
Hesco
(Hwange7&8)


973.22
Bulawayo
9.92
3.51
3.78
Munyati
18.88
9.94
6.52
Harare
12.67
6.84
11.62
IPPs
20.45
117.59
90.10
Total (GWh)
2 279.19
1 804.01
2 746.10
Source: ZERA, ZPC; 2023

Electricity production by Independent Power
Producers (IPPs) fell to 90.10 GWh in the third
quarter of 2023, from 117.59GWh in the
preceding quarter. IPPs contributed about 3.3%
to total power output in the third quarter of 2023.
Figure 21 shows the trend of quarterly electricity
production by IPPs since the first quarter of
2022.

Figure 21: Quarterly Power Output by IPPs.

Source: ZERA, 2023

INFLATION DEVELOPMENTS
The Zimbabwe Statistical Agency, (ZIMSTAT),
revised their methodology for calculating
inflation, which resulted in the release of a new
CPI series with August 2023 as the base period.

Headline inflation decreased from 30.9% in June
2023 to 18.4% in September 2023. The drop in
inflation was driven by declines in both food and
non-food inflation.

Annual non-food inflation also declined from
28.9% in June 2023 to 16.3% in September 2023.
The deceleration in non-food inflation was on
account of housing, water, electricity, gas and
other
fuels,
transport,
education,
and
communication, among others. Figure 22 shows
the annual inflation trend since December 2021.

Figure 22: Annual Inflation Profile (%)

Source: Zimstat 2023

Month-on-month inflation declined from 12.1%
end of June 2023, to 1.03% at the end of
September 2023. The fall in monthly inflation
was driven by declines in food inflation which
dropped by 17.2 percentage points, from 18.2%
in June 2023 to 1.05% in September 2023. Nonfood inflation also decelerated significantly from

Q1

Q2

Q3

Q4

Q1

Q2

Q3
GWhs

Dec-21
Mar-22
Jun-22
Sep-22
Dec-22
Mar-23
Jun-23
Sep-23
Food
Non-Food
All Items

9.5% in June 2023 to 0.9% in September 2023.

Figure

shows
the
monthly
inflation
developments since September 2021.

Figure 23: Monthly Inflation Profile (%)

Source: Zimstat 2023

4.
MONETARY DEVELOPMENTS

Broad money stock (M3) stood at ZW$15 714.07
billion in September 2023, compared to ZW$14
275.48 billion recorded in June 2023. The growth
reflected quarterly expansion of ZW$900.70
billion (50.38%) and ZW$537.89 billion (4.31%)
in
local
currency
and
foreign
currency
components of broad money, respectively.

Foreign currency deposits accounted for 82.89%
of broad money, followed by local currency
deposits,
at
17.04%;
while
currency
in
circulation constituted the balance of 0.07%.
Figure 24 shows the components of broad money
and annual growth rates.


Figure 24: Broad Money Developments

Source: Reserve Bank of Zimbabwe, 2023

Domestic Credit

Domestic credit registered a quarter-on-quarter
growth of 22.79%, from ZW$10 786.06 billion
in June 2023 to ZW$13 243.83 billion in
September 2023. The growth was largely driven
by an expansion of ZW$2 927.63 billion in net
claims of Government, from a -ZW$321.41
billion in June 2023 to ZW$2 606.21 billion.
Credit to the other sectors of the economy,
however, declined, from ZW$11 107.47 billion
to ZW$10 637.62 billion during the period under
analysis.

With respect to private sector credit composition,
households and agriculture accounted for
23.31% and 16.77% of the total credit,
respectively. The manufacturing and distribution
sectors received 16.74% and 9.44% of the credit,
respectively. The composition of private sector
credit is shown in Figure 25.

Food
Non Food
All Items


Dec-21
Mar-22
Jun-22
Sep-22
Dec-22
Mar-23
Jun-23
Sep-23
%
ZW$ Billion
Currency in Circulation
Foreign currency deposits
Local currency deposits
Annual Growth

Figure 25: Distribution of Private Sector
Credit.
Source: Reserve Bank of Zimbabwe. 2023

Credit to the private sector was largely utilized
for recurrent expenditures, 38.29%; inventory
build-up, 28.14%; and fixed capital investments,
14.19%.

Interest Rates
During the quarter ending September 2023,
nominal lending rates quoted by banks ranged
between 64% and 160%. Time deposit rates for
60-day and 90-day tenures averaged 69.59% and
68.00%, respectively, while the average savings
rates were quoted up to a maximum of 36.46%
during the quarter under review.

