The Reserve Bank of Zimbabwe issued its Quarterly Snapshot on monetary, currency, price and financial developments for the fourth quarter of 2025, setting out indicators it uses to support its monetary policy stance. The snapshot presents continued disinflation and exchange-rate stability, linked to controlling reserve money growth, operating the Willing-Buyer Willing-Seller foreign exchange arrangement, accumulating reserves backing the ZiG, and tighter fiscal-monetary coordination. Annual ZiG inflation ended December 2025 at 15% against an end-year target of 30%, while month-on-month inflation averaged 0.4% from February to December and was 0.2% in December. The interbank WBWS exchange rate closed the year at ZiG 25.9807 per USD, with the parallel market premium contained below 20% for most of 2025; cumulative foreign exchange interventions since April 2024 totalled USD 1.34 billion. Reserve money stood at ZiG 5.337 billion at end-December and central bank financing of government expenditure was recorded as nil. Foreign currency receipts increased to USD 16.2 billion in 2025 and foreign currency reserves reached USD 1.2 billion, equating to about 1.5 months of import cover and around 5.88 times cover of ZiG reserve money; ZiG usage in the national payment system was estimated at 30–40% of transactions and currency in circulation at ZiG 510 million. Policy settings referenced include a 35% bank policy rate and minimum deposit rates of 5% for ZiG savings and 7.5% for 90-day ZiG time deposits, with USD minima of 2.5% and 4% respectively. For 2026, monetary and financial conditions are to be calibrated to support growth of above 5%, with ZiG inflation projected to reach single digits in the first quarter of 2026. The snapshot also reiterates National Development Strategy 2 preconditions for a transition to mono-currency, including durable single-digit inflation, higher reserve cover, efficient foreign exchange management, stable exchange-rate dynamics, financial sector and payments system stability, and fiscal-monetary policy cohesion.
Reserve Bank of Zimbabwe 2026-01-11
Reserve Bank of Zimbabwe publishes Q4 2025 monetary snapshot reporting ZiG inflation at 15% and foreign reserves at USD 1.2 billion
The Reserve Bank of Zimbabwe's Quarterly Snapshot for Q4 2025 highlights continued disinflation and exchange-rate stability, with annual ZiG inflation at 15% against a 30% target and a stable interbank exchange rate. For 2026, the bank aims for over 5% growth and single-digit inflation, emphasizing conditions for a mono-currency transition under the National Development Strategy 2.