Mid-Term Monetary Policy Statement (August 2026)

1. This Mid-term Monetary Policy Statement is issued in terms of Section 46 of the Reserve Bank of Zimbabwe Act [Chapter 22:15]. The Statement comes at a time when the country has sustained single-digit inflation since January 2026 and has achieved currency and exchange rate stability for almost 2 years, since October

2024. The prudent monetary policy stance pursued by the Reserve Bank has anchored inflation expectations, which assisted the country to weather the impact of the oil price shock, triggered by the conflict in the Middle East.

2. Globally, rising energy prices, tighter financial conditions, and heightened uncertainty are negatively impacting consumption, investment, trade and inflation developments. Consequently, global growth has become more fragile, tilting the balance of risks to the downside.

3. The domestic economy has, however, remained resilient and is projected to grow by 5% in 2026, from 8.3% in 2025, despite the heightened geopolitical tensions which disrupted global supply chains and raised energy prices. The country has continued to experience greater price, currency and exchange rate stability, which supported increased activity across all sectors of the economy.

4. The robust growth momentum for the country has supported a 47.8% increase in foreign currency inflows during the first half of the year, which amounted to US$10.72 billion as of 30 June 2026, compared to US$7.25 billion recorded over the same period in 2025. The higher foreign currency inflows exceeded the cumulative foreign currency payments of US$7.30 billion, recorded between January and June 2026.

5. Reflecting the increased foreign exchange inflows, reserves increased to US$1.7 billion by the end of July 2026, equivalent to approximately 1.7 months of import cover. The foreign currency reserves supported the Reserve Bank’s strategic 1  <!-- page 8 --> intervention in the interbank foreign exchange market, ensuring that all bona-fide foreign payments are met. The intervention supported stable exchange rate dynamics, with the ZiG/US$ exchange rate oscillating between ZiG25 and ZiG27 per US dollar and the parallel market premium contained at levels of 15%, on average, during the first half of 2026

6. The continued implementation of prudent monetary policy and a supportive fiscal policy resulted in a structural shift in ZiG inflation dynamics from double-digits to low single-digit levels of less than 5% from January to July 2026. In response to the structural shift in inflation dynamics, the Reserve Bank reduced the Bank Policy Rate from 35% to 30% per annum. In addition, the interest rate on the Targeted Finance Facility (TFF) was reduced from 20% to 15% per annum, in line with the downward revision of the Bank Policy Rate.

7. The Reserve Bank enhanced its monetary policy operations through the operationalisation of the ZiG-Denominated Term Deposit Facility (ZiGDTDF), whose uptake has been strong. The facility is designed to absorb excess liquidity from the market and provide an alternative interest-bearing investment instrument.

8. Demand for the local currency increased during the review period, benefiting from the prevailing price and exchange rate stability, as well as the nationwide BiG5ZiG awareness campaign conducted by the Bank from 1-31 March 2026. Reflecting the overall increased use of ZiG in the economy, National Payment System statistics show that the proportion of electronic transactions remained robust at above 40% since May 2026.

9. The banking sector remained safe, sound, well-capitalised, and inclusive, with non- performing loans remaining low within the internationally accepted threshold of 5 percent. The stable macroeconomic conditions also enabled the financial sector to effectively support economic activity. In addition, the National Payment System remained safe, stable and efficient with an uptime of 99%. 2  <!-- page 9 -->

10. To support greater macroeconomic stability, engender confidence and support re- engagement, Government has made significant progress under the Staff Monitored Programme (SMP). Following the first review of Q1 performance in June 2026, the Reserve Bank successfully met all the Quantitative Targets (QTs) and made significant progress on meeting the SMP structural benchmarks (SBs). The agreed SMP QTs and SBs are aligned with the Reserve Bank's back-to-basics strategy 2026-2030, whose emphasis is on modernizing the monetary policy framework and improving the Bank’s operational effectiveness and efficiency.

11. The IMF will conduct its second SMP Review Mission in September 2026, and self-assessment indicates that the Reserve Bank’s programme performance remains strong and on course.

12. Regarding the SB on Foreign Exchange Market reforms, the Reserve Bank has developed an electronic trading platform which is expected to be rolled out in the fourth quarter of 2026. The electronic foreign exchange trading platform is designed to improve trading in the foreign exchange market by enhancing efficiency, transparency, price discovery and functionality.

13. During the first half of 2026, significant progress has also been made in meeting the Conditions Precedent (CPs) for the transition to mono-currency. It should be noted that the CPs are at various stages of achievement and that the transition to mono-currency will continue to be market driven, ensuring that all the pre- requisites are sustainably met. Going forward, the Reserve Bank will continue to communicate progress made on each of the eight CPs.

14. Looking ahead, the Reserve Bank and Government remain committed to sustain the prevailing price and exchange rate stability to anchor monetary stability and support economic transformation under National Development Strategy 2 (NDS 2). 3  <!-- page 10 -->

15. In this regard, the policies contained in this Mid-term Monetary Policy Review Statement are aimed at sustaining single-digit inflation and promoting the wider use of local currency, in line with the transition to mono-currency.

16. The measures are a product of the Reserve Bank’s policy calibration which also benefited from extensive stakeholder consultations conducted from 20-31 July

2026. Earlier in March 2026, the Reserve Bank conducted the ZiG Education and Awareness Campaigns to gather valuable feedback from the public to inform policy. Consistent with the Reserve Bank’s commitment to use “communication” as a monetary policy tool, the Bank continues to deepen its stakeholder consultative engagements. In this regard, the RBZConsults, which is attached to this Statement, outlines indications from Stakeholder engagements and provides feedback from the Reserve Bank.

17. The rest of the Mid-term Monetary Policy Statement Review is organised as follows: ° Section 2: Monetary Policy Performance Assessment ° Section 3: External Sector Developments ° Section 4: Financial Sector Developments ° Section 5: Monetary and Financial Conditions ° Section 6: Monetary Policy Measures ° Section 7: Economic, Inflation and Financial Sector Outlook ° Section 8: Conclusion 4  <!-- page 11 --> SECTION II

18. The Reserve Bank’s prudent money supply and liquidity management has delivered price and exchange rate stability in the economy, reflecting the effectiveness of the monetary policy framework. This framework was characterised by single-digit inflation, a stable exchange rate, progressive accumulation of foreign currency reserves and an efficient foreign exchange market. Real Sector Developments

19. Areview of real sector developments during the first half of the year shows that the country is on course to achieve the 5% growth projection for 2026, underpinned by continued favourable performance in the agriculture, mining, manufacturing and services sectors.

20. The estimated GDP figures for Q1 2026 show strong performance with year-on- year growth at 6.8% compared to 4.4% realised in the first quarter of 2025. The growth benefited from improved availability of foreign exchange in the Willing- Buyer Willing-Seller interbank market, as well as reliable power supply that has supported increased productivity across all sectors of the economy.

21. Signals from the Composite Indicator of Economic Activity (CIEA) point to continued robust economic activity in June 2026, following a seasonal downturn in January 2026. Figure 1 shows developments in the CIEA for the period from January 2025 to June 2026. 5  <!-- page 12 --> Figure 1: CIEA January 2025 to June 2026 3 2.5 | Lo 1.5 1 0.5 0 sv a se Aa sv ev AS Aa Aa sw a A & Ss s se i Ss SFP FWP MH HL HF Ww MM KM FW SK Ww Source: Reserve Bank of Zimbabwe, 2026 Inflation Developments

22. Reflecting the Reserve Bank’s prudent monetary policy, ZiG annual inflation was sustained below 5% during the first half of 2026. The prevailing low and stable inflation environment has supported greater predictability and certainty, critical for business planning, investment and inclusive growth.

23. Annual ZiG inflation increased from 4.1% in January 2026 to 4.8% in April 2026, driven mainly by the increase in fuel prices, before reverting to its pre-shock path in May 2026. The moderate increase in annual inflation in April 2026 reflected more well-anchored inflation expectations.

24. Annual inflation stood at 3.2% in July 2026, on account of the decline in fuel prices in June 2026 and stability of the ZiG/US$ exchange rate. The significant decline in annual inflation from 4.7% in June 2026 to 3.2% in July was also explained by the favourable base effect, reflected in the slowdown in monthly inflation in July 2026 to 0.1%, compared to 1.6% recorded in the same month in 2025. Figure 2 shows ZiG annual inflation developments. 6  <!-- page 13 --> Figure 2: ZiG Annual Inflation (September 2025 - July 2026 100% 90% 80% 70% 60% 50% 40% 0, 41% woe. 73% 44% 48% 44% 4.7% 3.2% 0% a a a a a a a a a a a 2 ¢ 3 3 p i BS z Be 6 $§ 2 & £€ 3 & F EE & Source: ZIMSTAT, 2026

25. Developments in ZiG annual food and non-food inflation exhibited the same pattern as headline ZiG inflation, as shown in Figure 3. Figure 3: ZiG Annual Food and Non-food Inflation (September 2025 — July 2026) 120.0% 100.0% 80.0% 60.0% 40.0% 20.0% 0.0% a) x5 x5 <> © © © © oO © © wv wv v wv wv v v v v wv wv Ss FS KF KF SF KC KC KS KS e==—=Food and non alcoholic beverages === Non-Food Source: ZIMSTAT, 2026

26. In the six months to June 2026, the major drivers of annual inflation included food inflation, housing, water, electricity and gases, and transport divisions. Figure 4 shows the percentage point contribution to the headline inflation rate. 7  <!-- page 14 --> Figure 4: ZiG Annual Drivers of Inflation (Jan 2026 - July 2026) 1.40% 1.20% 1.00% 0.80% 0.60% 0.40% 7 Z 0.00% — = = = — -0.20% || = -0.40% Jan-26 Feb-26 Mar-26 Apr-26 May-26 Jun-26 Jul-26 FOOD & NON ALCOHOLIC BEVERAGES = ALCOHOLIC BEVERAGES & TOBACCO. CLOTHING & FOOTWEAR m= HOUSING, WATER, ELECTRICITY, GAS & OTHER FUELS ™ FURNITURE AND EQUIPMENT = HEALTH m= TRANSPORT = COMMUNICATION m@RECREATION AND CULTURE m= EDUCATION RESTAURANTS AND HOTELS Source: ZIMSTAT, 2026

27. An analysis of the disaggregated monthly inflation dynamics by its major drivers from March to July 2026 shows that inflation pressures have been broadly benign, with only the fuel and transport inflation increasing at well above 1% as shown in Figure 5. 8  <!-- page 15 --> Figure 5: ZiG Monthly Inflation By Category March to July 2026 Mar-26 Apr-26 Diesel Diesel Le Petrol Petrol a Non-Food . ; Non-Food . Miscellaneous goods and services Miscellaneous goods and... Restaurants and hotels Restaurants and hotels . Education . Education 1 Recreation and culture = Recreation and culture . Communication \ Communication 1 Transport a Transport a Health 1 Health . Furniture, household equipment and... ' Furniture, household... 1 Housing water electricity gas and... 1 Housing water electricity gas... . Clothing and footwear 1 Clothing and footwear 1 Alcoholic beverages and tobacco Alcoholic beverages and... \ Food and non alcoholic beverages ' Food and non alcoholic... = -5.00 0.00 5.00 10.00 15.00 20.00 -5.00 0.00 5.00 10.0015.0020.0025.0030.00 May-26 Jun-26 Diesel = Diesel a Petrol EE Petrol a Non-Food = Non-Food as Miscellaneous goods and services Miscellaneous goods and... — Restaurants and hotels a Restaurants and hotels _ Edcatin — Education = Recreation and culture = Recreation and culture — Communication ] Communication a Transport —_ Transport = Health . Health = Furniture, household... Furniture, household... a Housing water electricity gas... — Housing water electricity gas... Es Clothing and footwear — Clothing and footwear — Alcoholic beverages and tobacco | Alcoholic beverages and... a Food and non alcoholic beverages — Food and non alcoholic... a -2.00 -1.00 0.00 1.00 2.00 3.00 -1.50 -1.00 -0.50 0.00 0.50 1.00 1.50 Jul-26 Diesel | Petrol ee Non-Food ! Miscellaneous goods and services | Restaurants and hotels 1 Education 1 Recreation and culture 1 Communication Il Transport a Health 1 Furniture, household equipment and maintenance 1 Housing water electricity gas and other fuels — Clothing and footwear 1 Alcoholic beverages and tobacco = Food and non alcoholic beverages . -12.00 -10.00 -8.00 -6.00 -4.00 -2.00 0.00 2.00 Source: ZIMSTAT, 2026 9  <!-- page 16 --> Exchange Rate Developments

28. The Willing-Buyer Willing-Seller (WBWS) interbank market exchange rate remained stable, averaging around ZiG25.93 per US$ from January to July 2026. In addition, parallel market exchange rate premium continued to narrow to levels of about 15% during the first seven months of 2026, as shown in Figure 6. Figure 6: Exchange Rate Developments (August 2024 — July 2026) 45 160% 40 140% 35 120% © . 100% ee 25 80% @, 20 § 2 5 60% E = 10 40% al mos 20% mae Premium = Interbank Rate —— Parallel Rate Source: Reserve Bank of Zimbabwe, 2026

29. The exchange rate stability continued to be supported by improved foreign exchange inflows, accumulation of foreign currency reserves backing ZiG and strategic intervention in the foreign exchange market to ensure all bona-fide foreign obligations are settled.

30. Foreign currency reserves stood at US$1.7 billion as at end July 2026, equivalent to 1.7 months of import cover. The growth in foreign currency reserves was supported by royalties in-kind from precious minerals and the channelling of 5% portion from the 30% export surrender requirements towards reserves build-up.

31. At 1.7 months import cover, the foreign currency reserves adequately covered the entire ZiG deposit base by almost 1.5 times as at end of July 2026 and the stock of reserve money by 6 times, as shown in Figure 7. 10  <!-- page 17 --> Figure 7: Foreign Currency Reserves and ZiG Reserve Cover 45 40 35 30 1.5 x cover of ZiG deposits _ S 95 cove = rof ty 20 RM " 15 10 SER SSeS SLRS Seeeeseegsegeeseg mmm ZiG Reserve Money mum ZiG Deposits (Mkt) <==Reserve Cover Source: Reserve Bank of Zimbabwe, 2026 Monetary Developments

32. Money supply developments in the six months to June 2026 remained consistent with targeted inflation, economic growth and the need to increase the wider usage of the domestic currency. Reserve Money

33. During the first half of 2026, reserve money growth was kept within targets, amid a steady expansion in broad money supply supported by effective liquidity management.

34. Total reserve money stood at ZiG34.69 billion as at June 2026, of which about 20% is in local currency. Annual growth in aggregate reserve money (ZiG and foreign currency) decelerated to 39.35% in June 2026 compared to 243.94% in June 2025. Over the same period, annual growth in the ZiG component of reserve money slowed down significantly from 279.74% to 41.93%. 11  <!-- page 18 -->

35. Asaresult, reserve money levels for Q1/2026 and Q2/2026 stood at ZiG5.73 billion and ZiG6.60 billion, respectively, within SMP Targets agreed between the Reserve Bank and the IMF of ZiG5.95 billion and ZiG7.33 billion, respectively. Figure 8 shows ZiG reserve money developments against SMP targets. Figure 8: Reserve Money (M0) versus SMP Targets (billions) 10 9 8 ; oo g at m 5 BOREL o 4 See eeeeeeeeeee 3 | =f &FSEBEeBE Bee B&B Bee eee ee 2 aoe gee eEeeeoeeHeeEHEeEeReEHeEeE el 1 ee ee ee ee ee ee eee ee ee ee ee ee ele 0 SAE AAA AGS SarFesaVpgvoeecagas FFELCBWVEBGQCZeO CHF R_ RSE CHS FZPOZSASPsSTCESsrzZgos GAs lsess me ZIG MO =2026 Qi Target =2026 Q2 Target Source: Reserve Bank of Zimbabwe, 2026 Broad Money Supply

36. Total broad money supply (M3) increased by 31.4% from ZiG108.09 billion in December 2025 to ZiG142.01 billion in June 2026, on the back of increases in both local and foreign currency deposits. On a year-on-year basis, total broad money grew by 45.9% in June 2026, compared to 127.8% during the same period in 2025. Broad money developments are shown in Figure 9. 12  <!-- page 19 --> Figure 9: Broad Money (M3) Developments 160 50 140 10 120 S 100 80 = 5 3 = 80 20 § = 60 ) 1 10 oO N iN \ ! 40 \ /] f> y . Ye ft = fi ~\ RS " 0 20 0 -10 Dh ake ak ak 6 OOOO v »¥ v v v %v v %v %v %v wv %v %v we yy oe ro Se we we s¥ oe se we we we ma ZiG Component of M3 (LHS) mal FX Component of M3 (LHS) = Month on Month Growth in M3 (RHS) = Month on Month Growth in ZiG M3 (RHS) Source: Reserve Bank of Zimbabwe, 2026

37. The local currency component of M3 increased from ZiG20.17 billion in December 2025 to ZiG27.95 billion in June 2026, consistent with the increased use of local currency in the economy. On an annual basis, the local currency component increased by 62.5% in June 2026 compared to 87.2% in June 2025.

