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World Bank urges Zimbabwe to turn economic stability into formal jobs

A new World Bank report says Zimbabwe averaged almost 6% growth from 2021 to 2025 but must translate stability into investment and formal employment.

By EBNewsDaily

Zimbabwe needs to convert recent economic stability into investment, higher productivity and formal employment, the World Bank says in a new report on growth and jobs.

The Zimbabwe Growth and Jobs Report says the economy expanded by an average of almost 6% a year between 2021 and 2025.

It also records that local-currency inflation fell to single digits in early 2026 for the first time since 1997.

The World Bank said those gains had created an opportunity for the country to tackle the deeper constraints limiting private investment and job creation.

Zimbabwe's economy has a large informal sector, where many people work without the protections, predictable earnings and tax registration associated with formal employment.

The report calls for policies that improve productivity and make it easier for businesses to invest and grow. It identifies formal jobs as an important route for turning headline growth into broader household gains.

The bank's assessment comes as Zimbabwe continues efforts to stabilise its currency and rebuild confidence after years of high inflation and economic volatility.

The growth figures describe the national economy and do not mean that all households or sectors experienced the same improvement.

The report does not present stability as an end point. Its central argument is that the gains need to be sustained and translated into businesses investing, expanding production and employing more people formally.

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