5.
STOCK MARKET DEVELOPMENTS
ZIMBABWE STOCK EXCHANGE (ZSE)

During the third quarter of 2023, the Zimbabwe
Stock Exchange (ZSE) was characterised by
bearish sentiments as investors sought safe haven
in other investment options. As a result, major
indices registered declines, with the All Share,
Top 10 and Top 15 indices declining by 26.12%,
39.21% and 30.30% to close at 126 642.42
points, 56 560.21 points and 82 825.72 points,
respectively.

Table 11: Key Stock Market Indicators
ZSE Indicators
Jun-23
Sept-23

Change
(%)
All Share Index (points)
171 408.90
126 642.42
-26.12
Top 10 Index (points)
93 034.57
56 560.21
-39.21
Top 15 Index (points)
118 830.20
82 825.72
-30.30
Medium Cap Index (points)
436 363.92
502 702.38
15.20
Small Cap Index (points)
1 911 327.14
2 839 033.16
48.54
Mining Index (points)
76 960.49
125 531.67
63.11
Volume of shares traded (m)
473.57
624.76
31.92
Market Turnover (ZW$ m)
136 903.66
171 371.98
25.18
ZSE Capitalization (ZW$ m)
13 987 476.83
9 873 493.87
-29.41
Net Foreign Position (ZW$ m)
-9 299.30
-19 322.40
-107.78

VFEX Indicators


All Share Index (points)
76.17
74.50
-2.18
Volume of shares traded (m)
22.78
36.01
58.07
Market Turnover (US$m)
6.64
6.46
-2.72
VFEX Capitalization (US$m)
1 285.15
1 273.73
-0.89
Source: Zimbabwe Stock Exchange, 2023
The resource index, however, added 63.11% to
close at 125 531.67 points, during the quarter
under review, compared to 76 960.49 points
recorded in the quarter ended June 2023.

On a year-on-year basis, the All Share, Top 10
and Top 15 indices gained respective increases of
757.33%, 518.78% and 724.02%, from 14
771.65 points, 9 140.55 points and 10 015.47
points recorded in the comparable period last
Households
23.31%
Agriculture
16.77%
Mining
12.71%
Manufacturing
16.74%
Distribution
9.44%
Constructio
n...
Transport
&
Communic
ations
2.80%
Services
10.04%
Financial Org.
& Investments
6.20%
Other
0.01%

year. In the same vein, the mining index also
added 563.14 points, from 18 929.75 points
recorded in September 2022.

Figure 26 shows the developments of the ZSE
All Share, Top 10 and Mining indices for the
period September 2022 to September 2023.

Figure 26: ZSE All Share and Top 10 and
Mining Indices

Source: Zimbabwe Stock Exchange 2023

Market Capitalisation and Turnover

Market Capitalisation
During the second quarter of 2023, the local
bourse lost 29.41%, or ZW$4 113.98 billion
worth of capitalization to close at ZW$9 873.49
billion, compared to ZW$13 987.48 billion
recorded in the previous quarter.

Figure 27 shows the evolution of market
capitalization for the period 30 September 2022
to 30 September 2023.

Figure 27: Market Capitalization

Source: Zimbabwe Stock Exchange, 2023

Market Turnover
During the quarter ended September 2023, the
ZSE cumulative volume and value of shares
traded increased by 31.92% and 25.18% to
624.76 million shares and ZW$171.37 billion,
respectively. This compares to 473.57 million
shares and ZW$136.90 million shares recorded
in the prior quarter, respectively.


30-Sep-22
31-Oct-22
30-Nov-22
31-Dec-22
31-Jan-23
28-Feb-23
31-Mar-23
30-Apr-23
31-May-23
30-Jun-23
31-Jul-23
31-Aug-23
30-Sep-23
All Share Index
Top 10 Index
Mining Index


30-Sep-22
31-Oct-22
30-Nov-22
31-Dec-22
31-Jan-23
28-Feb-23
31-Mar-23
30-Apr-23
31-May-23
30-Jun-23
31-Jul-23
31-Aug-23
30 Sep 23

Figure 28: ZSE Market Turnover

Source: Zimbabwe Stock Exchange, 2023
Foreign investor participation, as measured by its
contribution to the value of shares traded, stood
at 2.90%, compared to 3.17% recorded in the
second quarter of 2023. Concomitantly, net
foreign position worsened to negative ZW$19.32
billion,
from
negative
ZW$9.30
billion
registered during the previous quarter.


Victoria Falls Stock Exchange (VFEX).
The VFEX market exhibited bearish sentiments
during the quarter under review. As a result, the
VFEX All Share index declined by 2.18% to
close the third quarter of 2023 at 74.50 points,
from 76.17 points recorded in June 2023.
On an annual basis, the VFEX All Share index
lost 47.96%, from 143.16 points recorded in
September 2022.