38. The composition of total broad money is shown in Figure 10. Figure 10: Composition of Money Supply FX Transferable Deposits, 67.15% Local Cu | Transfera 17.209 XY Bl Currency in FX Time Deposits, —______ Circulation, 0.17% [31% | Local Currengy NCDs. 0.36% Time Deposits, 7 1.95% Source: Reserve Bank of Zimbabwe, 2026 13  <!-- page 20 --> Box 1: Money Supply and Inflation Dynamics The successful anchoring of inflation expectations has allowed the Reserve Bank to increase money supply to support the envisaged growth without stoking inflationary pressures. The current monetary policy thrust of the Reserve Bank of Zimbabwe which focuses on controlling reserve money growth to reduce inflation is based on the historical close relationship observed between money supply growth and inflation, normally observed during periods of high inflation and exchange rate volatility. Empirical evidence post COVID-19 on the money supply and inflation relationship has resulted in what is known as the Two-Regime View of Inflation. The Two-Regime View shows that the relationship between money supply growth and inflation depends on the level of inflation in an economy. The relationship is weak when inflation is low, normally below 4%, while the relationship is strong and close to 1 when inflation is high and above 20%. In Zimbabwe the money supply inflation relationship was stronger during 2024 and the early months of 2025 (when annual inflation was high), developments since October 2025 suggest systematic and structural weakening of the money supply-inflation causality relationship, largely owing to sustained low inflation and exchange rate stability. Prior to October 2025, inflation was largely driven by money supply growth, with a relationship (coefficient) of 1 or more. The pronounced drop in inflation, from peak levels of above 90% in April 2025 to 32% in October 2025, also coincided with a significant decline in broad money growth, from 125% to 32% over the same period, suggesting a close money supply-inflation relationship then. Figure 1: Money Supply Growth and Inflation Relationship 140 120 I 100 | - High Inflation I Low Inflation 60 I 40 20 I ° * 8 & &@ & & & & & & & & & & & pos 2 2 : & 2 pos & 2 8 2 $3 8 § 8 § @ $ 2 =F § —— Annual M3 Growth -———Annual Inflation Source: Reserve Bank of Zimbabwe and ZIMSTAT The period post-October 2025 witnessed a contemporary divergence, where growth in money supply did not result in a commensurate increase in inflation. While annual M3 growth remained relatively high at 37% in December 2025, annual inflation fell to 15%, signifying a significant breakdown in the money-inflation nexus. This divergence has continued to be sustained in 2026, with M3 growth rising further from 38% in January to 46% in June, while inflation remained in low single-digit levels of below 5% over the same period. The structural weakening in the underlying money-inflation relationship suggests that other factors such as exchange rate stability, fiscal restraint and improved market confidence, are playing a significant role in pulling down inflation. The Reserve Bank remains resolute in implementing a prudent monetary policy stance, rooted in the firm belief that optimal money supply management is vital to anchoring inflation expectations in a durable and sustainable manner.  <!-- page 21 -->

39. Liquidity dynamics in the economy were largely driven by Government and foreign exchange operations. The major injections of liquidity into the market between 2 January 2026 and 4 August 2026 were Government expenditure (ZiG42.3 billion) and Reserve Bank purchase of export surrender proceeds (ZiG32.8 billion). During the same period, the major liquidity withdrawals were through Government revenue collections (ZiG46.1 billion) and Reserve Bank foreign currency sales (ZiG26.9 billion). Other items (Including Statutory Reserve transfers and Treasury Bills issuances and maturities) had a net injection of ZiG1.9 billion. These gross movements in market liquidity culminated in overall net injection of ZiG4.0 billion.

40. For effective liquidity management and to complement NNCDs which amounted to ZiG7.7 billion as of 4 August 2026, the Reserve Bank operationalised the ZiGDTDF during the first half of 2026 to enhance monetary policy operations. In addition to being an indirect monetary policy instrument’, the ZiGDTDF is designed to ensure a positive real return on local currency savings. In this regard, the instrument is expected to serve as a benchmark for interest rates in the economy.

41. Two issuances were undertaken in June 2026, attracting ZiG466.6 million against an offer of ZiG500 million, demonstrating strong market uptake. As at 17 July 2026, the outstanding ZiGDTDF balance stood at ZiG356.6 million. Figure 11 shows the market closing positions from 2 January to 4 August 2026. ' The instrument is available to Banks, Building Societies, Deposit-Taking Microfinance institutions (DTMFIs), POSB, Insurance and Pension Funds, Corporates and Individuals — to everyone with surplus investable funds on a voluntary basis, with maturities of 30, 60 and 90 days. 15  <!-- page 22 --> Figure 11: Daily Market Position 700.00 6.00.00 500.00 400.00 300.00 200.00 100.00 ‘DJan-26 —-2-Feb-26 2-Mar-26 —-2-Apr-26-2-May-26 — 2-Jun-26 = 2-Jul-26—-2-Aug-26 —Market Closing Position ——=-OLL Source: Reserve Bank of Zimbabwe, 2026 Statutory Reserves Requirements

42. The statutory reserve requirement ratios remained at 30% for demand/call deposits and 15% on savings and time deposits, for both local and foreign currency.

43. Consistent with the increase in local currency deposits, local currency statutory reserve balances increased by 44.4% from ZiG4.69 billion on 2 January 2026 to ZiG6.77 billion as of 4 August 2026. Similarly, foreign currency statutory reserve balances also increased, reflecting an increase in foreign currency deposits due to improved export performance. Interest Rate Policy

44. The Reserve Bank pursued a prudent monetary policy stance, appropriately calibrated to balance growth and inflation objectives. The Reserve Bank reviewed the Bank Policy Rate downward from 35% to 30% per annum in June 2026, reflecting the structural shift to low inflation dynamics. 16  <!-- page 23 -->

45. The Reserve Bank expects banking institutions to align their lending rates with the movement in the Bank Policy Rate and cost of funds. Figure 12 shows the Bank Policy Rate and commercial bank lending rates from April 2024 to June 2026. Figure 12: Bank Policy and Lending Rates (%) 50 45 40 35 le mm me ee 30 Structural shift in Bank Policy Rate aligned to the low inflation environment. 25 20 “-------! 15 SARSASSSRSALA HAS RARARASLSEKSS ReSEPRS SERS ESERSEEP EEE SERB SRES BEL2PES ERR SPS PES EREE SEES @-_=— Policy Rate (%) === Min Ind Weigh Lending rate == Max Ind Weigh Lending rate eee Vin Corp Weigh Lending rate <—=<=Max Corp Weigh Lending rate Source: Reserve Bank of Zimbabwe, 2026 Targeted Finance Facility (TFF)

46. In line with the reduction in the Bank Policy Rate, the interest rate on the TFF was reduced from 20% to 15% for banks and capped at a maximum all-in rate of 25% for on lending to the productive sectors of the economy.

47. The reduced interest rate on TFF is expected to support increased lending to the productive sectors in the economy, with the facility limit currently set at ZiG1.2 billion. The uptake on TFF loans has been slow owing to the relatively high real interest rates prevailing before the adjustment in the policy rate. The BiGSZiG Banknote Series

48. Leveraging improved price, currency and exchange rate stability, the Reserve Bank successfully introduced the upgraded BiGSZiG Banknote Series with a modern look and feel as well as enhanced durability and quality on 7 April 2026. Reflecting 17  <!-- page 24 --> positive uptake of the upgraded BiG5ZiG Banknote Series, a total of about ZiG600 million was issued into circulation during the first half of 2026.

49. The increased use and uptake of ZiG in the economy is also shown by an increase in the proportion of ZiG-based transactions on the National Payment System. The value of ZiG transactions processed through the RTGS system steadily increased during the first half of 2026 to above 40% in May and June 2026 as shown in Figure 13. Figure 13: ZiG Proportions of Total NPS transaction Values Jan to June 2026 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Jan-26 Feb-26 Mar-26 Apr-26 May-26 Jun-26 Source: Reserve Bank of Zimbabwe, 2026 Staff Monitored Programme

50. The IMF conducted its first SMP Review Mission for Q1/2026 (end-March) in June

2026. Following the first Review Mission, the IMF determined that the Reserve Bank had successfully met all Quantitative Targets (QTs) and made significant progress on meeting the Structural Benchmarks (SBs) for Q1/2026. The second IMF SMP Review Mission for Q2/2026 (end-June) is scheduled for September 2026, and the Reserve Bank self-assessment indicates that Programme performance targets are on course to be met.

51. The Programme performance QTs under the Reserve Bank’s purview are shown in Table 1. 18  <!-- page 25 --> Table 1: Zimbabwe Quantitative Targets (March and June 2026) Ql 2026 Actual Q2 (Provisional) oc | nonfinancial public sector from the RBZ (US$ million) international reserves (US$ million) Source: Reserve Bank of Zimbabwe Regional Macroeconomic Convergence (MEC)

52. During the first half of 2026, the country's overall macroeconomic performance showed steady progress towards the Southern African Development Community (SADC) MEC benchmarks/targets. Specifically, Zimbabwe is on track to achieve three of the four primary convergence indicators in 2026, namely inflation, the budget balance, and public debt. On secondary indicators, Zimbabwe has converged with the benchmark on current account and central bank credit to Government.

53. The SADC benchmark for economic growth is 7%, but the region is projected to grow by 3.6% on average in 2026. In this regard, the projected growth rate for Zimbabwe at 5% for 2026 exceeds the regional average of 3.6%. Table 2 shows Zimbabwe’s Performance against SADC MEC targets. Table 2: SADC Macroeconomic Convergence Criteria PME Cy arte Zimbabwe SADC _ Average une 2026) (Proj. 2026) Primary Indicators Secondary Indicators 19  <!-- page 26 --> Global Economic Developments

54. The global economy has demonstrated resilience to overlapping shocks from trade policy shifts and the Middle East conflict. The countervailing effects of growing investments in Artificial Intelligence (AI), easing trade tensions, and supportive policies in major economies, have moderated the global economic fallout from the war. Against this background, global growth is projected to decelerate from 3.5% in 2025 to 3.0% in 2026, as shown in Table 3. Table 3: Global Economic Growth (%) 2025 2026* 2027* Source: IMF World Economic Outlook (WEO) Update, July 2026 and Reserve Bank Estimates, 2026 *Projection

55. Looking ahead, global growth is projected to rebound to 3.4% in 2027, benefiting from crystallization of productivity gains from AI and easing trade tensions. The global outlook, however, remains conditioned by headwinds from the renewed Middle East conflict. Commodity price volatility could persist, alongside further threats to global supply chains, as well as elevated inflation from high fertilizer, food and fuel prices, which would weigh on global financial conditions. Furthermore, renewed trade tensions could further weaken growth and precipitate financial market turbulence. 20  <!-- page 27 -->

56. Growth in advanced economies is projected to moderate from 1.9% in 2025 to 1.7% in 2026, characterized by divergent growth paths in the US and the Euro-area. In the US, growth is expected to firm up from 2.1% in 2025 to 2.3% in 2026 on the back of waning effects of trade tariffs, supportive fiscal policy, strong technology- related investment, and productivity gains from the rapid adoption of artificial intelligence. In contrast, growth in the Euro-area is projected to decline from 1.4% in 2025 to 0.9% in 2026, owing to the region’s exposure to higher energy costs, subdued external demand, the negative effects of the conflicts in Ukraine and the Middle East.

57. In Emerging Market and Developing Economies (EMDEs) growth is projected to moderate from 4.5% in 2025 to 3.8% in 2026. The slowdown masks the differential effects of the Middle East conflict, that largely reflects the varied exposure attributed to geographic proximity, and dependence on trade and financial flows, remittances, and energy imports.

58. Similarly, growth in Sub-Saharan Africa (SSA) is projected to declined modestly, from 4.5% in 2025 to 4.3% in 2026, masking divergent prospects for oil exporting and oil importing countries attributed to the war in the Middle East. The region continues to benefit from improved macroeconomic management and ongoing structural reforms, although fiscal constraints and external vulnerabilities present significant challenges. In the outlook, growth in SSA is projected to rebound to 4.5% in 2027 supported by macroeconomic stabilization efforts in key economies. This notwithstanding, the outlook for SSA remains dominated by downside risks from volatile commodity prices, and climate shocks from the El Nino phenomenon forecasted for the 2026/27 farming season. 21  <!-- page 28 --> Global Inflation Developments

59. Global inflation is projected to rise from 4.1% in 2025 to 4.7% in 2026, representing an interruption to the disinflation process realized in 2025. The rise of global inflation projections mainly reflects increases in energy, fertilizer and food prices. Moreover, the increase in shipping and insurance costs 1s also expected to generate adverse inflation in import-dependent economies. Inflation trends are, however, expected to remain uneven across countries, driven by persistent services inflation and the growing influence of domestic factors. Figure 14 shows global inflation developments and forecasts. Figure 14: Global Inflation (“% QQ werescesesceceecteecctseecncceceececeeeceee cate n tats oe eo ccc ce ccenecetnecatnensensenonetetees LQ rene enegg ener ecn cece cnt eccte eo ggpemcnc cette ec ecceeccceeeccnee cane cannene agg ere resetne totes 0 a i. ao oo Bo a LI ‘in 2019 2020 2021 2022 2023 2024 2025. = -2026F_~=—-2027F GB Global mmm Advanced Economies (EAs) e===Emerging and Developing Economies — «=Sub Saharan Africa Source: IMF World Economic Outlook Update, July 2026

60. Looking ahead, core inflation is expected to gradually return to target in several major economies, for instance, the United Kingdom (mid-2027); Japan and the United States (end of 2027); and Euro Area (2028). Inflation in China is expected to rise from low levels. Inflation dynamics are expected to remain uneven across countries, also reflecting differences in exchange rate pass-through, labour market conditions, and the growing importance of country-specific factors.

61. The inflation outlook for Sub-Saharan Africa (SSA) remains broadly favourable, with inflation projected to moderate from 13.1% in 2025 to 8.8% in 2026. The projected inflation decline is contingent upon the absence of major additional 22  <!-- page 29 --> shocks from conflict spillovers. Further escalation, however, could disrupt key shipping routes, push up global oil and food prices, and exert renewed currency pressures in African countries, resulting in higher inflation. Commodity Price Developments and Outlook

62. Global commodity markets shifted into a phase of heightened volatility, following the outbreak of conflict in the Middle East, which triggered significant disruptions to energy, fertilizer, and industrial supply chains. The shock constrained flows through key Gulf export routes, culminating in sharp upward revisions of prices in the 2026 outlook. As a result, the July 2026 World Bank Commodity Markets Outlook Report, forecasts global commodity prices to rise by about 16% in 2026, marking the first annual increase since 2022, with energy prices expected to increase by around 24%.

63. The IMF projects Brent crude oil prices to close at US$89 per barrel in 2026, which would be above pre-conflict levels. The increase in Brent crude oil prices is expected to be less severe than initially anticipated due to increased production outside the Gulf region, releases of petroleum reserves, and increased adoption of renewable energy sources. In turn, higher petroleum prices led to broad-based increases in transportation and electricity generation costs, with spillover effects on production costs in almost all key sectors of the global economy. Precious metals, however, continued to demonstrate resilience in 2026, benefiting from geopolitical risks and market uncertainty, which strengthened investor demand for safe-haven assets such as gold and platinum.

64. Figure 15 shows developments in commodity price indices. 23  <!-- page 30 --> Figure 15: International Commodity Price Developments: 100=2010 180 400 160 350 140 300 120 250 100 200 80 150 60 40 100 20 50 0 0 2019 2020 2021 2022 2023 2024 2025 June 2026* em@ee Energy (LHS) e=@== Agriculture (LHS) «=@== Base Metals (LHS) «=@== Precious Metals (RHS) World Bank Commodity Market Outlook, July 2026

65. The commodity price developments outlined in the foregoing, present both risks and opportunities to resource dependent economies such as Zimbabwe. Higher import prices for fuel, accounting for approximately 15—20% of total import value, and fertilizers are expected to raise production costs, shore up the import bill and generate inflationary pressures. At the same time, while elevated commodity prices may support export revenues, volatility in gold and platinum group metal prices could dampen earnings. A prolonged period of elevated import costs, combined with softer export prices, would likely weaken the current account surplus, exert pressure on foreign exchange reserves, and constrain the country’s ability to service external obligations.

