By Shephard Majengeta

AS the first quarter of the year winds down, it is heartening to learn that the country’s consumer spending is on an up-ward trajectory.
This development augurs well with our pursuit of Vision 2030, which aims to elevate Zimbabwe to an upper middle-income economy.
According to estimates from the Inter-national Monetary Fund (IMF), Zimbabwe has one of the fastest-growing economies in the region.
The fact that consumers are spending more is a clear indication that all is progressing well in our beloved motherland. Manufacturers are not only experiencing growth in volumes, but they are also expanding production to meet untapped demand.
These indicators suggest that the Second Republic, under President Emmerson Mnangagwa, is living up to its word to develop the nation and grow the economy.
The positive trend in consumer spending is a testament to the robust economic policies and reforms implemented by the Second Republic. Since taking office, Presi-dent Mnangagwa’s administration has focused on stabilising the economy through the Transitional Stabilisation Programme (TSP) and the subsequent National Development Strategy 1 (NDS1).
The TSP, launched in October 2018, laid the groundwork for economic recovery by targeting fiscal consolidation, monetary policy reform and structural changes. These measures were essential in curbing hyperinflation, stabilising the Zimbabwean dollar and restoring macroeconomic stability.
Building on the successes of the TSP, the NDS1, running from 2021 to 2025, emphasises inclusive growth, infrastructure development and industrialisation.
By fostering a diversified and competitive economy, the NDS1 aims to create
a conducive environment for investment and entrepreneurship.
The strategy’s focus on key sectors such as agriculture, mining, manufacturing and tourism is driving economic activities and job creation across the country.
Indeed, as reported, the rise in consumer spending is a strong indicator of economic improvement and increased dis-posable income among Zimbabweans.
This growth can be attributed to several factors, including improved agricultural output, increased remittances from the Diaspora and enhanced access to financial services.
Agriculture is a cornerstone of Zimba-bwe’s economy and the Government’s focus on revitalising this sector has yielded positive results. Programmes such as the Presidential Input Support Scheme and Pfumvudza/Intwasa have significantly boosted agricultural productivity. These initiatives have ensured food security and generated surpluses improving rural in-comes and stimulating demand for goods and services in urban areas.
The resuscitation of irrigation schemes, coupled with favourable weather conditions, has led to bumper harvests in recent seasons. This agricultural boom has not only enhanced food security but has also provided raw materials for agrobased industries, further driving economic growth. The Government’s efforts to promote sustainable farming practices and invest in agricultural infrastructure are laying a solid foundation for long-term prosperity in this vital sector. Had it not been for the El Nino-induced drought in the last cropping season more milestones would have been recorded in the sector.
Remittances from Zimbabweans living abroad have also played a crucial role in boosting consumer spending.

These remittances, which are a vital source of foreign exchange, have increased significantly in recent years.
The Government’s efforts to formalise and streamline remittance channels have ensured that more funds reach recipients efficiently, supporting household consumption and investment.
According to the World Bank, remittances to Zimbabwe have been steadily increasing, contributing to the stabilisation of the economy.
These funds have helped families meet their basic needs, invest in education and health and start small businesses. The positive impact of remittances on household welfare and economic activity cannot be overstated.
The increase in consumer spending has had a ripple effect on the manufacturing sector.
As noted, manufacturers are not only experiencing growth in volumes, but also expanding production to meet untapped demand.
This expansion is evident in various industries, including food and beverages, textiles and pharmaceuticals. The growth in manufacturing is a positive indicator of industrial recovery and economic diversification.
Government policies aimed at support-ing local industries have been instrumental in this growth. Measures such as import substitution and incentives for local pro-duction have encouraged domestic manufacturing. These policies have reduced the country’s dependence on imports, saved foreign exchange and created jobs.
The Government has been sincere in its promotion and the utilisation of locally produced goods and services in both pub-lic and private sectors.
This strategy is fostering the growth of local industries, enhancing their competitiveness and contributing to the overall economic development of the country.
Infrastructure development has been a critical component of the Second Republic’s economic strategy. The Government has prioritised the rehabilitation and expansion of infrastructure, including roads, bridges, airports and power plants. These investments are essential for supporting economic activities, improving connectivity and attracting foreign investment.
The Second Republic has also made significant strides in attracting foreign investment and forging economic partnerships. The “Zimbabwe is Open for Business” mantra has resonated with international investors, leading to increased foreign direct investment (FDI) inflows. The Government’s efforts to improve the Ease of Doing Business, including reforms in property rights, regulatory frameworks and dispute resolution mechanisms, have created a more investor-friendly environment.
Partnerships with countries such as China, Russia and India have brought in substantial investments in sectors like mining, manufacturing and infrastructure. These partnerships are not only providing capital but also facilitating technology transfer and skills development, which are crucial for sustainable economic growth.
All these positive developments point to Zimbabwe achieving its vision sooner rath-er than later.