Figure 29: Victoria Falls Stock Exchange All
Share Index
Source: Victoria Falls Stock Exchange, 2023
VFEX Capitalization
During the third quarter of 2023, market
capitalization declined by 0.89%, or US$11.42
million to US$1.27 billion, compared to US$1.29
billion recorded in the quarter ended June 2023.
On
an
annual
basis,
however,
market
capitalization added 272.79%, from US$0.34
billion recorded in the comparable period in
2022.

Sep-22
Oct-22
Nov-22
Dec-22
Jan-23
Feb-23
Mar-23
Apr-23
May-23
Jun-23
Jul-23
Aug-23
Sep-23
VALUE TRADED ($BILLIONS)
VOLUME TRADED (MILIONS)
Volume
Value

30-Sep-22
31-Oct-22
30-Nov-22
31-Dec-22
31-Jan-23
28-Feb-23
31-Mar-23
30-Apr-23
31-May-23
30-Jun-23
31-Jul-23
31-Aug-23
30-Sep-23

Figure 30: VFEX market capitalization in
billions of US$

Source: Victoria Falls Stock Exchange, 2023

6.
PAYMENT,
CLEARING
AND
SETTLEMENT ACTIVITIES

The value of electronic transactions processed
through the National Payment Systems (NPS) in
the third quarter ended 30 September 2023
increased by 95% to ZW$84.55 trillion from
ZW$43.45 trillion recorded in the previous
quarter. NPS volumes, however, decreased by
12% to 167.41 million from 189.39 million
during the same period.

Table 12 provides the statistical information on
various payment streams for second and third
quarters of 2023.


Table
12:
Consolidated
Transactional
Activities
Payment
Stream
Q2 2023
Q3 2023
CHAN
GE
Proportion

Values in US billions

RTGS
27,319.2

54,505.54
100%
64.47%
POS

ATMS

MOBILE

INTERNET
11,422.1

20,068.40
76%
23.74%
TOTAL
43,449.3

84,545.56
95%
100.00%

Volumes in 000s

RTGS

POS

ATMs

MOBILE

INTERNET

TOTAL

Source: Reserve Bank of Zimbabwe, 2023
LARGE VALUE PAYMENTS
Zimbabwe
Electronic
Transfer
and
Settlement System
The value of transactions processed through the
RTGS system increased by 100% from
ZW$27.32 trillion in the second quarter to
ZWL$54.51 trillion in the third quarter of 2023.
RTGS
transactional
volumes,
however,
decreased by 9% to 2.79 million in the third
quarter of 2023 from 3.08 million recorded in the
second quarter of 2023, as shown in Figure 31.

30-Sep-22
31-Oct-22
30-Nov-22
31-Dec-22
31-Jan-23
28-Feb-23
31-Mar-23
30-Apr-23
31-May-23
30-Jun-23
31-Jul-23
31-Aug-23
30-Sep-23

Figure 31: Values and Volumes of RTGS
Transactions


Retail Payments
Figures 32 and 33 show the trend in the aggregate
values and volumes of retail transactions from
quarter ending 31 December 2021 to quarter
ending 30 September 2023.
The aggregate values of retail transactions
increased by 86.24% to ZW$30.04 trillion in the
period under review from ZW$16.13 trillion
recorded in the quarter ended 30 June 2023. The
retail volumes decreased by 11.65% to 164.62
million from 186.32 million during the same
period.
Figure 32: Retail Transaction Values from
June 2022 to June 2023

Source: Reserve Bank of Zimbabwe, 2023
Figure 33: Retail Transaction Volumes

Source: Reserve Bank of Zimbabwe, 2023

2022 Q1
2022 Q3
2023 Q1
2023 Q2
2023 Q3
Trillions
Millions
Values
Volumes

2022 Q3
2022 Q4
2023 Q1
2023 Q2
2023 Q3
Mobile Values in
Trillions
Other Retail Values in Trillions
POS
ATMS
INTERNET
MOBILE

2022 Q3
2022 Q4
2023 Q1
2023 Q2
2023 Q3
Mobile Volumes in Millions
Other Retai Volumes in Millions
RTGS
POS
ATMs
INTERNET
MOBILE

Collateral1

The value of collateral for Cheque Clearing,
Zimswitch and Central Securities Depository
(CSD)
settlement
systems
increased
to
ZW$98.12 billion in the quarter ended 30
September

from
ZW$57.68
billion
recorded in the previous quarter, as shown in
Figure 34. This was mainly due to an increase of
57% on Zim switch collateral.

Figure 34: Collateral Amounts from June
2022 to June 2023
Source: Reserve Bank of Zimbabwe, 2023
The Victoria Falls Stock Exchange Limited
(VFEX) foreign currency collateral for the
quarter
ended

September

was
US$59,777.72. The collateral remained stable
and adequately covered the risk levels associated
with the platform’s transactional activities.