66. Heightened global uncertainty strengthened investor demand for safe-haven assets, particularly for gold and platinum. Gold prices recorded significant gains during the first half of 2026, increasing from an average of US$4,309.00 per ounce in December 2025 and peaking at over US$5,000 per ounce in February 2026, before declining to US$4,071 per ounce in July 2026. Similarly, platinum group metal (PGM) prices strengthened considerably during the first quarter before softening in the second quarter of 2026. 24  <!-- page 31 -->

67. Global lithium prices firmed during the seven months to July 2026, to an average of US$19,161.09 per tonne, primarily driven by tightening global supply following mine disruptions in China, export restrictions on lithium concentrates from Zimbabwe, and strong demand from electric vehicle and battery energy storage industries. Figure 16 shows developments in selected commodity prices. Figure 16: Selected Average Commodity Prices July 2025 - July 2026 Gold Prices US$/Oz PGMs Prices US$/Oz 5500 2,500 12,000 5000 2,300 11,000 2,100 10,000 4500 1,900 9,000 op a oe vet 3500 1,500 7,000 3000 1,300 6,000 2500 1,100 5,000 2000 0 ana annveveevvvn 1 70 ob oh oh oh gh oh of gf oh oh oh ceca ose” Ss yw os oo aos ” es & a Sy we sy ——Platinunm = ———— Palladium == <= Rhodium (RHS) Source: World Bank Commodity Prices, 2026 Source. Johnson Matthey, 2026 Lithium Prices US$/tonne Base Metals Prices US$/tonne 23,000 16,000 30,000 20.000 14,000 25,000 : 12,000 17,000 10,000 20,000 14,000 8,000 ee 15,000 11,000 6,000 10,000 4,000 8,000 2,000 5,000 5,000 - - 2,000 SPRSOESESEER EES RSRRS RSS ERE SS nego Ras hacea* zz 5 8s 2888 8 & s B= ——Copper ——=Nickel (RHS) Source: London Metal Exchange, 2026 Source: World Bank Commodity Prices, 2026 Brent Crude Oil Prices/Barrel 110 100 rN 90 7 + o wen 80 a = / 10 — eee —— - « = meme eee eo 50 40 Jul-25 Aug-25 Sept-25 Oct-25 Nov-25 Dec-25 Jan-26 Feb-26 Mar-26 Apr-26 May-26 Jun-26 Jul-26 Source: World Bank Commodity Prices, 2026 25  <!-- page 32 --> Balance of Payments Developments Foreign Currency Receipts

68. Foreign currency receipts increased from US$7.25 billion in first six months of 2025, to US$10.72 billion over the same period in 2026. The close to 50% increase in foreign currency receipts was mainly driven by improved export receipts and diaspora remittances, as shown in Table 4. Table 4: Total Foreign Currency Receipts pA Xi) 2025 Type of Receipt ia ee Jun Speen oe Investments Source: Reserve Bank of Zimbabwe, 2026

69. Export receipts and diaspora remittances accounted for 70.3% and 14.4% of the total receipts, respectively, for the period from January to June 2026. Table 5 shows the composition of export performance by sector. Table 5: Export Earnings Performance by Sector (US$ Millions) ‘Sector = 2026 2025 + j« %Change | APTS TY APY 26  <!-- page 33 --> Sts IY, Ie % Change APT) aE eT a a eee ae pare ea athe ye ER yt e Terie) Source: Reserve Bank of Zimbabwe, 2026 Foreign Payments

70. During the first six months of 2026, foreign payments through Authorized Dealers amounted to US$7.3 billion, up by 44.9% from US$5.0 billion recorded in the same period in 2025.

71. Trade-related payments accounted for 81% of total foreign payments as at 30 June 2026, reflecting the country’s heavy dependence on imported goods and services. Notably, 37% (US$2.7 billion) of payments were directed towards importation of raw materials/intermediate goods and capital goods. Payment for fuel imports increased by 64.6%, from US$853.5 million in 2025 to US$1.4 billion in 2026, reflecting higher global energy prices.

72. Table 6 shows Foreign Payments by Category for the six months to June in 2025 and 2026. 27  <!-- page 34 --> Table 6: Foreign Payments by Category (US$) Jan to Jun 2026 pLIYX. ppd A A OPN a US$ Million Contribution USS Contribution TTD TY ; 2025 Variance | Merchandise Imports (excl. energy) 3,839.3 53.0% 2,725.3 54.0% 41.0% Goo a Materials & Intermediate 1,321.3 18.1% 1,037.8 20.6% 27.3% - Capital Goods 1,408.0 19.3% 903.5 17.9% 55.8% Goo ern & Manufactured 1,109.9 15.2% 783.9 15.5% 41.6% Energy (Fuel & Electricity) 1,481.4 20.0% 929.3 18.0% 59.0% 1,404.8 19.2% 853.5 16.9% 64.6% - Technical, Professional & 219.7 182.8 20.2% consult - Other (tourism, edu, freight etc) 255.9 208.3 22.8% Income Payments (Profits, 295.6 4.0% 285.4 Dividends) - Other (Salaries, Expatriates, 92.7 1.3% 85.5 Rental Capital Remittances (outward) 866.0 12.0% 453.6 91.0% - External Loan Repayments 621.0 344.9 80.0% Other Payments 231.9 172.0 35.0% - Card Payments 229.0 157.9 45.1% ae oI TIKI 5,041.5 TURN 44.9% Source: Reserve Bank of Zimbabwe, 2026 Current Account Developments

73. The country’s external position improved significantly during the first half of 2026, on account of strong remittance inflows and favourable terms of trade, driven by high international prices for key mineral exports, particularly gold and platinum group metals (PGMs). In this regard, the current account position strengthened to an estimated surplus of US$1.3 billion during the first half of 2026, from a surplus of US$248 million in the corresponding period in 2025. 28  <!-- page 35 -->

74. Figure 17 shows the current account developments. Figure 17: Current Account Developments (US$ million) 1200 1000 800 | , | 600 | : mea Y/Y» ra 200 : 0 7 : nf : E 5 = = Feo —& 5 5 ~ FA rirreer -400 -600 2024Q1 2024Q2 2024Q3 2024Q4 2025Q1 2025Q2 2025Q3 2025Q4 2026Q1 2026Q2 === Trade Bal === Services Bal === Bal on Primary Income === Bal on secondary Income Current Account Bal Source. Reserve Bank Estimates, 2026 International Reserves

75. As at end-July 2026, usable reserves stood at US$1.7 billion, equivalent to 1.7 months of import cover, supported by gold purchases, foreign currency inflows, and in-kind royalties. Figure 18 shows developments in foreign currency reserves. Figure 18: Foreign Reserves (US$ million) July 2026 2000 2.0 1800 Import cover of 1.7 ——_____ 18 months 1600 16 1400 14 & 1200 12 = 1000 10 FP “~ 800 2 0.8 600 0.6 400 0.4 200 [| 0.2 0 — 0.0 2025Q1 2025Q2 2025Q3 2025Q4 2026Q1 2026Q2 Jul-26 mmm Foreign Reserves mai Current Account Balance - US$ m -——Import Cover (Goods) rhs Source: Reserve Bank of Zimbabwe 29  <!-- page 36 --> SECTION IV

76. The banking sector remains safe, sound, resilient and inclusive due to the prevailing stable macroeconomic conditions. Banking institutions are well-capitalized, liquid, profitable and exhibiting low credit risk.

77. This notwithstanding, there were a few outliers with issues of supervisory concern, and the Reserve Bank is implementing appropriate and proportionate supervisory action in terms of the Banking Act [Chapter 24:20] and the Microfinance Act [Chapter 24:30].

78. The banking and microfinance sectors continue to serve as foundational pillars for economic growth and development, as well as financial inclusion, by providing finance to various economic sectors and marginalized and underserved populations. Supervised Financial Institutions Landscape

79. Figure 19 shows the architecture of financial institutions under the supervisory purview of the Reserve Bank as at 30 June 2026. Figure 19: Banking and Non-Bank Institutions as at 30 June 2026 ~” Commercial Banks a (= Building Societies (Bz gy Savings Bank (POSB) oi [v) Pee ue Busoni ra Non-Bank Financial Institutions Under Supervision of Reserve Bank iS Credit-only-MFls /355) gE Deposit-taking MFls All Development Financial Institutions (SMEDCO, IDBZ, AFC Land & Development Bank) el @ Total Non-Bank Financial Institutions et -9 Pn Total Number of Institutions 382 Source: Reserve Bank of Zimbabwe, 2026 30  <!-- page 37 --> Financial Soundness Indicators

80. As at 30 June 2026, the condition and performance of the banking sector was underpinned by satisfactory outcomes across the key financial soundness indicators presented in Table 7. Table 7: Financial Soundness Indicators (Jun 2025 — Jun 2026) Key Indicators Titer lad jJun-25 Sep-25 Dec-25 Mar-26 June-26 a a rasaweenaen | | eosin | rian | isin | aan | oer fa wecpmiene zo) | | asm | son | asm | isan | oso | farcowcnmica |__| seen | sean | sszen | sszan | en | farvaewaw@g [=| sar | esse | msn | in | isa | fawerom ao || aan | ram | ore | isn | sei _| [areamonses | | ae | sow | cm | am | iow | fat eamonsnw | | om | sew | osm | vem | om _| Loans to Deposits Ratio (excluding aeemaeees| [wom | sam [aw | aom | som | Source: Reserve Bank of Zimbabwe, 2026

81. The financial soundness indicators reflect the sector’s resilience, prudent risk management, and continued capacity to support economic activity. Banking Sector Capitalization

82. The banking sector’s capitalisation levels provide strong buffers to absorb potential shocks from the internal and external environment. As at 30 June 2026, all banking institutions, with the exception of one (1), were compliant with the minimum capital requirements as shown in Table 8 31  <!-- page 38 --> Table 8: Reported Core Capital as at 30 June 2026 . : : Teeth a Banking Institution Reported Core ad reid ade oe aac CL) . 7 y Equivalence *not authorized to take deposits Source: Reserve Bank of Zimbabwe, 2026

83. The banking sector average capital adequacy ratio as at 30 June 2026 was 24.1%, which is well above the minimum regulatory requirement of 12.0%. Banking Sector Asset Structure

84. Banking sector assets sustained their upward growth trajectory, as evidenced by a 29.2% increase from ZiG191.82 billion as at 30 June 2025 to ZiG247.86 billion as at 30 June 2026. The asset composition remained predominantly skewed towards loans & advances, which accounted for 35.9% of total banking sector assets as at 30 June 2026 compared to 32.8% in June 2025. Figure 20 shows the banking sector asset mix. 32  <!-- page 39 --> Figure 20: Asset Mix as at 30 June 2026 . a ‘ . . PY repossessed Properinassts ase GBD roriencaine dncnsing te ot xg | 25" Bp cscs in ran a2 COE iiss isin stati 287 [2] onttatance Shes tems aso PRT estances with Foreign institutions G other Assets pee © notes & coins mss lala Securities & vestments iat PAT cntances with central Bank v7 GB} toans & Advances EE 35.90 BB sun-26 i un-25 Source: Reserve Bank of Zimbabwe, 2026 Banking Sector Loans and Advances

85. Aggregate banking sector loans and advances amounted to ZiG94.61 billion as at 30 June 2026, compared to ZiG67.51 billion as at 30 June 2025. Foreign currency- denominated loans dominated the sector’s lending portfolio, accounting for 90.2% of the banking sector aggregate loans.

86. The banking sector continued to play a pivotal role in supporting productive economic activity, with 70.9% of total loans directed towards productive sectors of the economy as at 30 June 2026. As at 30 June 2026, lending to productive sectors was predominantly concentrated in agriculture, manufacturing, commercial and distribution sectors as shown in Figure 21. 33  <!-- page 40 --> Figure 21: Sectoral Distribution of Loans as at 30 June 2026 ay tok ober 3.16% ae pm Manufacturing 12.96% i (Oyler 9.93% 5 Lm IES Cale efeya) CR eb 4 2 i accel PR s\0y/ = @ Communication 2.85% Productive ot Oo deat 2.71% 0 —————— — a? Yo Ga) Transport Wei | ts 0.68% [Mn a eee dt Cee) 0.05% Source: Reserve Bank of Zimbabwe, 2026 Asset Quality

87. As at 30 June 2026, the banking sector reported an aggregate non-performing loans (NPLs) to total loans ratio of 3.19% compared to 2.9% recorded as at 30 June 2025. The sector's NPL ratio remained below the internationally accepted threshold of 5%, reflecting satisfactory levels in the overall quality of the banking sector’s loan portfolio. The trend in the NPLs ratio from 31 December 2024 to 30 June 2026 is shown in Figure 22. Figure 22: Trend in Non- Performing Loans 6.0% 5.0% a a ee ee 4.0% (BRB6Q5 = (BBA) 3.07%, ie, BSH, 3.19% a 2.90% Ed 3.0% ° —9¢ a 2.0% 1.0% 0.0% Dec-24 Mar-25 Jun-25 Sept-25 Dec-25 Mar-26 Jun-26 emem=NPL Ratio — — Benchmark (5%) Source: Reserve Bank of Zimbabwe, 2026 34  <!-- page 41 --> Banking Sector Profitability

88. For the half year ended 30 June 2026, aggregate banking sector profit amounted to ZiG3.81 billion (US$142.43 million), compared to ZiG4.96 billion (US$184.07 million) reported in the corresponding period in 2025. This reflects a contraction, in sector profitability, albeit underpinned by comparatively high-quality earnings from core business of financial intermediation. Figure 23 shows the income mix for the sector for June 2026 and June 2025. Figure 23: Banking Sector Income Mix June 2026 and June 2025 d JUNE 2026 commission JUNE 2025 Other 44.15% Non Commission Income Other Non- 45.37% 9.46% Interest Income Interest Income on Loans & : Advances 31.91% Exchange 6.58% Foreign Interest Interest Interest Interest Income on 9.01% Income Income Income on Interest Income m ond Investme on Age & on Balances with Securities nts and Balances 0 S 4.38% iti 37-48% 1.22% = "527% | | Banks Source: Reserve Bank of Zimbabwe, 2026

89. The continued stability in the domestic currency has reduced the banking sector's reliance on revaluation gains and foreign exchange-related income. This is expected to generate more sustainable and higher-quality earnings, underpinned by core banking activities rather than foreign exchange-related gains.

90. During the period under review, the banking sector's return on assets (ROA) and return on equity (ROE) declined to 1.6% and 9.7%, from 4.4% and 11.4%, recorded as at 30 June 2025, respectively. 35  <!-- page 42 --> Banking Sector Deposits and Liquidity

91. As at 30 June 2026, the banking sector maintained a strong liquidity position, with the average prudential liquidity ratio at 55.9%, which was above the regulatory minimum of 30%. Of the 17 banking institutions, one (1) institution was non- compliant with the prudential liquidity ratio.

92. As at 30 June 2026, total banking sector deposits amounted to ZiG158.29 billion, representing a 40.4% increase from ZiG112.77 billion recorded as at 30 June 2025. Foreign currency-denominated deposits continued to dominate the deposit base, accounting for 81.9% of total sector deposits as at 30 June 2026. BANKING SECTOR DEVELOPMENTS Resolution of ZB Building Society

93. Following the voluntary surrender of ZB Building Society licence on 19 December 2025, the Deposit Protection Corporation (DPC) was appointed as liquidator of the institution and confirmed by the Master of High Court in terms of section 57 of the Banking Act [Chapter 24:20]. DPC subsequently appointed Grant Thornton Zimbabwe as the liquidation agent. Foreign Exchange Net Open Positions

94. The Reserve Bank continues to attach importance on the monitoring of Net Open Positions (NOPs) to safeguard financial stability. During the first half of 2026 banking institutions broadly operated within prudential thresholds, reflecting improved foreign currency risk management practices and adherence to regulatory guidance.

95. The introduction of a structural position limit of 40% of Total Net Capital Base, alongside single-currency and aggregate limits of 10% and 20%, respectively, has provided a clear benchmark for disciplined foreign exchange risk management 36  <!-- page 43 --> across the sector. The sector recorded an average NOP of 12.1% as at 30 June 2026, representing an increase from 10.9% in March 2026.

96. While the majority of banking institutions are broadly compliant, three (3) institutions reported exposures that are more than the prudential limits. In line with supervisory requirements, the institutions above regulatory thresholds have been directed to submit plans and timelines for the gradual reduction of positions exceeding prescribed limits.

97. The Reserve Bank will maintain close engagement with boards and senior management to ensure that corrective measures are implemented decisively and in a manner that safeguards financial stability and supports the orderly functioning of the foreign exchange market. Bank Charges

98. The Reserve Bank remains firmly focused on promoting the adoption of affordable banking products and services, and safeguarding consumer protection, particularly for the vulnerable low-income groups.

99. Banking institutions have implemented the following policy measures on bank charges aimed at reducing the cost of doing business: a) capping cash withdrawal charges at a maximum of 2% of the transaction value; b) capping Point-of-Sale (POS), Bank-to-Wallet, Wallet-to-Bank and Send Money charges at a maximum of 1.5% of the transaction amount subject to a ceiling of US$20 or its equivalent in ZiG; c) capping ZIPIT charges at a maximum of 2% of the transaction value; d) removal of account balance inquiry fees and cash deposit charges; e) limiting of fees for the issuance and replacement of bank cards to cost- recovery levels; 37  <!-- page 44 --> f) exemption from bank charges for accounts that hold a balance below US$100 or its equivalent in ZiG; g) exemption from transaction charges Point of Sale (POS) transactions for amounts less than US$5 or its equivalent in ZiG, for both banking institutions and Payment System Providers (PSPs).

100. As part of supervisory activities to protect consumers, the Reserve Bank continues to monitor compliance and work with the Bankers Association of Zimbabwe (BAZ) and other stakeholders to explore sustainable ways to reduce the cost of doing business. Initiatives in Sustainable Financing Practices

101. There has been notable progress in the adoption of sustainable banking practices in the financial sector. The Reserve Bank continues to provide supervisory guidance to the institutions participating in the Sustainability Standards and Certification Initiative (SSCI).

