Zimbabwe economy shows growth amid trade and infrastructure talks with South Africa

Zimbabwe is experiencing significant economic activity driven by mining and agricultural trade with South Africa. The country’s gold export receipts rose 61 percent to US$2.6 billion in the eight months leading to August 2026, fueled by higher international prices and increased production. Additionally, the Reserve Bank of Zimbabwe reports that the economy is on track for 5 percent growth in 2026, supported by stable inflation and rising foreign currency inflows.

Trade relations between South Africa and Zimbabwe remain robust, with South Africa exporting US$1.2 billion in agricultural products to Zimbabwe in 2025. These exports consist largely of processed and value-added goods such as maize, soybeans, and prepared foods.

To support industrial growth, the two nations are negotiating a R8.2 billion (approximately US$500 million) cross-border water project. The proposed Thuli Moswa dam, to be built in Zimbabwe, would have a capacity of 430 million cubic meters. It is intended to supply up to 90 million cubic meters of water to the Musina-Makhado Special Economic Zone in South Africa’s Limpopo province to meet the needs of energy-intensive manufacturing and metals processing.