Zimbabwe is charting a promising path toward macroeconomic stability, with projections showing its annual inflation rate could halve by the end of 2025.
The Confederation of Zimbabwe Industries reports a steep decline in inflation measured in the gold-backed ZiG currency, falling to 32.7% in October from 82.7% in September, buoyed by a firming domestic currency and elevated global gold prices.
Two consecutive months of negative month-on-month inflation and steady ZiG performance have strengthened confidence in reaching an annual inflation range of 15% to 20% by December 2025.
This shift is underscored by increased investor scrutiny, with analysts highlighting the ZiG’s stability and relatively modest 20% premium on the parallel market. Rising bullion prices and anticipated record-breaking gold output further reinforce the currency’s foundations. For a nation that has grappled with decades of hyperinflation and currency volatility, this measured return to price stability signals a potential inflection point in restoring trust, underpinning broader economic resilience, and reigniting momentum for sustainable recovery.