The leading research firm BMI Research is upbeat that Zimbabwe is on the verge of economic transformation to be stimulated by economic reforms and improved investor confidence.
In a paper presented during the just concluded 2018 Zimbabwe National Chamber of Commerce (ZNCC) congress, the firm said the outlook for the business environment has brightened following the departure of former President Robert Mugabe.
Apart from the urgent need to deliver credible elections, the research firm said it is crucial that the government moves quickly to strengthen soft infrastructure and stabilise fiscal and monetary policies.
Captains of industry who graced the ZNCC congress concurred on the positive prospects for the domestic economy and highlighted the need for the country to deepen the business reforms.
“We are excited about the positive prospects for the domestic economy. We see growth in the economic performance given the renewed investor confidence,” said the captains of industry.
According to the BMI presentation for businesses in the secondary and tertiary sectors- there is a strong need to adopt solutionist approaches to boosting productivity and raising export competitiveness as the market becomes more open.
While the research firm expects conditions to improve as investment increases, it however said over-reliance on the US dollar and high import dependence will sustain outflows of hard currency which will drive current account deficits in the medium term.