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ZIMBABWE received US$1,372 billion from international remittances in the first half of this year, which comprise transfers by the diaspora community and international organisations, representing a 23 percent increase when compared to the corresponding period last year.
Reserve Bank of Zimbabwe (RBZ) Governor, Dr John Mangudya, said the bulk of the funds came from individuals in the diaspora who contributed US$797 million and international organisations US$575 million.
“As at 30 June 2022, total international remittances amounted to US$1,372 billion, an increase of 23 percent from the US$1,113 billion recorded during the same period in 2021,” he said in his 2022 monetary policy statement issued last week.
“Of the total amount, diaspora remittances amounted to US$797 million, a 23 percent increase from US$650 million received during the same period in 2021.
International remittances received through the normal banking system on behalf of International Organisations amounted to US$575 million, an increase of 24 percent from US$463 million recorded during the same period in 2021.”
Official statistics indicate that diaspora remittances clocked about US$1,4 billion last year while many Zimbabweans abroad are more than eager to invest in different sectors of the economy.
The New Dispensation led by President Mnangagwa continues to reach out to the Diaspora and has held several meetings at home and abroad to market investment opportunities and seek development synergies with Zimbabweans abroad.
The diasporans have also expressed interest to invest back home through channelling their resources beyond domestic consumption as they have a key role to play in transforming the economy.
In other countries diasporans have become key drivers in setting up businesses in various sectors of the economy as well as investing in capital markets, venture capital funds and pension funds, various bonds by the Government or the private players.
The country has a strong skilled and non-skilled diaspora population mainly in South Africa, the United Kingdom, UAE, Canada, Australia and the United States, among others.
An estimated three million Zimbabweans are believed to be in the diaspora and they regularly send money back home to sustain their families.
On foreign payments, in the first half of the year, banks processed foreign payments amounting to US$3,78 billion representing a 19 percent increase in foreign payments from US$3,19 billion recorded for the same period in 2021.
Dr Mangudya attributed the upward trajectory in foreign payments largely on account of increased global prices for fuel and electricity.
He added that the country’s total foreign currency receipts between January and June 2022 improved by 33,6 percent to US$5,45 billion compared to US$4,07 billion received during the same period in 2021.
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