Finance, Economic Development and Investment Promotion Minister, Professor Mthuli Ncube, is expected to deliver the 2025 Mid-Term Fiscal Policy Review Statement and unveil the Budget Strategy Paper for the 2026 National Budget tomorrow, 31 July 2025.
The review comes against a backdrop of significant shifts on both the local and global economic fronts, including the impact of former U.S. President Donald Trump’s “America First” policy. One of the most notable changes affecting Zimbabwe has been the dismantling of the United States Agency for International Development (USAID), which has historically played a vital role in funding critical sectors—particularly healthcare, including programs targeting HIV, tuberculosis, and malaria.
Zimbabwe’s health sector has long depended on donor support, and the withdrawal of USAID funding has left a significant gap in resources. The Finance Minister is therefore expected to propose measures to bridge this gap, while balancing the need to maintain low tax rates and mobilize additional revenue.
It remains unclear whether Professor Ncube will propose a supplementary budget or reallocate underutilized funds from various ministries and departments. Many government agencies have consistently under-spent in previous years due to delays in disbursements from the Treasury.
Despite recurring overspending, Minister Ncube has in the past resisted introducing supplementary budgets.
This fiscal review also follows a directive from President Emmerson Mnangagwa to overhaul the country’s tax and levy framework to enhance its appeal to investors. Zimbabwe continues to face challenges in attracting foreign direct investment and accessing credit lines, largely due to persistent policy inconsistencies and elevated risk perceptions.
