Annual GDP up 6,5 percent — ZimStat

THE country surpassed its projected gross domestic product of 5,5 percent last year as it registered 6,5 percent growth with agriculture, mining, manufacturing, wholesale and retail, and finance and insurance sectors being the dominant drivers, the Zimbabwe National Statistics Agency (ZimStat) has said.

Gross domestic product (GDP) increased by 6,5 percent to ZW$225,99 billion in 2022 up from ZW$212,1 billion in the prior year.

The estimate of the national GDP growth was underpinned by some key assumptions, including normal-to-above-normal rainfall pattern, subdued Covid-19 pandemic, relatively stable exchange rate, declining inflation, and favourable international mineral prices.

GDP is the total monetary or market value of all the finished goods and services produced within a country’s borders in a specific time period. As a broad measure of overall domestic production, it functions as a comprehensive scorecard of a given country’s economic health.

Zimstat

In his presentation on the preliminary GDP estimates yesterday, ZimStat director general Mr Taguma Mahonde said agriculture, mining, manufacturing, wholesale and retail, and finance and insurance are the dominant drivers of the country’s economy on value-added products.

He said accommodation and food services, finance and insurance, information and communication, mining and quarry, transport and storage as well as agriculture recorded the highest growth rates in 2022.

“Agriculture industry is largely driven by crop production which accounts for 80,5 percent value added. Crops that recorded significant growth in 2022 were wheat at 11,3 percent, maize at six percent, and soya beans at 15,5 percent,” said Mr Mahonde.

“Mining and quarrying is largely driven by the mining of metal ores which accounted for 78,1 percent of mining value added. These include gold, platinum group of metals (PGMs), nickel, and lithium among others.

“Metal ores that recorded significant growth in 2022 were gold 18 percent, PGMs 10 percent and lithium 236 percent.”

He revealed that food services accounted for 60,8 percent of the accommodation and food services sector while accommodation accounted for 39,2 percent.

The retail trade accounted for 53,9 percent of value-added goods, wholesale accounted for 41,4 percent, and repair of motor vehicles and motorcycles accounted for 4,8 percent.

ZimStats also revealed that the country’s estimated final expenditure was $11,694 trillion, with Government expenditure accounting for 17,6 percent, and consumption expenditure by private households accounting for $8,758 trillion, which is 74,6 percent.

The preliminary report notes that for the year under review, the final consumption expenditure was estimated at $11.694 trillion, gross capital formation is pegged at $ 1.815 trillion while net exports is at $1.121 trillion.

The final consumption expenditure was estimated at $11.694 trillion with the Government’s final consumption expenditure accounting for 17.6 percent.

Consumption expenditure by private households was estimated at $8.758 trillion, or 74.6 percent of the final consumption expenditure. —chronicle