Boston, MA -- (SBWIRE) -- 09/11/2014 -- Core Views:

- Challenges for Zimbabwe's economy continue to mount and we have downgraded our 2014 and 2015 growth forecasts to 1.7% and 2.2% respectively from 3.1% and 3.3% previously. Only a real contraction in imports, on the back of weak domestic demand, has prevented us from revising the headline forecast into negative territory.

- Lower historic and forecast current account deficits do not indicate a stabilisation of the external accounts. They are rather the result of weak import demand that is a stark illustration of the difficulties being faced by the Zimbabwean economy.

- Inflation in Zimbabwe will remain in negative or very low positive territory over the coming 12 months. The extent to which this boosts purchasing power will be limited by the effect that rand weakness has had on the dollar value of remittances from South Africa.

View Full Report Details and Table of Contents

Major Forecast Changes:

- We have downgraded our 2014 and 2015 growth forecasts to 1.7% and 2.2% respectively from 3.1% and 3.3% previously.

Key Risks To Outlook:

- The political environment presents the most salient risk to our outlook for the Zimbabwean economy. If ZANU-PF moderates its nationalistic stance, our forecasts will be rendered too pessimistic. However, if the party is even more aggressive in its efforts to indigenise the economy than we currently anticipate, GDP growth could well turn negative.

- Premature abandonment of the foreign currency regime would likely have a negative impact on the economy.

- The weather is also a major risk. The country has seen several droughts over the last two decades which have had a devastating impact on the important agricultural sector and there is always a risk of a recurrence of poor rains.

The Zimbabwe Business Forecast Report helps businesses with market assessment, strategic planning and decision making to promote growth and profitability in The Zimbabwe and is an essential tool for CEOs, Chairmen, Finance Directors/CFOs, Managing Directors, Marketing/Sales Directors with commercial interests in this emerging market..

An influential new analysis of The Zimbabwe's economic, political and financial prospects through end-2017, just published by award-winning forecasters, Business Monitor International (BMI).

Key Uses:

- Forecast the pace and stability of The Zimbabwe's economic and industry growth through end-2017.

- Identify and evaluate adverse political and economic trends, to facilitate risk mitigation.

- Assess the critical shortcomings of the business environment that pose hidden barriers and costs to corporate profitability.

- Contextualise The Zimbabwe's country risks against regional peers using BMI's country comparative Risk Ratings system.

- Evaluate external threats to doing business in The Zimbabwe, including currency volatility, the commodity price boom and protectionist policies.

Economic Outlook:

How will the Zimbabwean economic policy-making and performance impact on corporate profitability over 2013-2017?

BMI provides our fully independent 5-year forecasts for The Zimbabwe through end-2017 for more than 50 economic and key industry indicators. We evaluate growth, and also forecast the impact of economic management.

Economic Outlook Contents:

The Zimbabwe Business Forecast Report features BMI's forecasts with supporting analysis for 2013 through to end-2017, set against government views and BMI's evaluation of global and regional prospects.

Key Areas Covered:

Data:

- Full 10-year forecasts with data - for key macroeconomic variables including GDP (real growth and per capita), population, inflation, current account balance and the exchange rate.

- BMI's comprehensive Risk Ratings system - rates each country worldwide for economic and political risk, and rates the business environment, within a global and regional context.

Written Analysis:

- Economic Activity - real GDP growth, employment, inflation, consumption (retail sales and confidence).

- Balance of Payments - trade and investment, current and capital account.

- Monetary Policy - interest rate trends (bank lending and deposit rates) and inflation (producer price and consumer price).

- Exchange Rate Policy - currency controls, foreign investment flows, exchange rates and foreign exchange reserves.

- Fiscal Policy - macroeconomic strategy and policies, government finance and tax reforms.

- Foreign Direct Investment - approvals, inflows and climate.

About Fast Market Research
Fast Market Research is a leading distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff is always available to help you find the right research to fit your requirements and your budget.

For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 800-844-8156

Browse all Country Reports research reports at Fast Market Research

You may also be interested in these related reports:

- Russia Business Forecast Report Q4 2014
- Latvia Business Forecast Report Q4 2014
- Brazil Business Forecast Report Q4 2014
- Australia Business Forecast Report Q4 2014
- Philippines Business Forecast Report Q4 2014
- Chile Business Forecast Report Q4 2014
- Trinidad & Tobago Business Forecast Report Q4 2014
- Hungary Business Forecast Report Q4 2014
- Lithuania Business Forecast Report Q4 2014
- Bahrain Business Forecast Report Q4 2014