1 The local collateral figure comprises of Cheque, Zimswitch,
Chengetedzai Deposit Corporation settlement system
Access Points and Devices
Table 13 below shows the access points and
devices from the first quarter to the third quarter
of 2023.

Table 13: Payment Systems Access Points and
Devices
PAYMENT SYSTEMS ACCESS POINTS

Q1 2023
Q2 2023
Q3 2023
Mobile
Banking
Merchants
53,781
54,050
54,320
ATMs

POS
133,205
132,171
137,380
PAYMENT SYSTEMS ACCESS DEVICES
Debit Cards
5,892,135
5,842,785
5,400,282
Credit Cards
15,764
15,867
17,150
Prepaid Cards
132,684
136,611
213,983
Mobile
Banking
Subscribers
7,097,833
7,958,441
8,146,645
Internet
Banking
Subscribers
626,313
474,463
453,998
Source: Reserve Bank of Zimbabwe, 2023
Ordinary POS population increased to 137,380
during the quarter under review from 132,171
recorded in the previous quarter.
There were 8.15 million active mobile financial
services subscribers registered in the period
under review from 7.96 million recorded in the
second quarter of 2023.


Q2 2022
Q3 2022
Q4 2022
Q1 2023
Q2 2023
MILLIONS
Clearing
Zimswitch
CDC

7.
FISCAL DEVELOPMENTS
Fiscal developments in the third quarter of 2023
resulted in cumulative revenues of ZW$7.22
trillion, against total expenditures of ZW$8.94
trillion, resulting in a budget deficit of ZW$1,744
billion. Table 14 shows the summarised fiscal
positions, during the second and third quarters of
2023.
Table 14: Summary of Second and Third
Quarter 2023 Fiscal Position
(ZW$ billion)
Q2
Q3
Revenue
3 236.75
7 219.65
Tax revenue
3 144.44
7 092.32
Non-Tax Revenue
92.31
127.33
Expenditure
2 574.28
8 963.70
Current
Expenditure
2 070.87
6 436.19
o/w employment
costs
818.18
2 626.42
Capital
Expenditure
503.41
2 527.52
Overall Balance
662.47
-1 744.05
Source: Ministry of Finance Economic Development and
Investment Promotion, 2023
Government Revenue
In the third quarter of the year, total revenue
amounted to ZW$7.22 trillion. Tax revenues at
ZW$7.1 trillion accounted for 98.1% of total
revenues. Non-tax revenues collected amounted
to ZW$127.3 billion, as shown in Figure 35.
Figure 35: Government Revenue Structure

Source: Ministry of Finance, Economic Development and
Investment promotion, 2023
Government Expenditure
Total
government
expenditures
of
ZW$8.96 trillion were recorded in the quarter
under review. Of this, recurrent expenditures
were ZW$6.44 trillion, and capital expenditures
totalled ZW$2.53 trillion.
Table 15 shows summary of Government
expenditure in the second quarter o and the third
quarters of 2023.
Table 15: Summarised Government Spending
(ZW$ billion)

Q2 2023
Q3 2023
Total Expenditure
2 574.28
8 963.70
Current Expenditure
2 070.87
6 436.19
Employment Costs
818.18
2 626.42
Operations
and
Maintenance
1 316.2
4 234.62
Interest On debt
18.19
18.84
Transfers
to
Provincial and Local
Authorities
35.67
88.74
Capital Expenditure
503.41
2 527.52
Source: Ministry of Finance, Economic Development and
Investment promotion, 2023
Tax on
Income and
Profits,
31.55%
Customs
duties, 9.34%
Excise duties,
12.69%
Taxes on
Specific
Services,
1.59%
Value Added
Tax (VAT),
32.22%
Tax on gross
Revenue,
5.84%
Taxes on
financial and
capital
transactions ,
4.68%
Other Indirect
taxes , 0.23%
Non-tax
Revenue,
1.9%

Current Expenditure
Of the ZW$6,436.19 billion spent on recurrent
expenditures, a total of ZW$4,234.62 billion
(65.8%) related to expenditure on operations and
maintenance. Employment costs amounted to
ZW$2,626.42 billion, equivalent to 27.7% of
total expenditure.
Transfers to Provincial and Local authorities
amounted to ZW$88.75 billion, representing
0.9%
of
total
government
expenditure.
Figure 36 shows the composition of Government
expenditure in the third quarter of 2023.
Figure 36: Government Expenditure, third
Quarter 2023

Source: Ministry of Finance, Economic Development and
Investment promotion, 2023
Capital Expenditure
During the quarter under review, capital
expenditure amounted to ZW$503.41 billion,
representing 18.7% of total spending.
Overall Budget Balance
The fiscal developments in the third quarter of
2023 culminated in a budget deficit of
ZW$1.74 trillion. Figure 37 shows the quarterly
developments in the overall budget balance in
2023.