102. As at 30 June 2026, a total of 19 institutions comprising the Reserve Bank, 137 banking institutions, two (2) development financial institutions, two (2) DTMFIs and one (1) bank holding company were participating under SSCI. To date, two (2) banking institutions have been SSCI certified and are implementing various activities in line with the SSCI standards. Sustainability Mainstreaming

103. On its part, the Reserve Bank has successfully completed the SSCI requirements and is due to receive certification from the European Organisation for Sustainable ? ZB Building Society and FBC Building Society which were participating surrendered their licenses as at 31 December 2025, 38  <!-- page 45 --> Development (EOSD) at the end of August 2026. This will be a key anchor to drive sustainability in the financial sector in Zimbabwe. Cybersecurity and Resilience

104. The digitalisation of financial services in Zimbabwe has enhanced efficiency, innovation and inclusion, but it has also heightened exposure to cyber and technology-related risks. The isolated incidents reported to the Reserve Bank to date, highlighted some vulnerabilities in third-party service providers, payment channels, and digital banking ecosystems. This reinforces the need for continuous strengthening of cyber controls, incident response and operational resilience across the sector.

105. As part of the ongoing supervisory activities to gauge regulated institutions’ preparedness, the Reserve Bank conducted the 2026 Cyber Resilience Maturity Survey as at 30 June 2026. The results show progress in governance, vulnerability management, penetration testing and incident response across the sector. The survey also noted some weaknesses in third-party risk oversight, threat intelligence, information sharing and recovery testing.

106. Recognising the critical importance of collective defence, the Reserve Bank expects that at an industry level, the banking and microfinance sector establishes and strengthens formal information-sharing mechanisms. Institutions are expected to ensure the timely and systematic exchange of cyber threat intelligence, indicators of compromise, and lessons learned from incidents to enhance sector-wide resilience and safeguard financial system stability. Artificial Intelligence Guidance for the Financial Sector

107. The rapid advancement of Artificial Intelligence (AI) technologies presents significant opportunities for the financial sector, including enhanced customer service delivery, strengthened fraud detection capabilities, risk management and operational efficiency. At the same time, AI is reshaping the cyber-threat landscape 39  <!-- page 46 --> by amplifying the speed, scale and sophistication of cyber-attacks, while accelerating the identification and exploitation of software vulnerabilities. These developments highlight both the transformative potential and the systemic risks associated with AI adoption.

108. Cognisant of these dual opportunities and risks, the Reserve Bank has developed guidelines on responsible and ethical adoption in the use of artificial intelligence. The guidelines are designed to support responsible innovation while ensuring that AI deployment is underpinned by sound governance, effective risk management, robust cybersecurity and operational resilience safeguards. In line with the Reserve Bank’s consultative approach, the Guidelines will undergo structured industry engagement prior to their full adoption in the fourth quarter of 2026. Contingency Planning & Systemic Crisis Management Framework

109. The Reserve Bank in collaboration with other financial sector regulators issued to the market the Contingency Planning and Systemic Crisis Management Framework in April 2026. This marked a significant milestone in the enhancement of crisis preparedness and resolution capabilities by financial sector safety net players. Key focus areas of the framework include resolution planning, resolution funding and safeguards.

110. As part of the operationalisation of the Framework, two key committees, the Systemic Crisis Management Committee (oversight role in crisis management), and the Crisis Management Committee (operational role), have been established.

111. As part of supervisory measures to promote effective crisis preparedness planning, the financial sector regulators are scheduling a sector-level crisis simulation exercise in 2027/28. 40  <!-- page 47 --> Climate Risk Management

112. In 2025, the Reserve Bank required the banking sector to submit climate risk profiles to understand how the banking institutions were assessing their exposure to climate related risks. The risk profiles reflect the banking institutions’ capacity and readiness to put in place effective adaptation and mitigation plans.

113. The Reserve Bank is continuing with efforts towards the development of a climate risk reporting framework in the banking sector guided by best practices and developments in the region, as part of the operationalisation of Guideline 01- 2023/BSD: Climate Risk Management.

114. Further, the Reserve Bank is collaborating with key stakeholders through the Multi- Disciplinary Financial Stability Committee (MDFSC), on the development of a Green Taxonomy Framework, which will establish a common classification system for environmentally sustainable economic activities. The Framework is expected to promote transparency, enhance the mobilisation of sustainable finance, support climate-resilient investments and facilitate the alignment of Zimbabwe's financial sector with emerging international sustainable finance standards and best practices. PERFORMANCE OF THE MICROFINANCE SECTOR

115. The microfinance sector continues to play a strategic role in advancing financial inclusion by extending financial services to low-income and underserved communities, including women, youth, rural populations, and micro, small and medium enterprises (MSMEs). The microfinance sector, therefore, remains an important driver of entrepreneurship development, poverty reduction, and inclusive and sustainable economic growth.

116. The key performance indicators for the microfinance sector (deposit-taking and credit-only microfinance institutions) for the half year ended 30 June 2026 are summarised in the Table 9. 41  <!-- page 48 --> Table 9: Key Performance Indicators for the Microfinance Sector Source: Reserve Bank of Zimbabwe, 2026

117. The microfinance sector remained profitable and recorded an increase of 120% in net income over the review period from ZiG397.26 million for the period ended 30 June 2025, to ZiG758.09 million for the period ended 30 June 2026.

118. The portfolio quality for Credit Only Microfinance institutions improved during the period under review, while the levels of NPLs for the deposit-taking microfinance sub-sector remained high at 13.5%.

119. During the first half of 2026, five (5) out of the seven (7) operational Deposit-taking Microfinance Institutions (DTMFIs) reported core capital above the minimum regulatory capital requirement of the local currency equivalent to US$5 million. Two (2) DTMFIs, namely Zimbabwe Women Microfinance Bank and EmpowerBank remained non-compliant with the minimum capital requirements. 42  <!-- page 49 -->

120. The Reserve Bank has noted through its market conduct supervision activities a number of issues which the microfinance sector should effectively address to ensure fair treatment of customers, maintain market integrity and bolster trust in the financial system. These include inadequate disclosure of loan terms and conditions, unfair lending practices, abusive collection methodologies, and excessive interest rates and charges. NATIONAL FINANCIAL INCLUSION DRIVE

121. The financial sector continued to play a pivotal role in deepening financial inclusion, supporting entrepreneurship, household resilience and promoting inclusive economic development in line with the country’s development aspirations as enunciated in the National Development Strategy 2.

122. The Reserve Bank is championing implementation of the National Financial Inclusion Strategy II (2022-2026) through targeted initiatives and strategic collaborations with Government ministries, other financial sector regulators, financial institutions, development institutions and other stakeholders. Some of the financial inclusion initiatives include promoting digital financial services to facilitate access by groups in hard-to-reach areas, financial literacy programs and increased usage of the credit infrastructure.

123. These initiatives are expected to continue as Zimbabwe transitions from the second phase of the National Financial Inclusion Strategy II (2022-2026) to the third phase of the National Financial Inclusion Strategy III, expected to be launched by end of 2026. Financial Inclusion Indicators

124. Table 10 provides a snapshot of financial inclusion progress made by banks and microfinance institutions. 43  <!-- page 50 --> Table 10: Financial Inclusion Indicators (June 2025 — June 2026) Number of Loans to MSMEs 7,223 7,725 7,826 9,637 8,921 Se ee 4.39 461 4.18 4.11 10.37 billion 0 Average loans to MSMEs as % of 8 18 760 6.70 6.38 12.40 total bank loans Number of Loans to Women 328,324 326,889 369,524 352,643 707,848 Value of Loans to Women (ZiG 5.69 7.25 7.22 7.56 10.65 billion Average loans to women as a% of | 14 64 11.96 11.58 11.72 12.73 total bank loans Number of Loans to Youth 102,018 94,819 96,847 103,191 95,904 Value of Loans to Youth (ZiG 3.14 3.30 3.46 3.72 5.27 billion 0 Average loans to the youth as a % of 5.86 5.45 5.55 5.77 total bank loans Total number of Active Bank Number of Low-Cost Bank Source: Reserve Bank of Zimbabwe, 2026 AML/CFT/CPF SUPERVISION

125. As part of efforts to promote safety, soundness and integrity of the banking sector, risk assessment remains an integral component of the Reserve Bank’s supervisory priorities. To this end, an AML/CFT/CPF Banking Sector Risk Assessment was conducted in April 2026, and results have been disseminated through the official Reserve Bank website.

126. The risk assessment noted an improvement in overall compliance levels since the previous sectoral assessment, reflecting concerted strategic efforts and commitment to strengthen effective implementation of AML/CFT/CPF control measures. CREDIT INFRASTRUCTURE Credit Registry

127. The credit information ecosystem continued to deepen through effective coordination between the Credit Registry and the three (3) private credit bureaus. This collaboration broadened borrower coverage, enhanced data completeness and 44  <!-- page 51 --> improved reliability of credit information, thereby fostering transparency and advancing financial inclusion.

128. Credit Registry usage continued to expand, with cumulative enquiries rising by 9.2% from 7.30 million in January 2026 to 7.97 million as at 30 June 2026, as shown in Figure 24. Figure 24: Cumulative Credit Registry Usage Status 8,200,000 8,000,000 7,800,000 7,400,000 7,200,000 7,000,000 6,800,000 3 s 8 8 % 8 Source: Reserve Bank of Zimbabwe, 2026

129. The continued usage of the Credit Registry has enhanced the quality of lending decisions, reinforced credit discipline and enhanced the financial sector’s capacity to assess and manage credit risk. The credit information infrastructure is undergoing modernisation to position it as a cornerstone for supporting sustainable growth, financial innovation and financial stability. Collateral Registry

130. The Collateral Registry System sustained its upward growth trajectory during the half-year ended 30 June 2026, consolidating its position as a strategic tool for unlocking borrowing opportunities to the previously underserved segments. The collateral registry has, therefore, been instrumental in the mobilisation of movable assets to support borrowing for productive purposes.

131. Cumulative registrations reached 13,006, representing a 43.6% increase from 9,056 recorded as at 31 December 2025. The half-year contributed 3,950 new registrations, equivalent to 87.0% of the record full-year 2025 outturn of 4,539, 45  <!-- page 52 --> with momentum accelerating in the second quarter of 2026, (2,954 registrations) compared to the first (996 registrations). Figure 25 shows total registrations on the Collateral Registry. Figure 25: Total Registrations of Security Interests 2022 to June 2026 5000 4,539 4500 3,950 4000 3500 3000 2,758 2500 2000 1500 1,402 1000 500 275 1 1 3 1 1 2 24 50 0 2001 2011 2012 2014 2015 2016 2020 2021 2022 2023 2024 2025 2026 Source: Reserve Bank of Zimbabwe, 2026

132. Strong growth in registration volumes has been underpinned by deliberate policy interventions, intensified awareness campaigns, and the continued onboarding of microfinance institutions, which are increasingly leveraging the platform to expand secured lending.

133. Lending institutions continue to expand the types of movable assets which qualify as collateral. Collateral ranged from household goods, private vehicles, trucks, agricultural equipment to livestock as shown in Figure 26. 46  <!-- page 53 --> Figure 26: Types of Collateral as at 30 June 2026° 10,000 9,000 8,000 7,000 6,000 5,000 4,000 Lal 3,000 1,766 2,000 2 os cer 1,000 4 328 a2 | ° q abel ss] [2 15) 6) I OS We? er WF Sd Pr FH SSS WM YY BD SO SC MYM © LY Mw So re mR oe oe & & ee oe ee ~ re cS oe ee oe of oo * KKK FP Mer eer es S ve <s ee & SMe TSS SF > et & Ff s oF OC PPK * 3 ae ¥ & FFP oF ae ese ¥ s * < e Se s se se . Rd “ x Source: Reserve Bank of Zimbabwe, 2026

134. While men continue to pledge higher volumes overall, women are increasingly leveraging movable assets, particularly within the lower to mid-value categories. This trend reflects increasing confidence in formal lending systems and underscores the deepening of financial inclusion across diverse borrower segments. The total collateral pledged by women continue to show a consistent upward trajectory as shown in Figure 27. Figure 27: Number of Movable Collateral Registrations by Women 3,500 » ose 3,034 3,000 , 2,476 2,500 2,288 2,000 1,500 1,000 500 Jun-25 Sept-25 Dec-25 Mar-26 Source: Reserve Bank of Zimbabwe, 2026 3 *Other includes motorcycles, trailers and other movable assets that are yet to be classified in the Collateral Registry system. 47  <!-- page 54 --> COMPLIANCE MONITORING & ENFORCEMENT

135. The Reserve Bank remains committed to maintaining the safety, soundness, and integrity of the financial system through proactive supervision and timely enforcement of regulatory standards.

136. During the period under review, the Reserve Bank undertook various supervisory activities to monitor compliance with regulatory requirements prescribed in terms of the Reserve Bank of Zimbabwe Act [Chapter 22:15], the Banking Act [Chapter 24:20], the Microfinance Act [Chapter 24:30], Money Laundering & Proceeds of Crime Act [Chapter 09:24].

137. In general, the levels of compliance across banking and microfinance institutions is satisfactory. Notwithstanding compliance deficiencies, which include breaches of minimum capital requirements, non-compliance with requirements for submission of statutory and supervisory returns, and breaches of consumer protection requirements, were identified at some institutions.

138. Appropriate supervisory interventions were undertaken in all identified cases to reinforce regulatory discipline, strengthen institutional accountability, and promote a robust culture of compliance across the financial sector. NATIONAL PAYMENT SYSTEMS DEVELOPMENTS

139. The national payment systems remained resilient and recorded 99% up-time for the RTGS and retail payment platforms during the first half of 2026.

140. The Reserve Bank strengthened the regulatory framework for the national payment systems through the issuance of Guidelines on Quick Response (QR) Code Payments and Digital Financial Services Technical Security.

141. Payment service providers are urged to fully align their systems, processes and merchant on-boarding practices with the QR Code Payments Guideline within the 48  <!-- page 55 --> prescribed timelines. They should also adopt the Digital Financial Services Technical Security Guideline as the minimum benchmark for cybersecurity resilience.

142. In line with the ISO 20022 migration programme, SWIFT will discontinue support for unstructured postal addresses in cross-border payment messages effective 26 November 2026. The Reserve Bank implores all banking institutions to comply with the set timelines to avoid rejection or delay of outbound cross-border payment instructions. Real Time Gross Settlement System (RTGS)

143. During the first half of 2026, the value of transactions processed through the RTGS system was ZiG347.05 billion and USD$21.59 billion, with volumes of 2.01 million and 3.57 million, respectively. Digital Payments

144. The aggregated digital payments transaction values and volumes for the six months ending 30 June 2026 were ZiG1.37 trillion and 511.10 million. Figure 28 shows the trends in transaction values and volumes on a monthly basis over the reporting period. Figure 28: Digital Payments Transaction Values and Volumes Jan - Jun 20264 300 120 0 eee 100 § 200 80 8 = 150 60 = = 100 40 3 50 20 £ Ss 0 0% ae ae ae ne ae ae - es & y we ye we ys =@=— TRANSACTION VALUES IN BILLIONS (ZiG) === TRANSACTION VOLUMES IN MILLIONS Source: Reserve Bank of Zimbabwe, 2026 4 Digital Payments Include Transactions conducted on the RTGS, Card, Mobile Money, Mobile Apps and Online platforms 49  <!-- page 56 --> Access Devices and Points

145. The number of access points and devices increased during the first half of 2026, as shown in Table 11. Table 11: Payment Access Points and Devices REY, rae) NY ET) INL NEN Jun-26 an- eb- yt pr- y- u CHANGE 137,239 135,221 135,629 136,323 136,464 137,187 0.53% MPOS 22,492 22,669 22,781 22,797 22,654 22,994 1.50% PAYMENT SYSTEMS ACCESS DEVICES Debit Cards | 6,254,940 | 6,332,157 | 6,449,887 | 6,704,302 | 6,733,859 | 6,855,068 | 1.80% Credit nave Prepaid 186,286 189,051 190,709 193,329 191,233 192,935 0.89% Mobile Money | 10,846,809 | 10,886,667 | 10,693,847 | 11,041,932 | 11,155,266 | 11,197,656 Subscribers 0.38% Internet Banking | 560,292 | 559,314 | 560,292 | 576,941 583,687 | 586,605 Subscribers 0.50% Source: Reserve Bank of Zimbabwe, 2026

146. The Bank continued to engage service providers to offer affordable and accessible financial services, in line with national objectives to deepen financial inclusion and expand the uptake of digital financial services across the economy. Supervisory and Oversight Activities

147. To broaden supervisory coverage, strengthen regulatory compliance and risk management, and safeguard the integrity of the national payment system, the Bank intensified prudential oversight and AML/CFT/CPF supervision through onsite and offsite inspections, including real-time online monitoring. 50  <!-- page 57 -->

148. Although the payments sector has made notable progress in strengthening AML/CFT/CPF compliance, the Bank expects all payment service providers to continue enhancing their AML/CFT/CPF and cybersecurity risk management frameworks to protect the integrity, resilience, and security of the financial system. Regional and International Payment Platforms

149. Local banks and payment service providers are progressively integrating with regional payment infrastructures, including the Pan-African Payment and Settlement System (PAPSS), to facilitate faster, more efficient, and cost-effective cross-border transactions. As at 30 June 2026, six banks were approved on PAPSS and one is live, while others are at various stages of integration.

150. During the period under review, local banks on the SADC-RTGS processed 1,973 transactions valued at ZAR998.13 million. Digital Financial Services Market Conduct

151. In support of financial inclusion and consumer protection, the Bank, in collaboration with regulatory partners, continued nationwide financial education and consumer awareness initiatives to promote fair digital financial services, strengthen financial literacy, and reinforce confidence in the financial system.

