Zimbabwe Economy Profile 2001

Economy - overview

The government of Zimbabwe faces a wide variety of difficult economic problems as it struggles to consolidate earlier moves to develop a market-oriented economy. Its involvement in the war in the Democratic Republic of the Congo, for example, has already drained hundreds of millions of dollars from the economy. Badly needed support from the IMF suffers delays in part because of the country's failure to meet budgetary goals. Inflation rose from an annual rate of 32% in 1998 to 59% in 1999 and 60% in 2000. The economy is being steadily weakened by excessive government deficits and AIDS; Zimbabwe has the highest rate of infection in the world. Per capita GDP, which is twice the average of the poorer sub-Saharan nations, will increase little if any in the near-term, and Zimbabwe will suffer continued frustrations in developing its agricultural and mineral resources.

GDP (purchasing power parity)

purchasing power parity - $28.2 billion (2000 est.)

GDP - real growth rate

-6.1% (2000 est.)

GDP - per capita (PPP)

purchasing power parity - $2,500 (2000 est.)

GDP - composition by sector

agriculture: 28%

industry: 32%

services: 40% (1997 est.)

Population below poverty line

60% (1999 est.)

Household income or consumption by percentage share

lowest 10%: 1.8%

highest 10%: 46.9% (1990)

Inflation rate (consumer prices)

60% (2000 est.)

Labor force

5.5 million (2000 est.)

Labor force - by occupation

agriculture 66%, services 24%, industry 10% (1996 est.)

Unemployment rate

50% (2000 est.)

Budget

revenues: $2.5 billion

expenditures: $2.9 billion, including capital expenditures of $279 million (FY96/97 est.)

Industries

mining (coal, gold, copper, nickel, tin, clay, numerous metallic and nonmetallic ores), steel, wood products, cement, chemicals, fertilizer, clothing and footwear, foodstuffs, beverages

Industrial production growth rate

NA%

Electricity - production

5.78 billion kWh (1999)

Electricity - production by source

fossil fuel: 69.98%

hydro: 30.02%

nuclear: 0%

other: 0% (1999)

Electricity - consumption

6.939 billion kWh (1999)

Electricity - exports

0 kWh (1999)

Electricity - imports

1.564 billion kWh (1999)

Agriculture - products

corn, cotton, tobacco, wheat, coffee, sugarcane, peanuts; cattle, sheep, goats, pigs

Exports

$1.8 billion (f.o.b., 2000 est.)

Exports - commodities

tobacco 29%, gold 7%, ferroalloys 7%, cotton 5% (1999 est.)

Exports - partners

South Africa 10%, UK 9%, Malawi 8%, Botswana 8%, Japan 7%, (1999 est.)

Imports

$1.3 billion (f.o.b., 2000 est.)

Imports - commodities

machinery and transport equipment 35%, other manufactures 18%, chemicals 17%, fuels 14% (1999 est.)

Imports - partners

South Africa 46%, UK 6%, China 4%, Germany 4%, US 3% (1999 est.)

Debt - external

$4.1 billion (2000 est.)

Economic aid - recipient

$200 million (2000 est.)

Currency

Zimbabwean dollar (ZWD)

Currency (code)

ZWD

Exchange rates

Zimbabwean dollars per US dollar - 54.9451 (January 2001), 43.2900 (2000), 38.3142 (1999), 21.4133 (1998), 11.8906 (1997), 9.9206 (1996)

Fiscal year

1 July - 30 June