Statistics from the Zimbabwe National Statistical Agency (Zimstat) show that the country’s cumulative current account deficit since 2009 stands at US$20 billion with US2.87 billion worth of imports recorded between February and June this year alone.
The largest chunk of these imports are consumptive, and analysts say that need to be limited if the economic recovery process is to be sustained.
The said the government needs to expedite production in other key agricultural sectors like coffee tea, citrus, dairy, soya bean and horticultural exports to generate extra foreign currency so as to achieve a trade balance.
Zimbabwe Commercial Farmers Union Executive Director, Mr Wonder Chabikwa said capacitating small scale farmers will be key in that regard to close the widening trade imbalance.
Despite a 28% exports growth recorded in the first half of the year, driven mainly by the mining sector, the onus is left on the country to plug foreign currency leakages so as to create reserves at the central bank, one of the preconditions for the re-introduction of the Zimbabwean dollar.