152. The Bank urges all payment system providers and participants to strengthen consumer education by enhancing awareness of customer rights, dispute resolution mechanisms, and the safe and responsible use of digital financial services. Ghost Accounts and Wallets

153. In line with the February 2026 Monetary Policy Statement, banking institutions, mobile money operators (MMOs) and payment service providers (PSPs) continued to strengthen Know Your Customer (KYC) remediation initiatives. Specifically, they have intensified efforts to eliminate ghost, fictitious and duplicate accounts and wallets, to enhance the integrity of the national payment systems. 51  <!-- page 58 -->

154. During the period under review, all licensed MMOs complied with the directive to integrate with the Civil Registry Department for customer identity verification during wallet onboarding and periodic KYC reviews. The Reserve Bank also maintained continuous engagement with the Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) to further strengthen SIM registration and identity verification processes. Sustainability of the Payment Ecosystem

155. The Reserve Bank remains committed to promoting a resilient, secure and sustainable national payment system that supports financial stability and economic development. In this regard, the Bank will continue to encourage the prioritisation of investments in infrastructure and cyber resilience, business continuity, as well as green and inclusive payment innovations.

156. Payment service providers (PSPs) are, therefore, urged to align their business continuity and disaster recovery arrangements with international standards (including ISO 22301), to conduct periodic cyber-resilience testing, and to develop credible transition plans for legacy systems. PSPs are further encouraged to explore energy-efficient and environmentally responsible technology choices in payment system operations. 52  <!-- page 59 -->

157. This section discusses the monetary and financial conditions underpinning the current monetary policy stance and provides detailed explanations on key fundamentals, including: e Monetary Policy Transmission Mechanism e Indirect Monetary Policy Instruments e Geopolitical Shocks and Inflation Dynamics e Local Currency Denominations and Implications on Inflation e Foreign Exchange Supply and Production Monetary Policy Transmission Mechanism

158. Expectations are one of the critical channels through which monetary policy influences inflation and output in the economy. Given the forward-looking nature of monetary policy, central banks endeavour to gauge the dynamics of inflation expectations from households and businesses. In this regard, the Reserve Bank regularly conducts quarterly Inflation and Business Expectations Surveys. The results from the surveys show that inflation expectations have been well anchored. Box 2 provides insights from the initial rounds of the Inflation and Business Expectations Survey conducted since the third quarter of 2025. 53  <!-- page 60 --> Box 2: Anchoring of Inflation Expectations Insights from the Reserve Bank’s Inflation and Business Expectations Surveys Inflation and business expectations surveys are used by central banks to gauge expectations and perceptions on future inflation and economic activity from economic agents in various sectors of the economy. Inflation expectations are important as they can influence the decisions economic agents make on prices and wages in the economy and significantly impact actual inflation. As such, inflation expectations are a vital transmission channel through which monetary policy influences price dynamics in the economy. Typically, central banks rely on several tools including surveys of professional forecasters, households and businesses to gauge inflation expectations as they are not directly observable. For instance, the European Central Bank’s (ECB)Survey of Professional Forecasters collects expectations for inflation, growth and unemployment at different time horizons. The ECB publishes the results four times a year, including both point forecasts and probability distributions to show uncertainty. Similarly, the Federal Reserve Bank of New York’s Survey of Consumer Expectations tracks consumer views on inflation and other household expectations, including one-year, three-year and five-year inflation expectations. Consistent with best international practice, the Reserve Bank started carrying-out inflation expectations surveys for businesses on a quarterly basis through the Inflation and Business Expectations Survey (IBES). The IBES was launched in Q3 of 2025 focusing on expectations one quarter ahead, and requires respondents to provide their perceptions on inflation, the Bank Policy Rate, liquidity conditions and economic activity. To date, four surveys have been carried out, providing insights on the evolution of inflation expectations in Zimbabwe. Survey results show that the proportion of respondents expecting prices to decrease or stay the same, increased progressively from 44% in Q3 of 2025 to 72% in Q1 of 2026. This shows dissipation of negative inflation perceptions in line with improved actual inflation outcomes, more anchored inflation expectations and increased confidence. Figure 1 shows respondents’ expectations for inflation one quarter ahead from Q3 2025 to Q2 2026. 54  <!-- page 61 --> Figure 1: Respondents’ Inflation Expectations One Quarter Ahead 100% 10% ee ~ 80% 32% 60% yOrn 31% PYLE 40% 57% 18% 16% 0% Q3_2025 Q4_2025 Q1_2026 Q2_2026 m Will decrease moderately m Will decrease significantly m Will increase moderately mg Will increase significantly mWIill stay the same The improvement in anchoring of expectations is also discernible from the analysis of the actual one quarter ahead expected inflation. The survey results show that expected inflation steadily narrowed in consecutive survey rounds. When this range is wide, it means respondents have very different views about the expected path of inflation. When it narrows, it means expectations are becoming more concentrated, and there is a stronger shared view among respondents. The range of the expected inflation rates narrowed from a wide band of 20-120% in the first expectations survey to 5-20% during the Q2 2026 survey. Figure 2 presents the interquartile analysis of expected inflation outturns provided by respondents. The narrowing of the interquartile range coupled with the decline in expected inflation shows strong evidence of increased anchoring of inflation expectations. Figure 2: Expected Inflation Outturn One Quarter Interquartile Analysis 160 140 120 100 = 80 60 40 : Bum 0 Wi Q3_2025 MM 04.2025 Mi Q1_2026 Mj Q2_2026 Going forward, the Reserve Bank will continue conducting and refining its IBES to better understand how businesses view inflation, interest rates and the broader economy to inform the calibration of monetary policy. 55  <!-- page 62 --> Bank Policy Rate Expectations

159. To gauge Bank Policy Rate expectations prior to MPC meetings, the Reserve Bank requests business executives as part of the IBES to indicate the likely path of the Bank Policy Rate in the forthcoming quarter given current economic conditions. Indications from the surveys have shown that most executives expect the Reserve Bank to maintain the policy rate or effect gradual adjustments as shown in Box 3. Box 3: Expectation of the Bank Policy Rate Survey results from the last four rounds of the IBES have shown that most executives expect the Reserve Bank to maintain the policy rate or effecting gradual changes. Figure 1 shows respondents’ expectations of the Bank Policy Rate one quarter ahead. Across all four survey rounds, the largest group of respondents expected the Bank Policy Rate to remain largely unchanged. Figure 1: Respondents Expectation of Change in the Bank Policy Rate One Quarter Ahead 100% 80% a) cy T113 kL) 60% 40% ue ey ° % aA % e iy, a 13% = 20% 29% YY 31% 30% 0% Q3_2025 Q4_2025 Q1_2026 Q2_2026 m Will decrease moderately m Will decrease significantly m Will increase moderately m Will increase significantly Will stay the same Overall, the pattern shows that businesses increasingly viewed policy as broadly steady, with some respondents expecting moderate reductions as inflation conditions improve. 56  <!-- page 63 --> Indirect Monetary Policy Instruments

160. During the first half of 2026, the Reserve Bank introduced the ZiG Denominated Term Deposit Facility (ZiGDTDF) as part of the transition to the use of indirect monetary policy instruments and to support the development of domestic money and capital markets. Box 4 discusses the role of the ZiGDTDF in expanding domestic savings instruments. Box 4: Term Deposit Facility to Enhance Monetary Policy Expanding Domestic Savings Instruments The development of local currency savings instruments is essential to deepening domestic money and capital markets. Well-functioning domestic markets broaden the economy's capacity to mobilise savings, provide funding to the public and private sectors, enhance price discovery, expand the investor base and strengthen monetary policy transmission. In this regard, the National Development Strategy 2 (NDS 2) prioritises the promotion of a domestic savings culture and seeks to raise gross national savings to around 20% over the medium term. In this context, the Reserve Bank of Zimbabwe introduced ZiG-denominated Term Deposit Facility Bills (ZiGDTDF) on 29 May 2026. The ZiGDTDF is a term deposit facility that enables eligible stakeholders to place remunerated fixed-term deposits with the Reserve Bank. The facility is intended to modernise monetary policy operations, strengthen the monetary policy transmission mechanism and provide a low-risk, interest-bearing ZiG investment option. By helping to establish market-based reference rates, the facility can support positive returns on savings, promote a domestic savings culture and provide impetus to ongoing efforts to develop the country’s money and capital markets. The issuances raised a total nominal amount of ZiG466.6 million. Of this amount, ZiG110.0 million was issued under the 30-day tenor at 8.0%, while ZiG356.6 million was issued under the 90-day tenor across rates of 10.0%, 11.0% and 11.5%. The early issuance profile provides an initial market reference point for short-term ZiG-denominated instruments. Table 1 shows the first two ZiGDTDF issuances Table 1 ZiGDTDF Issuances a 30-day 8.00% 2 110,000,000.00 Subtotal 30-day 2 110,000,000.00 90-day 10.00% 1 20,000,000.00 90-day 11.00% 8 306,600,000.00 90-day 11.50% 1 30,000,000.00 Subtotal 90-day 10 356,600,000.00 TOTAL 12 466,600,000.00 57  <!-- page 64 --> As part of the Reserve Bank's Open Market Operations (OMO) toolkit, the instrument supports market-based liquidity management, helps maintain reserve money discipline and strengthens confidence in ZiG-denominated financial assets. Critically, the ZiGDTDF also provides scope for developing a ZiG yield curve, which is essential for further deepening Zimbabwe's financial markets. Country experiences and market-development literature indicate that yield-curve development should begin at the short end with low-risk instruments before maturities are gradually extended. Establishing reliable short-term ZiG reference rates is important for pricing savings deposits, time deposits and other ZiG-denominated financial assets. The following ZiGDTDF design features underpin its role in savings mobilisation: e Tradability - reduces liquidity risk by allowing holders to exit before maturity through the secondary market. e Prescribed asset and liquid asset status - supports institutional participation by making the instrument useful for regulatory portfolio requirements. e Collateral eligibility - increases its acceptability in money-market operations, while redemption at maturity by the Reserve Bank strengthens confidence in repayment. Overall, the ZiGDTDF represents an important step in expanding domestic savings instruments in Zimbabwe. Its immediate contribution is _ toprovidea remunerated ZiG investment option, establish short-term benchmark rates and support confidence in local-currency financial assets. Going forward, sustained macroeconomic stability, additional ZiGDTDF issuances, active secondary-market trading and innovation by banks and other financial institutions will be necessary to translate the initial ZiGDTDF benchmark into a broader range of ZiG- denominated savings products. This would support progress towards financial deepening, strengthen domestic savings mobilisation and contribute to inclusive growth under NDS 2. 58  <!-- page 65 --> Geopolitical Shocks and Inflation Dynamics

161. Global oil price shocks emanating from geopolitical tensions such as the Middle East conflict are recognised by central banks as a major supply-side risk to the inflation outlook. In particular, an oil price shock can be easily transmitted to the domestic economy leading to higher inflation reflecting the central role of oil in economic activity.

162. Box 5 highlights the role that inflation expectations played during the first wave of oil price shock in the first half of 2026. Box 5: Better Anchored Inflation Expectations Acted as a Buffer Against Oil Price Shock The conflict in the Middle East triggered a surge in global oil prices from about US$68 per barrel to a peak of US$120 per barrel in March 2026. Consequently, the domestic petrol prices rose from US$1.56 per litre in February to US$2.23 per litre in April, before declining to US$1.96 per litre in July 2026. Similarly, diesel prices increased from US$1.52 per litre to US$2.11 per litre over the same period before declining to US$1.95 per litre in July 2026. The increase in international oil prices influences domestic inflation dynamics through direct, indirect, and second-round effects. Direct effects arise from increases in domestic fuel prices but depend on the extent to which these increases are passed on to consumers and on the relative share of fuel in the Consumer Price Index (CPI) basket. Indirectly, fuel price increases affect the entire economy through increased production and distribution costs, which vary across sectors, while second-round effects arise from wage-price setting and expectations. Based on historical country experiences, the increase in domestic fuel prices by around 40% would induce an increase in annual inflation by about 2 to 4%. This would imply that annual ZiG inflation could have risen significantly from 4.4% in March, potentially to about 8% by May 2026. These estimates are in line with IMF projections on the impact of oil price shock on inflation for Sub-Saharan Africa. The projections showed a potential increase in inflation of 2.4 percentage points on average, with heterogeneous effects between oil importing and oil exporting countries, as shown in Figure 1 Figure 1: Predicted Additional Impact of Severe Oil Price Shocks in SSA a MM Direct effect ze mag Risk-off event Second round effect i! 1 Source IMF Regional Outlook, July 2026  <!-- page 66 --> For oil importing countries, such as Zimbabwe, the increase in global fuel prices represents a supply-side shock which creates divergent paths between increasing inflation and falling GDP growth. In this context, it would be difficult for monetary policy to strike a balance between controlling inflation and supporting growth. A prudent policy stance would be to look through the supply shock and maintain the tight monetary policy stance to avoid the de-anchoring of inflation expectations. The Reserve Bank reacted to the shock by adopting a look through approach by maintaining the Bank Policy Rate between March and May 2026. Importantly, measures taken by Government to cut some fuel taxes and levies, as well as self-restraint actions by businesses on price adjustments through cost rationalisation, reduced profit margins, alongside the use of alternative energy sources, also helped contain inflationary pressures and resulted in lower than previously anticipated inflation outturn as shown in Figure 2. Figure 2: Inflation Paths with Anchored and Unanchored Expectations 9% 8% APF PFReeew eeaace 7% 7 Benefits of Pi anchored 6% Pus inflation 5% = a expectations een gf 4% 3% 2% 1% 0% Jan-26 Feb-26 Mar-26 Apr-26 May-26 Jun-26 ese Anchored Inflation Expectations e@ @ e@ Unanchored Inflation Expectations Source: Reserve Bank of Zimbabwe, 2026 Inflation anchoring has proved to be a significant buffer that largely absorbed the pass-through of the oil price shock to domestic inflation. Reflecting the strength of better anchored inflation expectations, annual ZiG inflation has remained below 5% and stood at 3.2% in July 2026. Going forward, the Reserve Bank will continue to implement a prudent monetary policy to durably anchor inflation expectations and sustain low-single digit inflation. 60  <!-- page 67 --> Implications of Local Currency Denominations on Inflation

163. Currency denominations are determined by macroeconomic activity and the need to ensure transactional and saving convenience. As such, the face value of banknotes does not cause inflation, particularly in the context of a well-calibrated monetary policy stance. Box 6 explains the relationship between the face value of banknotes and inflation. Box 6: ZiG in the Family of Selected African Currencies Zimbabwe introduced the ZiG currency in April 2024 through the recalibrated monetary policy which is anchored on prudent money supply management, accumulation of foreign currency reserves and a floating exchange rate under the WBWS. This framework resulted in greater price, currency and exchange rate stability. Leveraging on the greater stability, the Reserve Bank introduced the BiGS5ZiG Banknote Series of ZiG10, ZiG20, ZiG50, ZiG100 and ZiG200, of which ZiG10, ZiG20 and ZiGS0 are in circulation. During the BiG5ZiG awareness campaign across the whole country, several stakeholders raised concerns on the potential inflationary impact of higher denominations such as ZiG100 and ZiG200. According to the quantity theory of money, sustained high inflation is always and everywhere a monetary phenomenon. In this regard, inflation is not determined by the face value of a banknote but remains a function of the stock of money supply. As such, the issuance of the upgraded higher denominations would not increase money supply as the notes will be swapped with existing electronic balances held by banks at the Central Bank. The view that higher denominations lead to high inflation in Zimbabwe reflects historical experiences, where introduction of higher denomination notes coincided with high inflation episodes. In contrast, the introduction of the BiG5ZiG banknote series occurred in an environment of low inflation and prudent money supply management. Importantly, the calibration of the highest note, ZiG200, was in line with regional benchmarks in countries that are experiencing sustained low and stable inflation. The issuance of appropriately calibrated currency denominations in the current multi- currency environment will support improved transactional convenience of ZiG and ensure that ZiG cash becomes an integral component of the payment architecture alongside electronic means of payment. Table 1 shows the selected regional highest denomination, and money supply growth and inflation projections for 2026. 61  <!-- page 68 --> Table 1: ZiG in the Family of Domestic Currencies in SADC and Beyond 7a p33 Cc’ yg FE? my Gil A 5 6d a aid Selected Ranking ee Countries’ Comparative ad P al Highest Legal iad oe eal Annual A ed COUNTRY aaa Currencies Cost of Capita eYoilod OTe Inflation ee Column Countries’ rar Current Ar re Ko og Currency Cross-rates to Living (ORO ELEC) eer i Cc Local , (USS) Odour tate) 1D) ZiG Oiecauy 20 July, Jun- Rupee Namibia 16.470 0.613 1.19 4,875.9 200 12.14 44 Namibian Dollar Franc 18 Malawi 1732.694 64.516 0.97 671.5 5,000 2.89 21.1 Malawian Kwacha Franc > Countries ranked by USD exchange rates in terms of the respective countries’ local currency. © 16 SADC countries and 5 other African countries. 7 USD exchange rates in terms of the respective countries’ local currency 8 ZiG exchange rate to respective countries’ local currency where ZiG is 1. In nominal terms, when the number is more than | it means ZiG is stronger and vice versa. ° The cost of a comparative common consumer basket of goods and services across all countries. When the index is more than 1 it means the basket for that country is more expensive than Zimbabwe and vice versa. The comparative common consumer basket includes the following: Meal at inexpensive Restaurant; Rice (white), 1kg; Chicken Fillets, kg; Water, 1.5 litre bottle; Loaf of Fresh White Bread, 500g; One-way Ticket local transport; Basic (Electricity, heating, Cooling, Water and Garbage) for 85m? Apartment; Mobile Phone Monthly Plan with Calls and 10GB of Data. 10 Measures a country’s nominal GDP divided by the total population as at end 2024 for Zimbabwe GDP of US$ 45 billion and population of 16 million was used. "| Shows the highest bank note denominations for respective National currencies which are legal tender. Statutory Instruments (S.I) 60 of 2024, promulgated ZiG bank note denominations ZiG10, ZiG20, ZiG50, ZiG100, and ZiG200 (highest). However, currently in Zimbabwe ZiGS0 is the highest note in circulation. '2 Annual inflation rates for DRC, Zambia and Zimbabwe are from July 2026, May 2026 for Madagascar and Jan 2026 for Algeria.  <!-- page 69 --> Efficient Foreign Exchange Market

