Promises won’t fix the economy, only policy certainty will

Once again, Zimbabwe stands at a crossroads, with Treasury officials declaring they are “doing all we can” to stabilise the economy.

But for many Zimbabwean businesses, that assurance rings hollow. Because on the ground, it doesn’t feel like enough is being done—or being done fast enough.

Policy uncertainty, inflation, currency instability, and suffocating taxation are not abstract concerns—they are everyday realities for companies trying to survive in one of Africa’s most unpredictable economic environments. Despite a wave of optimistic statements from Treasury and the Reserve Bank, boardrooms across the country remain gripped by anxiety. The gap between official sentiment and business reality is growing dangerously wide.

Let’s be clear: no one is questioning the Treasury’s intent. But in the brutal world of economics, intent is not impact.

What companies want—and deserve—is certainty. Certainty in exchange rates. Certainty in tax policy. Certainty in the ability to repatriate earnings. But what they get is a zigzagging policy landscape that makes long-term planning near impossible. While authorities speak glowingly of tight monetary policy and fiscal discipline, businesses are left to navigate currency experiments, shifting tax rules, and foreign currency surrender requirements that feel more like punishment than policy.

If this is what stability looks like, it’s little wonder investors are spooked.

The high cost of borrowing—reportedly over 30%—is choking business activity. Companies are not borrowing, not expanding, and not hiring. Some are shutting down completely. This is not a recipe for recovery; it’s a slow grind toward economic paralysis. Meanwhile, policies like the IMTT remain firmly in place, even as firms plead for breathing room. Treasury’s refusal to budge on this and other burdensome taxes reveals a disconnect between its fiscal strategies and the needs of real businesses.

Worse still, the private sector feels trapped in a cycle of broken promises. Regulatory reforms have been “in the pipeline” for years, but progress is glacial. And while there are encouraging developments—such as the growth of foreign reserves and improved forex inflows—none of it matters if that liquidity cannot reach the productive sectors that need it most.

In the meantime, the country continues to operate under hyperinflationary conditions. The ZiG currency may have introduced some technical stability, but confidence is still missing. And without public trust, no currency—gold-backed or not—can thrive.

It’s telling that even as authorities project optimism, industry voices like Imara Asset Management and the CZI are sounding the alarm. They see the cracks. They see the risks. And they are right to demand better.

This economy does not need more press statements. It needs execution. Urgently.

To get there, Treasury and the RBZ must confront hard truths: policy inconsistency is more damaging than external shocks. Excessive taxation without reform will stifle the very companies expected to power industrial growth. And a complex regulatory regime will keep Zimbabwe permanently stuck in “potential” mode, never transitioning to actual prosperity.

The business community is not asking for miracles. It is asking for predictability, transparency, and follow-through. That’s what will unlock investment. That’s what will restore confidence. And that’s what will finally move Zimbabwe from survival to growth.

The government has a narrow window to act. Stability is still possible—but only if backed by clear, consistent, and business-friendly reforms. If those don’t come soon, the economy risks slipping back into deeper dysfunction.

It’s time to stop talking. It’s time to start fixing.

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