Figure 37: Budget Balance for second quarter
and third quarter of 2023.

Source: Ministry of Finance, Economic Development and
Investment promotion, 2023


RESERVE BANK OF ZIMBABWE
NOVEMBER 2023
U3
Operations
and
Maintenance
44.6%
Transfers to Provincial
Councils and Local
Authorities
0.9%
Employment
Costs
27.7%
Interest on
debt
0.2%
Capital Expenditure

Revenue
Expenditure
Overall
Balance
ZW$ TRILLIONS
Q2 2023
Q3 2023

STATISTICAL TABLES

1. Depository Corporation Survey S1
2. Central Bank Survey S2
3. Other Depository Corporation Survey S3

4. Liabilities and Assets of the Central Bank
4.1.Reserve Bank: Assets


S4

4.2.Reserve Bank: Liabilities S5


5. Other Depository Corporation
5.1.Other Depository Asset S6
5.2.Other Depository Liabilities S7

6. Commercial Banks
6.1.Commercial Banks: Assets

S8
6.2.Commercial Banks: Liabilities
S9
7. Building Societies


7.1.Building Societies: Assets

S10

7.2.Building Societies: Liabilities S11


8. Sectoral Analysis of Commercial Banks
8.1.Sectoral Analysis of Commercial Banks’ Loans and Advances S12
8.2.Sectoral Analysis of Commercial Bank’s Deposits

S13


9. National Payment Systems


9.1.Values of Transactions


S14
9.2.Volumes of Transactions


S14

10. Interest Rates, Security Yields and Prices
10.1. Lending Rates


S15
10.2. Deposit Rates S15


11. Stock Exchange Indices


S16

12. Inflation


12.1. Monthly Inflation


S17
12.2. Quarterly Inflation


S18
12.3. Annual Inflation


S19

13. Balance of Payments
13.1. Cross Border Payments


S20
13.2. Cross Border Receipts


S21


S1


TABLE 1: DEPOSITORY CORPORATIONS SURVEY (ZWL$ '000)
Sep-22
Dec-22
Jan-23
Feb-23
Mar-23
Apr-23
May-23
Jun-23
Jul-23
Aug-23
Sep-23
Net Foreign Assets

Central Bank(net)

Foreign Assets

Foreign Liabilities

Other Depository Corporations(net)

Foreign Assets

Foreign Liabilities

Net Domestic Assets (NDA)

Domestic Claims

Claims on Central Government(net)

Claims on Central Government

Central Bank

ODCs

Less Liabilities to Central Government

Central Bank

ODCs

Claims on Other Sectors

Other Financial Corporations

State and Local Government

Public Non Financial Corporations

Private Sector

Central Bank

ODCs

Other Items(Net)

Shares and Other Equity

Liabilities to Other Financial Corporations

Restricted Deposits

Deposits and Securities Excluded from Base Money

Other Items(net)

Broad Money-M3

Securities Other than Shares Included in Broad Money

Broad Money-M2

Other Deposits

of which Foreign Currency Accounts

Narrow Money-M1

Transferable Deposits

Of which Foreign Currency Accounts

Currency Outside Depository Corporations

Memorandum Items
Reserve Money

FCAs as a Percentage of Deposits in M3

End Period Exchange Rate

Source: Reserve Bank of Zimbabwe, 2023


S2


Sep-22
Dec-22
Jan-23
Feb-23
Mar-23
Apr-23
May-23
Jun-23
Jul-23
Aug-23
Sep-23
Net Foreign Assets

Claims on Non Residents

Official Reserves Assets

Other Foreign Assets

Less Liabilities to Non Residents

Short Term Liabilities

Other Foreign Liabilities*

of which blocked funds

Net Domestic Assets (NDA)

Domestic Claims

Net Claims on Central Government

Claims on Central Government

Of which: Securities Other than Shares

of which USD Securities revaluations (Exchange rate
movements)

Loans

Loans and Advances

Amounts Due from Gvt including IMF SDR Drawdowns

Export Incentives

Less Liabilities to Central Government

Of which: Deposits

Other

Claims on Other Sectors

Other Financial Corporations

State and Local Government

Public Non Financial Corporations

Private Sector

Claims on Other Depository Corporations

Of which: Loans

Other Liabilities to ODCs

Of which: Aftrades Balances

Securities

Other Items(Net)

Shares and Other Equity

Other Items(Net)

Liabilities to Other Resident Sectors

Deposits and Securities Excluded from Base Money

Monetary Base

Currency Issued
11,272,402.40
11,964,211.27
12,815,922.27
Bond Coins

Bond Notes

Liabilities to ODCs

Reserve Deposits
961,770,952.77
1,020,125,611.77
1,269,591,004.47
Local Currency Reserve Deposits