164. The foreign exchange market under the Willing-Buyer Willing-Seller (WBWS) arrangement has supported ease of access to foreign exchange with all bona-fide foreign receipts being met. Box 7 highlights the key productive sectors accessing foreign currency on the WBWS. Box 7: Ease of Access to Foreign Exchange Supporting Productive Sectors The smooth and efficient access to foreign currency is critical to support economic activity by enabling businesses to import essential raw materials, intermediate goods and acquire services necessary for productive activities. In this regard, the Reserve Bank introduced a market-based foreign exchange system under the Willing-Buyer Willing-Seller arrangement. The smooth functioning of WBWS interbank market is supported by the Reserve Bank’s strategic interventions designed to ensure all bona-fide foreign invoices are met and the market clears, at all times. The interventions by the Reserve Bank to meet foreign payments and facilitate seamless business operations, has supported the country’s robust economic growth momentum. Since April 2024 the Reserve Bank’s cumulative intervention amounted to US$2.8 billion. The Manufacturing sector accessed 40% of total foreign exchange market supply followed by retail and distribution, 30%; Services, 19% and Mining, 9%. The improved access to foreign currency through the WBWS foreign exchange market supported the re-tooling and expansion of capacity utilisation in the manufacturing sector. As a result, the sector grew by 5.1% in 2025, up from 1.6% in 2024. Figure 1 shows the main sectors that have benefited from smooth and efficient operation of the foreign exchange market for the period April 2024 to July 2026. Figure 1: Cumulative Foreign Exchange Intervention by Sector (April 2024-July 2026) 45% 40% 40% 35% 30% 30% 25% 19% 20% 15% 10% o% * Z 0% MANUFACTURING RETAIL AND DISTRIBUTION SERVICES MINING 63  <!-- page 70 --> SECTION VI Monetary Policy Framework

165. The Reserve Bank’s monetary policy framework remains anchored on the need to achieve and maintain low and stable inflation, which is the primary objective of monetary policy. The current monetary policy framework involves targeting reserve money as the operational target and the exchange rate as the intermediate target. This hybrid framework has served the country well and effectively delivered price, currency and exchange rate stability.

166. In this context, the Reserve Bank is committed to continue implementing a prudent monetary policy, appropriately calibrated to ensure sustenance of low single-digit inflation. The monetary policy framework also takes into consideration the exogenous shocks arising from geopolitical conflicts and climate-induced disasters, including the expected El Nifio weather effects in the 2026/2027 agricultural season.

167. Going forward, the Reserve Bank will continue to advance its monetary policy modernisation programme and put in place the pre-conditions necessary for the transition to inflation targeting. Consistent with SADC macroeconomic convergence target for inflation, the Reserve Bank’s monetary policy modernisation framework is aimed at anchoring inflation expectations within the 3-7% range, in the medium-term.

168. A stable macroeconomic environment is critical for the transition to mono- currency, which will be a natural market-driven process, determined by the sustained attainment of the Conditions Precedent (CPs) outlined in NDS 2.

169. Importantly, the Reserve Bank will continue to calibrate monetary policy to sustain single-digit inflation and monetary stability to foster economic resilience. Progress 64  <!-- page 71 --> on this front will fortify foundations for the attainment of the CPs for the exclusive use of ZiG in the economy. Conditions Precedent (CPs) for Transition to Mono-currency

170. The country is currently operating in a multicurrency system where foreign currency co-circulates with the domestic currency, ZiG. The Reserve Bank reaffirms its commitment to a smooth transition to mono-currency when the CPs for migration are fully met and durably sustained. In this context, the Reserve Bank will regularly update the public on progress made towards the attainment of CPs. Table 12 details the CPs and the status of implementation. Table 12: Conditions Precedent for Transition to Mono-Currency

1. Durable macroeconomic * Inflation sustained |" Annual ZiG inflation has stability, characterized | within the SADC | averaged 4.2% for the first 7 by low and_= stable} benchmark of 3-7%. months of 2026 and is expected inflation at single-digit ™ Sustained Single-digit | to remain low and stable within levels. Inflation for 24] single-digit levels in the months. medium to long term. " Anchored Inflation Expectations

2. Adequate foreign * Achieve a minimum of | Foreign currency reserves stood currency reserves of at| 3 months of import} at US$1.7 billion as at end July least 3-6 months of | cover and maintain | 2026, equivalent to 1.7 months imports cover in the] reserves of up to 6| of import cover. medium to long-term. months of import cover |" The Reserve Bank is targeting in the medium to long | to reach between 1.8 and 2 term, consistent with | months of import cover by end the SADC | _ of 2026. convergence criteria. " Restored Market Confidence

3. Efficient FX Timely clearance of * The adoption of a market- management system that | bona-fide foreign | determined foreign exchange promotes ease of access payment requests in management system to FX by importers. the WBWS. engendered an efficient foreign = All invoices submitted exchange trading system under for payment are met| the Willing-Buyer Willing- with no outstanding Seller (WBWS) arrangement. FX demand backlog. = Economic agents with bona- = Completed fide foreign payment requests development of an|_ have ease of access to foreign enhanced FX trading | currency through the WBWS. System. Roll-out in|" All foreign payments are Q4/2026 currently being honoured, and 65  <!-- page 72 --> No. Condition Precedent Measure of Success NIE " Restored Market | the Reserve Bank ensures that Confidence the market clears, at all times. " The Reserve Bank is developing an automated foreign currency _ trading system, with technical assistance from the World Bank, to be launched in the fourth quarter of 2026.

4. Stable exchange rate " The real effective = The exchange rate has remained dynamics with exchange rate | relatively stable, oscillating minimum over/ maintained within +/-| between Z1i1G25-27/US$_ - undervaluation of ZiG. 10% moving by only 2.9%, from over/undervaluation. January to June 2026, ™ Sustained exchange rate stability for at least " The real effective exchange rate 24 months is closer to its equilibrium, with " Restored Market | the parallel market premium Confidence narrowing and averaging 15%.

5. Increased demand for ™ Increasing the ZiG |" To complement Government local currency (ZiG) —| based transaction from | _ efforts, the Reserve Bank has recalibration of the | the current 40% to issued attractive ZiG- percentage of | achieve 60% in the | denominated instruments. Government taxes and| medium term. = In addition, effective inflation broadening the payment Increase in the | management, coupled with of public sector goods | proportion of taxes | ongoing ZiG awareness and and services in local | paid in ZiG to above | education campaigns on the currency. 60% and target to| back of high-quality BiGSZiG achieve 100% in the Banknote Series, has enhanced medium term. confidence in ZiG. " Restored Market " On the fiscal side, the payment Confidence of taxes in the 50:50 proportion at the QPDs has enhanced the demand for ZiG. " The decision by Government to settle public sector supplier invoices in ZiG will broaden the use and demand for ZiG. = Government has reduced IMTT for ZiG payments to 1.5% from 2% while maintaining 2% for USD transactions to encourage the use of ZiG. Financial sector " Stable banking sector " The banking sector has stability. characterised by: remained safe and sound with " Non-performing loans | adequate capitalisation, (NPL) ratio below the satisfactory asset quality and international high liquidity buffers. benchmark of 5%, and = NPL ratio at 3.19% as at June Capital adequacy ratio | 2026. CAR) above 12%. ™ CAR at 24.13% as at June 2026. 66  <!-- page 73 --> No. Condition Precedent Measure of Success SET EY

7. Efficient and secure " Payment system " The National Payments System National Payments | uptime maintained | remained efficient with an System to promote ease | above 95%. average up-time of about 99%, of payment in ZiG catering for both ZiG and US locally. dollar transactions. =" The NPS has had no reported incidences of cybersecurity breaches and loss of value to market participants. Fiscal and monetary ™ No recourse to = There is enhanced monetary policy cohesion with inflationary central and fiscal complementarity, non-monetisation of the | bank financing of the | with Government having no budget. budget. recourse to inflationary Central Bank financing.

171. The detailed progress made on the CPs is summarised in Figure 29. Figure 29: Progress Tracker on CPs for Transition to Mono-Currency Status INEST te i macroeconomic * Inflation sustained within the SADC benchmark of 3-7%. (Current Status Target stability, characterized by low * Sustained Single-digit Inflation for 24 months. 7 months 24 months za hm + Ash es digit levels. dequate foreign currency * Achieve a minimum of 3 months of import cover and maintain reserves a eerie stonenrinty a up to 6 months of import ae the medium o Jong term, ae Deets imports cover in the medium to _ consistent with the SADC convergence criteria. STO” long-term. * Restored Market Confidence Efficient FX Trading system that * Timely clearance of bona-fide foreign payment requests in the WBWS. promotes ease of access to FX * All invoices submitted for payment are met with no outstanding FX Current Status Target ; by importers. demand backlog. —— Pes ee 4/2026 = Restored Market Confidence Stable exchange rate dynamics * The real effective exchange rate maintained within +/- 10% E minimum over/ over/undervaluation. eee Cen ee oct 20% undervaluation of ZiG. * Sustained exchange rate stability for at least 24 months — - — [= demand for local * Increasing the ZiG based transaction from the current 40% to achieve currency (ZiG) — recalibration of 60% in the medium term. the percentage of Government * Increase in the proportion of taxes paid in ZiG to above 60% and target Current Status Target taxes and broadening the to achieve 100% in the medium term. 0S FS TIRE AEN ay PE Coe oe and services in local currency. Financial sector stability. * Stable banking sector characterised by: Current Status | = Non-performing loans (NPL) ratio below the international benchmark anal = Capital — ratio (CAR) above 12%. PAM Efficient and secure National * Payment system uptime maintained above 95%. Current Status Payments System to promote Achieved i: and monetary policy * No recourse to inflationary central bank financing of the budget. Current Status cohesion with non-monetisation Achieved Source: Reserve Bank of Zimbabwe, 2026

172. Reflecting the progress made to date on the transition to mono-currency, Figure 30 illustrates the Reserve Bank’s self-assessment-CP-barometer as at July 2026. 67  <!-- page 74 --> Figure 30: Mono-Currency Conditions Precedent — Market Driven Barometer cr’ Price Stabili © istcined Sngiedigi nfaionforz¢ =| (I 3 29% 8.7% months) @ Consuisimporcoes nemtio = (Lr 28% 5.6% benchmark) FX Market Trading Efficiency 3) (Completed development ofanenhacedFX (ED 7. T_T — CC CS?):C~C«iOS 70% 3.5% trading System. Roll-out in 04/2026) OD Schineiccinge rie bir rai << T ] 015 85% 12.8% 24 months) 98 ee to be in ZiG.) LS oS Oe ae o Financial Sector Stability Sustained «= 0.05 100% 5% Payments System Efficiency Sustained QO (Payment System up-time 0f 99% is above he EE 0.05 100% 5% regional threshold of 95%.) ©} Monetary & Fiscal Policy Cohesion A — °.05 100% 5% Overall Weighted Score 50.1% Source: Reserve Bank of Zimbabwe, 2026

173. The overall weighted score of 50.1% was determined by a weighted average of progress on each of the CPs, with the weights reflecting the overall importance of each CP supporting the transition to mono-currency.

174. Importantly, the barometer seeks to provide an objective and indicative measure of the status of achievement of the CPs and does not signal immediate transition to mono-currency, which remains a market-driven process.

175. In this regard, the public is invited to make their own assessment and evaluation of the current monetary and financial conditions to establish consensus on the Central Bank’s indicative observations. Maintenance of Foreign Currency Denominated Contracts...

176. The Reserve Bank reiterates that the transition to mono-currency will be conditions-based and not date-dependent. At the time of transition, all domestic products and services will be exclusively transacted in local currency. However, 68  <!-- page 75 --> foreign currency accounts will be maintained, and all USD-denominated contracts will be fulfilled in the same currency.

177. Economic agents who might need to settle their foreign currency denominated obligations are expected to source the foreign currency from the foreign exchange market. On the other hand, economic agents in need of settling domestic currency payments but holding foreign currency will have to convert their foreign exchange to local currency to make domestic payments. Monetary Policy Measures

178. Reflecting the macroeconomic and financial developments during the first half of 2026, the need to stay the course and ensure policy consistency, cannot be overemphasised. This will be important to sustain single-digit inflation to anchor monetary stability and enhance macroeconomic resilience. The monetary policy measures for the next six months are as follows: (a) Interest Rates i. Bank Policy Rate

179. The Monetary Policy Committee (MPC) reduced the Bank Policy Rate from 35% to 30% in its Q2/2026 meeting. This adjustment was aimed at aligning the Bank Policy Rate to the structural shift in inflation, which has remained low and stable in the first 7 months of 2026.

180. Going forward, the MPC will closely monitor inflation developments and the evolution of domestic and external risks to inform the calibration of the Bank Policy Rate. ii. ZiG Denominated Term Deposit Facility (ZiGDTDF)

181. In the February 2026 Monetary Policy Statement, the Reserve Bank introduced the ZiG Denominated Term Deposit facility offered to banks, corporates and individuals as part of the broader strategy of modernising monetary policy. The 69  <!-- page 76 --> ZiGDTDF, operationalised in May 2026, is designed to provide benchmark interest rates and alternative value preservation instruments in local currency.

182. The ZiGDTDF has enabled the Reserve Bank to develop a short-term yield curve which will serve as a guide to the pricing of money and capital market instruments in the medium to long-term. The interest rates on ZiGDTDF will also be reviewed by the MPC in line with prevailing monetary and financial conditions. iii. Minimum Deposit Interest Rates and Promotion of a Savings Culture

183. Maintenance of positive real deposit interest rates is critical in promoting a savings culture, which provides a pool of investable funds to support domestic investment and inclusive growth. In this regard, the Reserve Bank maintains the minimum deposit rates for savings and time deposits in both ZiG and US$ as follows: Table 13: Minimum Interest Rates for ZiG and US$ Savings & Time Deposits Currency Savings Deposit Rates Time Deposit Rates ZiG Deposits 5% 7.5% US$ Deposits 2.5% 4% Source: Reserve Bank of Zimbabwe, 2026 iv. Review of ZiG Lending Rates to Individuals and Corporates by Banks

184. Following the reduction in the Bank Policy Rate, the Reserve Bank has observed that some banks have not reviewed their lending rates consistent with the structural shift in inflation and monetary dynamics.

185. Currently, the gap between the Bank Policy Rate and average lending rates has become very wide, pricing productive sectors out of formal credit. The Reserve Bank encourages banking institutions to align their lending rates with movements in the Bank Policy Rate and cost of funds. 70  <!-- page 77 --> v. Review of USD Lending Rates to Individual and Corporates by Banks

186. The Reserve Bank noted market concerns on the level of interest rates applicable on US dollar loans and will continue to engage banking institutions to align USD domestic lending rates with the cost of funds. It is critical to note that the global benchmark rates, including the Secured Overnight Financing Rate (SOFR) and US Treasury Bill rates, moderated by about 2 percentage points between the end of 2024 and mid-2026, and this should ordinarily filter through to the domestic US dollar lending rates. (b) Statutory Reserve Requirements (SRR) Maintained

187. The Reserve Bank introduced differentiated rates on statutory reserve ratios for savings and time deposits, and demand/call deposits for both local and foreign currency. The differentiated rates, which offer lower reserve requirements for savings and fixed deposits, are aimed at incentivising banks to promote savings and time deposits.

188. In its Q2/2026 meeting, the MPC maintained statutory reserve ratios at 15% for savings and time deposits and 30% for demand/call deposits for both local and foreign currency. (c) Non-Negotiable Certificates of Deposit (NNCDs) Maintained

189. NNCDs will continue to play an important role in managing domestic liquidity, while the Reserve Bank is considering other indirect instruments. The NNCDs ensured that liquidity conditions remained within optimal levels daily, supporting the Reserve Bank’s prudent money supply management and greater price and exchange rate stability.

190. In this regard, the Reserve Bank will maintain the NNCDs in its monetary policy toolkit for open market operations to support the effective management of liquidity and money supply in the economy. 71  <!-- page 78 --> (d) Exporters’ Foreign Currency Retention Threshold Maintained

191. Export surrender proceeds continued to support the smooth functioning of the WBWS interbank market, the clearing of bona-fide foreign invoices, and the build- up of foreign exchange reserves.