Foreign Currency Reserve Deposits

Exess reserves

Private Deposits

TABLE 2: CENTRAL BANK SURVEY (ZWL$'000)


S3


TABLE 3: OTHER DEPOSITORY CORPORATIONS SURVEY (ZW$'000)
Sep-22
Dec-22
Jan-23
Feb-23
Mar-23
Apr-23
May-23
Jun-23
Jul-23
Aug-23
Sep-23
Net Foreign Assets

Claims on Non Residents

Of Which: Foreign Currency

Deposits

Other

Less Liabilities to Non Residents

Of Which: Deposits

Loans

Other

Net Domestic Assets (NDA)
1,325,580,796.37 1,849,663,031.57 2,086,330,268.75 2,151,497,989.83 2,436,728,709.28 2,776,123,933.49 5,305,321,211.88 10,381,649,903.19
9,339,710,968.86
9,929,068,164.23 11,838,030,324.64
Domestic Claims
1,129,850,559.29 1,560,712,801.46 1,833,685,570.36 2,076,642,721.56 2,344,581,681.58 2,468,884,258.96 5,233,802,367.26 10,666,408,952.84
9,209,603,094.31
9,141,777,182.20 11,119,177,418.85
Net Claims on Central Government

Claims on Central Government

Securities

Loans

Other

Less Liabilities to Central Government

Of which: Deposits

Other

Claims on Other Sectors

Other Financial Corporations

State and Local Government

Public Non Financial Corporations

Private Sector

Claims on the Central Bank

Currency

Reserves

Securities

Other Claims

Liabilities to the Central Bank

Other Items(Net)

Shares and Other Equity

Liabilities to other ressident sectors

Other Items(Net)

Deposits and Securities Included in Broad Money
1,911,815,680.07 2,328,737,176.16 2,661,127,850.66 2,903,848,419.81 3,181,141,294.55 3,574,645,172.37 7,211,196,961.65 14,248,926,344.43
12,977,295,486.31
13,385,978,575.73 15,694,463,475.53
Deposits Included in Broad Money
1,897,768,184.73 2,314,588,211.40 2,646,071,378.63 2,888,136,764.51 3,165,058,675.05 3,572,801,781.15 7,206,537,527.79 14,244,682,762.54
12,975,158,042.76
13,382,795,891.99 15,691,777,986.61
Transferable Deposits
1,740,700,191.97 2,081,176,430.96 2,371,032,667.32 2,594,362,513.35 2,832,323,179.02 3,303,913,423.92 6,651,231,769.05 13,178,109,450.38
12,150,500,072.13
12,522,593,843.18 14,746,268,275.64
of which FCAs
1,196,071,655.58 1,325,367,130.51 1,623,313,580.02 1,750,982,009.54 1,865,387,117.78 2,144,912,895.57 5,273,965,984.48 11,634,530,484.57
10,099,327,960.39
10,172,409,984.27 12,309,119,479.36
Other Deposits

of which FCAs

Money Market Instruments

Source: Reserve Bank of Zimbabwe, 2023


S4


S5


TABLE 4.2 RESERVE BANK: LIABILITIES
Bond Notes in
Circulation
Bond Coins in
Circulation
Bond Notes and
Bankers Deposits
Other Deposits
Govt. Deposits
Total Deposits
Foreign Liabilities
Capital and general
reserve
Other Liabilities
TOTAL

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Source: Reserve Bank of Zimbabwe, 2023
*Bond coins first issued in December 2014
* Bond Notes issued on 28 November 2016
ZWL$ Thousands
Deposits


S6


S7


S8


S9


S10


S11


S12


S13


END OF
AGRICULTURE
CONSTRUCTION
COMMUNICATIONS
DISTRIBUTION
FINANCIAL &
INVESTMENT
FINANCIAL
ORGANISATION
S
MANUFACTURING
MINING
SERVICES
TRANSPORT
INDIVIDUALS
CONGLOMERATES
TOTAL

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Source: Reserve Bank of Zimbabwe, 2023
TABLE 8.2: SECTORAL ANALYSIS OF COMMERCIAL BANKS DEPOSITS
$ ('000)


S14


S15


End of
Nominal Lending
Rates2
Individuals
Corporate
Savings
3 Months2

Jan
6.00-65.00
32.65
24.77
Jan
0.22-12.00
2.00-21.50
Feb
6.00-85.00
36.67
21.36
Feb
0.22-12.00
2.00-21.50
Mar
6.00-85.00
35.83
22.61
Mar
0.22-12.00
2.00-21.50
Apr
6.00-85.00
35.22
22.59
Apr
0.22-12.00
2.00-21.50
May
6.00-85.00
34.84
21.76
May
0.22-12.00
2.00-21.50
Jun
6.00-85.00
36.25
22.46
Jun
0.25-12.00
2.00-26.00
Jul
6.00-85.00
36.56
21.66
Jul
0.50-12.00
2.00-26.00
Aug
6.00-85.00
41.06
39.65
Aug
0.50-12.00
2.00-26.00
Sep
6.00-85.00
40.61
39.50
Sep
0.50-12.00
2.00-26.00
Oct
6.00-85.00
41.86
45.81
Oct
0.50-12.00
2.00-26.00
Nov
6.00-8500
39.13
38.10
Nov
0.50-12.00
2.00-26.00
Dec
6.00-8500
39.34
37.94
Dec
0.50-12.00
2.00-26.00

Jan
15.00-8500
39.32
39.62
Jan
0.50-12.00
2.00-26.00
Feb
15.00-8500
40.55
64.02
Feb
0.50-12.00
2.00-26.00
Mar
15.00-8500
40.74
43.88
Mar
0.50-12.00
2.00-26.00
Apr
15.00-8500
38.15
45.56
Apr
0.50-12.50
2.00-30.00
May
15.00-8500
38.01
47.25
May
0.50-12.50
2.00-32.00
Jun
15.00-8500
38.45
48.25
Jun
0.50-12.50
2.00-32.00
Jul
80.00-240.00
82.75
165.45
Jul
40.00
80.00-92.00
Aug
80.00-230.00
88.46
155.96
Aug
40.00
80.00-92.00
Sep
100.00-230.00
98.07
158.46
Sep
40.00
80.00-92.00
Oct
100.00-290.00
99.37
115.26
Oct
40.00
80.00-92.00
Nov
100.00-290.00
99.03
110.97
Nov
40.00
80.00-92.00
Dec
100.00-290.00
99.02
110.83
Dec
40.00
80.00-95.00

Jan
100.00-240.00
90.05
116.03
Jan
40.00
80.00-110.00
Feb
65.00-230.00
60.12
80.88
Feb
30.00
50.00-110.00
Mar
65.00-230.00
74.35
81.46
Mar
30.00
50.00-110.00
Apr
70.00-230.00
74.48
86.96
Apr
30.00
50.00-110.00
May
70.00-230.00
77.86
83.61
May
30.00
50.00-110.00
Jun
70.00-155.00
76.33
92.64
Jun
30.00
50.00-110.00
Jul
64.00-155.00
77.82
94.80
Jul
30.00
50.00-110.00
Aug
64.00-155.00
77.63
93.18
Aug
30.00
50.00-110.00
Sep
64.00-160.00
76.49
92.69
Sep
30.00
50.00-110.00
Source:Reserve Bank of Zimbabwe, 2023
Notes
3. Lending rates exclude rates on staff loans.
TABLE 10.2 : BANKS DEPOSIT RATES (percent per annum)1
1. The range of rates qouted by banks during the period.
2. Three (3) months deposit rates revised to exclude rates on inactive or
dormant accounts.
TABLE 10.1: LENDING RATES (percent per annum)1
1. Table revised, to separate weighted lending rates for individuals and
corporate bodies.
2. Nominal Lending Rates depict the range of rates quoted by banks.
Weighted Average Lending
Rates3
Commercial Banks
Commercial Banks
End of

S16


End of
All Share
Mining
Market
Turnover ZWL Volume of Shares
Market
Capitalisation

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

ZW$
TABLE 11: ZIMBABWE STOCK MARKET STATISTICS
Indices
Source: Zimbabwe Stock Exchange, 2023


S17


FOOD
INFLATION
ALL
ALCOHOLIC
BEVERAGES
& TOBACCO
CLOTHING
&
FOOTWEAR
HOUSING,
WATER,
ELECTRICTY,
GAS & OTHER
FUELS
FURNITURE
&
EQUIPMENT
HEALTH
TRANSPORT
COMMUNICATION
RECREATION &
CULTURE
EDUCATION
RESTAURANTS
& HOTELS
MISC.
GOODS &
SERVICES
TOTAL
NON
FOOD
FOOD & NON
ALCOHOLIC
BEVERAGES
ITEMS
WEIGHTS


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Source: ZIMSTAT, 2023
*ZIMSTAT changed base year to August 2023
NON-FOOD INFLATION
TABLE 12.1 : MONTHLY INFLATION -- PERCENTAGE CHANGE IN CONSUMER PRICE INDEX
( AUGUST 2023 = 100)*