192. To engender lasting exchange rate stability in support of the attainment of the conditions precedent on the accumulation of foreign currency reserves, the current retention threshold is maintained at 70%.

193. The retention threshold is well-calibrated and aligned to meet the ZiG and FX requirements of exporters. To ensure that the retention framework is sustainable, generators of foreign currency are encouraged to cascade the same to their suppliers and service providers.

194. The extension of retention requirements to small-scale gold producers is currently under review as efforts are underway to ensure that suitable bank arrangements are in place for this market segment. (e) The Targeted Finance Facility (TFF)

195. The Reserve Bank increased the envelope of funds available to the productive sectors in the economy under the TFF, in the February 2026 Monetary Policy Statement.

196. In line with the reduction of the Bank Policy Rate, in the Q2/2026 MPC meeting, the rate applicable to banks on the TFF was reduced from 20% to 15%, with banks lending at a maximum of 25%. The total TFF envelope remained at ZiG1.2 billion. The Reserve Bank encourages the productive sector to approach their banks to access this facility.

197. The TFF interest rate will continue to be reviewed by the MPC in line with the prevailing monetary and financial conditions. 72  <!-- page 79 --> (f) Enhancing Foreign Exchange Market Functioning and Flexibility

198. The Reserve Bank has made significant progress on the development of the electronic foreign exchange trading platform to support the smooth functioning and flexibility of the foreign exchange market.

199. The platform will support real-time transactions and reflect market fundamentals, improving allocative efficiency and price discovery, promoting interbank trading among Authorised Dealers. In addition, the system will be instrumental in eliminating market segmentation practices by banks and reducing reliance on the Reserve Bank as the primary facilitator of interbank foreign exchange trades.

200. The system is undergoing validation by the World Bank and is expected to be rolled out in the last quarter of 2026. In the interim, the Reserve Bank has implemented a precursor to the enhanced FX trading system where banks are now trading directly amongst themselves on a daily basis, with the Central Bank only intervening to support smooth market operations.

201. The operational modalities and detailed implementation guidelines of the automated foreign currency trading system will be communicated to the market in due course. (g) Unlicensed Lenders

202. The Reserve Bank has noted the emergence of unlicensed providers of credit, including individuals, and online platforms that are operating outside the financial sector regulatory perimeter.

203. Against this background, the Reserve Bank wishes to advise the public engaging with such participants that they risk being exposed to excessive interest rates, misuse of personal information, loss of assets pledged as collateral, and limited avenues for redress or recourse. 73  <!-- page 80 -->

204. The public is encouraged to verify with the Reserve Bank the licensing status of credit providers before entering into financial agreements. (h) The Upgraded BiG 5 ZiG Banknotes Distribution and Availability

205. The Reserve Bank injected the upgraded ZiG10, ZiG20 and ZiGS50 banknotes and ZiG coin into circulation to support transactional convenience and wider use of the local currency in the economy.

206. To ensure that local currency cash continues to be available to the banking public, the Reserve Bank has collaborated with banks to develop a smart electronic system to track, on a real-time basis, the distribution of cash in banking halls and ATMs, countrywide, including the remote/rural areas.

207. The banking public is also advised that ZiG coin is available in banking halls, and that they should access these to alleviate change challenges, especially in the transport sector. Other Supportive Measures (i) Promotion of ZiG Savings and Investment Products

208. The engagement between the Reserve Bank and banking institutions during the 2026 Mid-Term Monetary Policy Consultative Review Meetings showed that an increasing number of banks are now offering ZiG savings and time deposits. Nevertheless, communication and awareness on the available local currency savings and investment products remains limited.

209. To promote pooling of funds, the Reserve Bank encourages banking institutions to regularly promote the available savings and investment products to their customers. Specifically, banks are reminded to communicate the terms and business conditions of the available savings and investment products at least once a month. 74  <!-- page 81 --> (j) Promoting transparency, consumer protection and market discipline

210. The Reserve Bank has noted an increase in customer complaints against some microfinance institutions which undermines consumer protection, financial inclusion and confidence in the financial sector.

211. The Reserve Bank reiterates the importance of maintaining fair, transparent, and customer-centric business practices across the banking and microfinance sectors.

212. In this regard, all regulated institutions are required to strengthen their consumer protection frameworks, enhance disclosure standards and ensure the prompt resolution of complaints.

213. All microfinance institutions are required to disclose to their customers and display both monthly and annual rates of interest on loans and advances which they grant.

214. With immediate effect, each microfinance institution shall conduct and document adequate affordability and repayment capacity assessments of its borrowers before granting credit to ensure that the facilities are appropriate and affordable and do not expose the consumer to undue financial hardships due to over-indebtedness. (k) Promoting Digital Payments and Use of POS Machines

215. In the 2025 February Monetary Policy Statement, the Reserve Bank directed banking institutions and Payment Service Providers to ensure that every business account is issued with a POS machine to enhance digital transactions in the economy. In this context, the Reserve Bank encouraged all Local Authorities and other licensing entities to promote the use of formal banking channels by ensuring all applicants for trading licences have a bank account and functional POS.

216. In the intervening period, the active POS population, however, remained steady at about 36% of total deployments reflecting limited uptake. 75  <!-- page 82 -->

217. In this regard, the Reserve Bank encourages banking institutions, Payment Service Providers, Local Authorities and other licensing entities to continue promoting digital transactions in the economy through the use of POS machines. (1) Strengthening AML/CFT/CPF risk management

218. In May 2026, the Reserve Bank disseminated the results of the Banking Sector Risk Assessment Report, and banking institutions were to incorporate the outcomes of the Report into their institutional risk assessments and AML/CFT/CPF Programmes, ensuring that mitigation measures are risk-based and proportionate.

219. Against this background, all banking institutions are required to submit to the Reserve Bank by 31 December 2026, Board-approved Money Laundering, Terrorist Financing and Proliferation Financing risk management frameworks and policies. (m) Women and Youth Economic Empowerment

220. Cognisant of the catalytic role that women and youth-owned micro, small and medium enterprises (MSMEs) play in driving sustainable economic growth and household welfare, the Reserve Bank will promote gender and youth inclusive finance initiatives. These will be aimed at empowering women and youth-owned MSMEs towards building a more resilient, and financially inclusive economy.

221. Banking and microfinance institutions are required to submit to the Reserve Bank by 31 December 2026 their plans on Targeted Financial Education Programmes for 2027, that support women and youth in understanding financial matters.

222. The National Financial Inclusion Strategy II, which is currently under development, will prioritise financial health and financial capability of women and their MSMEs. 76  <!-- page 83 --> SECTION VII

223. The performance of the economy in the first half of 2026 points to continued robust economic growth. As such, the economy is projected to grow by 5% in 2026, benefiting mainly from strong performance of the agriculture and mining sectors. The strong commodity prices, particularly for gold and PGMs, are expected to underpin growth in mining and mineral exports.

224. Reflecting stronger export performance, particularly from minerals and growing remittance flows, the current account surplus is projected to improve from US$2.1 billion in 2025 to US$2.6 billion in 2026. This strong external position is expected to support reserve accumulation and exchange rate stability.

225. Annual ZiG inflation is projected to remain low and stable, averaging about 5% and within the SADC macroeconomic convergence target of 3-7% by the end of the year. Month-on-month inflation is projected to remain below 1%, barring any significant domestic and external shocks.

226. The banking sector is expected to remain stable, resilient and inclusive, underpinned by the prevailing macro-economic stability and embedded sustainability practices.

227. Notwithstanding the robust growth performance, the outlook remains dominated by risks from Middle East conflict spillovers, volatile commodity prices and the anticipated super El Nifio weather conditions. Against this background, there is need for authorities to put in place mitigatory measures to minimise the economy- wide repercussions of these downside domestic and external risks. 77  <!-- page 84 --> SECTION VIII

228. Price, currency, and exchange rate stability significantly bolstered confidence, trust, and credibility in the local currency during the first half of 2026. In this regard, the Reserve Bank will “stay the course” and continue with the current prudent monetary policy stance to entrench and sustain stability into the second half of 2026.

229. The Reserve Bank’s monetary policy stance will thus remain appropriately calibrated, flexible and proactive to address any emerging risks from the domestic and global fronts.

230. The successful completion of the IMF SMP is expected to engender and consolidate macroeconomic stability gains made so far. The external endorsement of domestic policies will further bolster confidence and trust in the monetary policy.

231. As such, the Reserve Bank will continue to walk the talk and ensure that price, currency, and exchange rate stability are firmly and durably anchored. I THANK YOU DR. JOHN MUSHAYAVANHU GOVERNOR 78  <!-- page 85 --> Annex 1: ex I: a Stakeholders’ View on Monetary Policy Implemantation ABAZ : THE CHAMBER OF MINES - y | es Zz >» OF ZIMBABWE 4 EE Ry ! Z By oa Vis ake & fy) =~, oY Sz \Gb ) a * ¢> ’ ™ f/ GS = ZW > en sis & LANA ) TBCZ @ CZI © / AEDS ce crenata mae y aot Semen, CEO STRATEGIES / i eae consumer i ) KOZ Souncl of , ’ {= €ZCC 8 ZZNCC ‘Zimbabwe Council of Churches @ Union (Sus ZIRTA Transporters Association  <!-- page 86 -->

1. The Reserve Bank held Stakeholder Consultative meetings from 20-31 July 2026 to solicit feedback on the performance of monetary policy, implications on economic agents and recommendations for the Mid-Term Monetary Policy Review Statement. The consultations provided critical insights from across the economy, enriched evidence-based decision making, strengthened policy credibility and enhanced the effectiveness of monetary policy and supported achievement of sustainable price stability and economic resilience.

2. Evidence from the current consultations has demonstrated that stakeholder engagement has resulted in increased alignment of the monetary policy and market needs, which is essential for anchoring inflation expectations and sustaining price, currency, and exchange rate stability.

3. The Reserve Bank remains committed to a collaborative approach to policymaking to strengthen institutional credibility and reinforce market confidence. As such, the Reserve Bank has enhanced the consultation process by introducing quarterly meetings with some key stakeholders to solicit frequent feedback to support fine-tuning of monetary policy.

4. The consultations were attended by key stakeholders, cutting across the various sectors of the economy, including: i. Africa Economic Development Strategies (AEDS); ul. Bankers Association of Zimbabwe (BAZ); ili. Capital Markets Association Council (CMC); iv. CEO Africa Roundtable; v. Chamber of Mines of Zimbabwe; vi. Commercial Farmers’ Union (CFU); 80  <!-- page 87 --> vil. Confederation of Zimbabwe Industries (CZI); vill. Confederation of Zimbabwe Retailers (CZR); ix. Consumer Council of Zimbabwe (CCZ); x. Cotton Industry; xi. Estate Agents Council (EAC); xii. Former Reserve Bank of Zimbabwe Governors and Deputy Governors; xill. Mobile Network Operators; xiv. Retailers Association of Zimbabwe (RAZ); xv. Tobacco Industry; xvi. Tourism industry; xvli. Transporters Association of Zimbabwe; xvili. Zimbabwe Association of Microfinance Institutions (ZAMFI) xix. Zimbabwe Council of Churches (ZCC); xx. Zimbabwe Farmers Union (ZFU); xx1. Zimbabwe Institute of Strategic Thinking (ZIST); and xxii. Zimbabwe National Chamber of Commerce (ZNCC).

5. The consultation process also benefited from engagement with former Governors and Deputy Governors. The key message emanating from former Governors and Deputy Governors was that the Reserve Bank should continue to walk-the-talk in prudent monetary policy management to support predictability and certainty in the economy.

6. Stakeholders applauded the extensive BiG 5 ZiG public education and awareness campaign which reached all provinces, districts and every corner of the country. They commended that this inclusive approach was critical to support the uptake of ZiG cash and promote wider use of ZiG in the economy.

7. Overall, stakeholders commended the Reserve Bank for sustaining price, currency and exchange rate stability which supported long-term planning and 81  <!-- page 88 --> promoted investment and growth. They implored the Reserve Bank to continuously fine-tune the monetary framework to balance stability and growth.

8. While not every submission could be explicitly incorporated into this Monetary Policy Statement, each contribution proved crucial in shaping policy debate and refining the interventions contained in this Mid-Term Monetary Policy Statement.