S18


FOOD
INFLATION
ALL
ALCOHOLIC
BEVERAGES
& TOBACCO
CLOTHING
&
FOOTWEAR
HOUSING,
WATER,
ELECTRICTY,
GAS & OTHER
FUELS
FURNITURE
AND
EQUIPMENT
HEALTH
TRANSPORT
COMMUNICATION
RECREATION
& CULTURE
EDUCATION RESTAURANTS
& HOTELS
MISC.
GOODS &
SERVICES
TOTAL
NON FOOD
FOOD & NON
ALCOHOLIC
BEVERAGES
ITEMS
WEIGHTS


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Source: ZIMSTAT, 2023
*ZIMSTAT changed base year to August 2023
TABLE 12.2 : QUARTERLY INFLATION -- PERCENTAGE CHANGE IN CONSUMER PRICE INDEX
(AUGUST 2023 = 100)*
NON-FOOD INFLATION


S19


FOOD INFLATION
ALL
ALCOHOLIC
BEVERAGES &
TOBACCO
CLOTHING &
FOOTWEAR
HOUSING, WATER,
ELECTRICTY, GAS &
OTHER FUELS
FURNITURE &
EQUIPMENT
HEALTH
TRANSPORT
COMMUNICATION
RECREATION &
CULTURE
EDUCATION
RESTAURANTS &
HOTELS
MISC.
GOODS &
SERVICES
TOTAL
NON
FOOD
FOOD & NON
ALCOHOLIC
BEVERAGES
ITEMS
WEIGHTS


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Source: ZIMSTAT, 2023
*ZIMSTAT changed base year to August 2023
TABLE 12.3 : YEARLY INFLATION - % CHANGE IN CONSUMER PRICE INDEX
(AUGUST 2023 = 100)*
NON-FOOD INFLATION


S20


End of
Sep-22
Oct-22
Nov-22
Dec-22
Jan-23
Feb-23
Mar-23
Apr-23
May-23
Jun-23 Jul-23
Aug-23
Sep-23
Merchandise Imports (excl. energy)
389.0

400.9

445.9

359.3

478.5

348.7

420.9

331.6

400.1

371.6

460.8

437.3

451.5

- Consumption Goods
93.9

105.6

98.4

113.7

139.8

83.3

123.6

87.0

100.7

88.6

121.5

121.9

138.9

- Capital Goods
161.1

179.1

205.5

136.5

189.1

138.6

162.8

147.1

163.2

150.2

192.1

166.5

167.2

- Intermediate Goods
131.6

116.2

142.0

109.1

149.6

126.8

134.5

97.5

136.2

132.7

147.2

148.9

145.4

Energy (Fuel & Electricity)
201.8

166.6

151.7

220.7

156.1

148.1

169.1

155.0

168.8

141.6

166.8

163.1

141.1

Service Payments
65.4

101.2

79.1

93.0

62.1

49.5

77.6

74.8

65.6

80.8

90.9

99.3

79.1

- Technical, Professional & consult
25.9

61.9

39.9

52.5

30.8

26.5

32.6

33.8

27.5

38.7

41.6

49.6

37.4

- Software
10.9

15.2

9.5

11.9

5.5

5.5

15.7

11.0

14.1

9.3

11.7

13.5

13.5

- Other (tourism, edu, freight etc)
28.6

24.0

29.6

28.5

25.7

17.5

29.3

30.0

23.9

32.8

37.6

36.3

28.2

Income Payments (Profits, Dividends)
16.1

9.7

40.6

74.4

19.8

11.7

38.8

22.1

16.5

41.8

25.4

22.8

23.4

Capital Remittances (outward)
57.3

66.4

75.4

52.8

68.2

52.2

61.4

95.7

76.5

62.2

89.3

46.8

55.6

- External Loan Repayments
49.2

59.4

69.3

44.5

66.5

48.9

47.5

62.8

55.3

46.9

65.9

40.8

49.1

- Disinvestments
3.2

3.2

3.1

6.5

3.4

2.5

6.8

6.2

15.2

12.9

16.6

4.0

2.0

- Cross Border Investment
4.9

3.8

2.9

1.8

7.6

1.3

10.5

26.7

5.9

2.4

6.8

2.0

4.5

Other Payments
13.4

13.7

16.0

15.4

16.2

16.4

13.6

15.8

28.8

20.6

19.2

22.1

18.7

TOTAL
743.0

758.4

808.6

815.7

810.2

627.1

784.7

695.1

756.2

718.6

852.3

791.4

769.3

Source:Reserve Bank of Zimbabwe, 2023
Table 13.1: Monthly Cross Border Payments (US$ Millions)

S21


End of
Agriculture
Horticulture
Manufacturing
Mining
Tobacco
Tourism
Transport & Other Services
Total
Telecom

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Source:Reserve Bank of Zimbabwe, 2023
Table 13.2: Monthly Cross Border Receipts (US$Millions)


S22