9. Tables 1 and 2 detail the specific stakeholder recommendations aimed at sustaining single-digit inflation to anchor monetary stability and foster economic resilience. Table 1: Summary of Stakeholders' Issues and Comments Subject Matter Stakeholder Comments RBZ Feedback and Issues 1 Bank Policy Rate, Some stakeholders The Reserve Bank advised lending rates and cost of | highlighted that the Bank | that it has adopted a prudent credit, and TFF Policy Rate is still high, monetary policy stance to limiting access to affordable sustain price, currency and credit. However, others | exchange rate stability owing commended the Reserve | to lingering heightened Bank for the cautious | geopolitical risks. approach in reducing the Bank Policy Rate, given the | The Reserve Bank advised historical hyperinflation | that the cost of credit is episodes and the need to | expected to be adjusted in sufficiently anchor inflation line with the policy rate and expectations. inflation. The Reserve Bank also Stakeholders welcomed the reiterated that TFF rates will TFF but cited that the interest | be aligned to adjustments in rates are not favourable and bank policy rates to balance the amounts are inadequate support to productive sectors for long-term funding while curbing speculative especially for agriculture. activities. 2 | Spread between the | Concerns were raised on the | The Reserve Bank advised mid-rate and the willing | spread between the mid-rate | that the exchange rates are buyer rate and the buy rate, which is | market-determined and impacting negatively on | businesses should approach businesses surrendering | banks with the most foreign currency at ZiG26.6 | favourable exchange rates. per US$ against ZiG29 per USS. 82  <!-- page 89 --> Subject Matter Stakeholder Comments RBZ Feedback and Issues 3 | Bank Charges Stakeholders acknowledged | The Reserve Bank took note the Bank’s progress on of the stakeholder concerns lowering bank charges but | and advised that noted that transaction fees on | consideration will continue electronic payment channels | to be made as banks drive remain high, driving | down costs through transactions towards cash, | digitalisation. thereby entrenching informalisation. In this regard, further reviews on bank charges will aim to balance bank profitability with service affordability and availability. Liquidity Management, | Stakeholders highlighted that | The Reserve Bank Statutory Reserve | commercial banks are | emphasised that liquidity Requirement, and | experiencing tight liquidity | interventions are guided by Interbank Trading attributable to aggressive optimal liquidity levels liquidity mopping using | (OLL) derived from NNCDs. analysing each __ bank’s historical liquidity trends, ensuring that core operational requirements are met without creating Stakeholders also requested a | artificial shortages. reduction in the statutory reserve requirement ratio. The Reserve Bank indicated that commercial banks were subject to the higher 30% statutory reserve requirement largely because of their limited efforts to offer Banking institutions | savings and time deposits highlighted that the low | which will lower _ their volume of interbank trading | statutory reserve requirement was due to _ structural | ratios to 15%. challenges including bilateral credit and compliance | Banks are, therefore, constraints, tenor | encouraged to market mismatches and collateral | savings and time deposits to issues. their clients. The Reserve Bank and banking institutions will collaborate to finalise a centralised clearing structure, supported by a _ regional lending institution, that can eliminate bilateral credit risk, to mitigate settlement risk and improve overall market transparency to support interbank trading. 83  <!-- page 90 --> Subject Matter Stakeholder Comments RBZ Feedback - and Issues Development of the Stakeholders noted the | The Reserve Bank welcomed Yield Curve importance of extending the | stakeholders’ interest in domestic yield curve and supporting the development expressed interest in playing | of domestic money and a more active role in the | capital markets. issuance and trading of ZiG- denominated securities. The Reserve Bank advised that the operationalisation of the ZiGDTDF is expected to support the development of a local currency yield curve. Export Retention Levels | The level of exports retention | The Reserve Bank at the current 70/30 remains | emphasised that the retention high and requires urgent | framework has gone a long review. way in supporting the prevailing price and exchange rate stability in the economy. The proceeds have In addition, stakeholders | been utilised to liquify the requested the Reserve Bank | foreign exchange WBWS to consider requests for | interbank market and ensure additional foreign currency | that all bona-fide foreign on a case-by-case basis, to | invoices are paid and the enable some companies to | market clears. expand operations and maximise their contribution | Further, the Reserve Bank to the economy. advised that, for the retention framework to be sustainable and support increased use of the local currency, exporters should cascade the 70/30 Some stakeholders in the | payment structure to their mining sector highlighted | domestic service providers that they are still owed the | and contractors. local currency of export surrender proceeds by | The Reserve Bank advised Treasury. exporters that the issue of outstanding export surrender proceeds affects not more than three mining exporters and is receiving active attention from Treasury. Treasury has also devised some bilateral structures to extinguish the payment of arrears. 7 | ZiG Availability Stakeholders expressed | The Reserve Bank advised concerns on the shortage of | that there has been improved ZiG in circulation, uptake of ZiG since the introduction of BiG 5, 84  <!-- page 91 --> Subject Matter Stakeholder Comments RBZ Feedback and Issues particularly in the remote including in rural areas. areas and border towns Currently the Reserve Bank has injected about ZiG600 million into circulation. The uptake of ZiG is expected to continue in line with increased stability. Measures to Promote | Stakeholders highlighted the | The Reserve Bank welcomed ZiG Demand need to support broad-based | the proposals to support demand for ZiG in the | wider use of the local economy in line with the | currency, and these would be roadmap to mono-currency. | considered in the broader In this regard, stakeholders | context of increasing demand proposed that a _ small | for ZiG under the SMP mandatory portion of PAYE | structural benchmark. be paid in ZiG. Increase in local | Stakeholders raised concerns | The Reserve Bank clarified currency deposits and requested clarificationon that the increase in ZiG whether the recent significant | deposits was non-inflationary increase in ZiG deposits as it reflected increased use would not stoke inflationary | of ZiG. pressures. In addition, the increase in ZiG deposits was more than offset by the increase in foreign currency deposits. 10 | Roadmap to Mono- | Stakeholders sought | The Reserve Bank allayed Currency clarification regarding the fears and assured the roadmap towards eventual | stakeholders that the mono-currency adoption and | roadmap would be market whether the Reserve Bank | driven and the Reserve Bank would transition overnight | will continue to prioritise after fulfilling the Conditions | transparent communication Precedent. on the CPs. The Reserve Bank They noted that SI 218 of | encouraged the market to 2023, which limits the multi- | make and publish its own currency system to 2030, is | assessment of the CPs. still in effect. This raises uncertainty around the CPs | The Reserve Bank advised framework and the practical | that it would liaise with milestones involved. Treasury to facilitate repeal of SI 218. In addition, stakeholders highlighted that some banks are still limiting foreign | The Reserve Bank advised currency denominated loan | that banks had confirmed tenures to 2030. they were issuing loans beyond 2030. In addition, the Reserve Bank clarified that all foreign currency 85  <!-- page 92 --> Subject Matter Stakeholder Comments RBZ Feedback and Issues denominated contracts will remain payable in the currency of origination. FCA accounts will continue to subsist, however, the foreign currency will need to be liquidated _ for settling domestic transactions and payments. 11 | Willing-Buyer-Willing- Some stakeholders queried | The Reserve Bank Seller (WBWS) Market | whether the WBWS | emphasised that the current and Foreign Reserves exchange rate is truly market- exchange rate system has determined. been market-determined since April 2024, on a WBWS basis, with the role of the Reserve Bank restricted to computing and publishing the daily weighted average exchange rate. In addition, the Reserve Bank advised the stakeholder that it has developed a _ digital foreign exchange trading system, currently under technical review by the World Bank, which is scheduled for launch in the fourth quarter of 2026. The stakeholders also raised | The Reserve Bank explained concern regarding the that gold remains an increased proportion of gold | important store of value and in the foreign reserves’ that the Bank's reserve composition. They | accumulation strategy highlighted that it is prone to | incorporates an inter- price correction risk. generational perspective aimed at preserving long- term national wealth. In addition, given the ongoing geopolitical risks, most central banks are increasing their gold holdings, a process known as_ global _ de- dollarisation. 12 | Foreign suppliers credit | Stakeholders requested the | The Bank advised that it Reserve Bank to simplify the | would continue to review the requirements for annual | requirements to balance registration of foreign | regulatory burden while supplier credit arrangements. | ensuring financial integrity and curbing externalisation. 86  <!-- page 93 --> Subject Matter Stakeholder Comments RBZ Feedback - and Issues 13 Intermediated Money Stakeholders expressed | The Reserve Bank noted that Transfer Tax (IMTT) concern that IMTT is this isa fiscal matter. amplifying financial exclusion and entrenching The Reserve Bank, however, informalisation. bemoaned and discouraged malpractices of possible tax evasion and avoidance by some large corporate entities, including the settlement of high-value creditor invoices in cash to avoid the IMTT. 14 | Formalisation of the | Stakeholders raised concerns | The Reserve Bank advised Informal Sector over unfair competition from | that this is a fiscal matter, informal operators who do | which will be referred to the not pay tax. relevant authorities. As a result, stakeholders | However, it was noted that proposed restructuring part | the proposal was of the duty applied to fuel so | administratively difficult to that a portion is instead levied | implement as operators may as Value Added Tax (VAT), | move between formal and which formal businesses | informal status at will. could then claim back as input tax. The Reserve Bank, however, advised that it is working on an economy-wide digitalisation project that is expected to help address some of the challenges posed by informality. 15 Regulatory Burden and Stakeholders raised that | The Reserve Bank competition from | administrative burden, red | highlighted that the Foreigners tape, and legal formalities are Government, through the constraining businesses, | broader ease of doing particularly in the transport | business agenda, is sector. They requested addressing the administrative consideration of a centralised and regulatory burdens registration system, similar to | across all sectors. Already, the model used in Rwanda, to significant benefits are improve efficiency. noticeable, and this would support competitiveness. Further, stakeholders highlighted that they were | The Reserve Bank advised facing significant | that this would require competition from | intervention by Government international transporters and | through the parent Ministry. requested that a minimum of | It was, however, important 70% of merchandise for transporters to also work 87  <!-- page 94 --> Subject Matter Stakeholder Comments RBZ Feedback and Issues produced domestically be | on reducing their internal transported by local players. | costs to become competitive. 16 | Strengthen mineral | Stakeholders raised concern | The meeting agreed that there accounting and _ curb | regarding increased | is need for strong smuggling smuggling at various border | collaboration among all the posts. regulatory and enforcement agencies to reduce smuggling Particularly, stakeholders | and corrupt activities at called for Government to | Border Posts. ensure proper accounting of minerals exported from the | The Reserve Bank also raised country and acknowledged | concerns regarding transfer concerns about perceived and | pricing and _ discrepancies actual instances of | between declared export smuggling. values and values recorded in destination markets, particularly in relation to lithium exports. The Reserve Bank emphasised the need to digitalise the accounting framework in order to close the loopholes in the value chain 88  <!-- page 95 --> Table 2: Summary of Stakeholders' Comments Subject Matter Stakeholder Comments RBZ Feedback 1. | Price and Stakeholders commended the single- | The Reserve Bank welcomed the feedback from exchange rate digit annual inflation sustained since | stakeholders and committed to keeping the stability has January 2026 and the relative | monetary policy framework flexible to sustain engendered exchange rate stability since early | single-digit inflation and enhance the anchoring predictability and | 2025. of inflation expectations in the economy. certainty. Former Governors commended the The Reserve Bank thanked the former Reserve Bank for sustaining price, | Governors and committed to continue walking- currency and exchange rate stability | the-talk to engender confidence, trust and and emphasised that this has resulted | credibility in the central bank, critical to anchor in enhanced predictability and | inflation expectations. certainty in the economy. They called on the Reserve Bank to continue with the prudent monetary policy stance to fully build confidence, trust and credibility in the monetary policy. 2. | Foreign currency | Stakeholders praised the Reserve | The Reserve Bank took note and advised that availability and Bank for sustained foreign currency | there is adequate foreign currency in the foreign currency | availability in the market. This has | economy and importers with genuine import reserve buffers supported increased production | invoices should not source foreign currency in through importation of essential raw | the parallel market. materials, plant and equipment. The Reserve Bank highlighted that Stakeholders also applauded the | accumulation of foreign currency reserves to 3- Reserve Bank for a robust foreign | 6 months is one of the critical CPs for the currency reserves accumulation | roadmap to mono-currency and will continue to strategy that has improved import | be prioritised in the short to medium-term. cover from below 0.4 months in April 2024 to 1.6 months in June 2026. They reiterated that this is critical to underpin medium-term stability of the exchange rate. 3. | SMP Targets Stakeholders applauded the Reserve | The Reserve Bank welcomed the remarks and Bank for meeting the IMF’s SMP | committed to stay the course to ensure quantitative targets and structural | successful completion of the SMP programme. benchmarks for the first quarter (March 2026). The Reserve Bank further advised that current self-assessment shows that the Reserve Bank is on course to meet the second quarter (June 2026) targets, which is subject to confirmation by the IMF during their next SMP Review in September 2026. The Reserve Bank implored all stakeholders to pull together and speak with one voice. Monetary Policy Stakeholders commended the | The Bank reaffirmed its commitment to Communication Reserve Bank's improved monetary | transparent communication as one of its integral policy communication, particularly | monetary policy tools. the quarterly publication of monetary and financial developments in the | The Reserve Bank further highlighted that the public media as well as the | month-long ZiG awareness campaign in March nationwide ZiG awareness campaign | 2026 has been very critical in soliciting and education. feedback on ZiG and monetary policy. 89  <!-- page 96 --> Subject Matter Stakeholder Comments RBZ Feedback The newly launched Schools Monetary Policy Challenge (SMPC) is expected to promote financial literacy and inspire future economists. Specifically, this is a national competition where learners simulate the role of the Governor and Deputy Governors, analysing _ real economic issues and presenting policy ideas like professionals. ZiG-denominated | Stakeholders commended the The Reserve Bank thanked the stakeholders and financial Reserve Bank for introducing | highlighted that ZiG-denominated instruments instruments ZiGDTDF and called for efforts to | are critical in resuscitating the money market, broaden ZiG-denominated financial | which is crucial in the transmission of monetary instruments in the market. policy. The Reserve Bank expects the ZiGDTDF to support the development of a short-term yield curve and provide a benchmark for the pricing of all ZiG denominated instruments in the economy. Conditions Stakeholders commended the | The Reserve Bank welcomed the comments Precedent to Reserve Bank on the progress made | from stakeholders, emphasising that the Mono-currency towards achieving the conditions | transition to a mono-currency will be market- precedent for transitioning toamono- | led and determined by achieving the stated currency and the regular updates on | conditions and encourages members to review the same. the CPs list and suggest any additions to it. END 90  <!-- page 97 --> Annex 2 List of Registered Microfinance Institutions (30 June 2026)  <!-- page 98 -->

ANNEX 2 1. The Reserve Bank in terms of the Microfinance Act [Chapter 24:29] section 13 publishes the list of Registered microfinance institutions as presented in Table 1 and Table 2. Table 1: List of Registered Deposit-Taking Microfinance Institutions As At 30 June 2026 Cy YD HEAD OFFICE ADDRESS 1. | African Century Limited African Century Gardens, 153 Josiah Chinamano Avenue, Between 6th and 7th Street Harare SuccessBank Limited 14 Steppes Road, Colne Valley, Chisipite, Harare 3. | GetBucks Microfinance Bank | Ist Floor, Unity Court, Cnr First Street & Kwame Limited Nkhrumah Avenue, Harare 4. | Zimbabwe Women's 31 Mutely Bend, Belvedere, Harare Microfinance Bank Limited EmpowerBank Limited 60 West Road, Avondale, Harare InnBucks Microbank Limited | 2 Northridge Close, Northridge Park, Borrowdale, (formerly Ndoro Microfinance | Harare Bank) 7. | Mukuru Financial Services Tendeseka Office Park, Zimbabwe Limited Block 2, Second Floor, Samora Machel Avenue Harare 92  <!-- page 99 --> Table 2: List of Registered Credit-Only Microfinance Institutions As At 30 June 2026 No. NAME HEAD OFFICE ADDRESS . Shop No. 7, ZIMRE Centre, L ABC Easy Loans t/a BancEasy Loans (Private) Leopold Takawira Street, Ltd Harare Hatfield House, Seke Road, 3. | Abrana Financial Services 40 Samora Machel Avenue. St Andrews House. Harare . . 5th Floor, Southwing, Globe Acumen Miicrofinance (Private) Limited House, Jason Moyo Ave, Harare Afrocash Micro (Private) Limited 68 Stable Close, Borrowdale, Harare 6 | AgileCred 309 Adylinn Road, Westgate, Harare . No. 3/4 Ireland Road Alfil Capital ZVISHAVANE 30 Samora Machel Avenue, . . . . Office No. 409, South Wing Allegiant Finance (Private) Limited ‘Ath Floor, Nicoz Diamond, Harare 3rd Floor, Karigamombe Altair Finance (Private) Limited Centre, 53 Samora Machel Avenue, HARARE Shop 9; Samuriwo Building; 10. | Altitude Finance (Private) Limited Stand 995, Main Street, Machipisa, Highfield, Harare Office No.2 Ground Floor 11 AMBC INTERNATIONAL INDUSTRY NSSA House, Corner Julius "| (PRIVATE) LIMITED Nyerere and Sam Nujoma, Harare 139 Borrowdale 12. | Amkay Capital (Private) Limited Gunhill Harare Shop Number 72 13.) Anephen Microfinance (Private) Limited Highglen Shopping Centre Harare . . .. Suite 516-517,5th floor,Africa Anthill Capital (Pvt) Limited House, Fife Avenue, Bulawayo . . . . office at number 3152 Applechain Microfinance (Private) Limited Makwasha, Zvishavane, Appointed Restoration Finance (Private) Limited Wailers Building, No.16 Harare Street, Harare . . . . _ Zimpost Building, Tongogara 17. | Ardeur Financial Services (Private) Limited Street/Hughes Ave, Masvingo . . . 5 Hebert Chitepo Street Arnold Kapitol (Private) Limited Mutare, Zimbabwe 93  <!-- page 100 --> No. NAME HEAD OFFICE ADDRESS Ashcash Microfinance (Private) Limited 5 Peebles Road, Eastlea, Harare 3rd Floor, West Wing, . Lo, Construction House, 108-110 20. | Ashleen Investments (Private) Limited Leopold Takawira Street, Harare . oo. . . . .. Shop Number FS-9 & FS-10, Authentic Financial Service (Private) Limited Sunshine Bazaar, Mbare, Harare Office 400, 4th Floor, . . Conctruction House, 108-110 22. | Baardy Micro Capital (Pvt) Ltd Leopold Takawira Street, Harare Bard Santner Finance (Pvt) Ltd No. 3 Renfrew Road, Eastlea, Harare Harare Bayce Microfinance (Private) Limited 276 Hebert Chitepo Harare wo. Office 308 Gelfand House, Cnr Benefacto Investments (Pvt) Limited Speke & First Street. Harare BESTFIN FINANCE (PRIVATE) LIMITED ; > © Mahamba Business Centre, 28. | Bestloans (Private) Limited 73 Heyman Road Suburbs Bulawayo Bisquick Finance (Pvt) Ltd 25 Tweed Road, Eastlea. Harare 30 BLUE STREAMS FINANCE (PRIVATE) Office 13, Upper Ground Floor, ‘| LIMITED Joina Ci Boldfunds Financial Solutions (Private) Limited | 74 Selous Avenue. Harare . . 1st Floor, Takura House, Bridgevest Capital (Pvt) Ltd Kwame Nkrumah, Harare Office Number 4 33.) Butler Finance (Private) Limited Hwange Stock Feeds Centre, Hwange . 1972 Crowborough . . 8th Floor, Eastwing Capernaum Finance Zimbabwe (Pvt) Ltd 36. | Cashconnect Finance (Pvt) Ltd Mass Media House, 19 Selous Avenue, Harare Cashdelight Investments (Pvt) Ltd 1983 Arthur Stone Road,Harare 31 Glenara Avenue 38. | Cashit Finance (Private) Limited Eastlea Harare . . Lo. 66 Jason Moyo Cashmax Microfinance (Private) Limited Bothwell House, HARARE 94  <!-- page 101 --> No. NAME HEAD OFFICE ADDRESS Office Number 2, Stanley 40. | Cavmont Finance(Private) Limited Properties, 16 Leyland Road, New Ardbennie ,Harare Chiedza Capital (Private) Limited 90 The Chase, Emerald Hill ,Harare . . 5th Floor MIPF House, 5 Chikwama Finance (Pvt) Ltd Central Avenue, Harare 122 Samora Machel Avenue 43. | Chisquare Financial Services Belvedere Harare . . . Office 12, Jayaguru Mall, 275 Chronos Financial Services Herbert Chitepo Ave, Harare 5th Floor, 511 York House, 45. | Citicash Financial Services (Pvt) Ltd Corner 8th Avenue/Herbert Chitepo Street, Bulawayo Clickeasy Finance (Private) Limited 3 Hampden Street, Belvedere, Harare 47 Clientsure Financial Services (formerly Tinrue Room 12, 2nd Floor, MIPF ‘| Finance (Pvt) Limited Building. 7th Street. Gweru . .. ZB Life Towers, 15th Floor, 77 Club Plus (Private) Limited Jason Moyo Ave, Harare 49 Contipay Finance (Private) Limited formerly Shop 1A, Beverly Court, Cnr N. '| Hammer & Tongues Moneylenders Mandela/4th Street, Harare 1st Floor; Pearl House, West 50. | Convex Capital (Pvt) Ltd Wing, 61 Samora Machel Ave, Harare Corerise Finance (Private) Limited 112 Queen Chegutu . No. 2291 Arlington Way, Corex Capital (Pvt) Ltd Hatfield, Harare 53. |} Coverlink Finance (Pvt) Ltd Number 10 Cumberland Road, Eastlea, Harare Cozy Corner Investments (Private) Limited 70 Queen Street, Chegutu Credaid Investments (Private) Limited 1618 Gaza O, Chipinge Credfin (Pvt) Ltd 12 Silwood Close, Chisipite, Harare Crediconnect (Pvt) Ltd 4 Arden Road, Newlands, Harare Stand No 411/2, Office No. 3 58. | Credit Plus Loans (Pvt) Ltd New Market Centre, R. Mugabe St, Masvingo Number | William Gale 59. | Creditlink Financial Services (Pvt) Ltd Marlborough HARARE 95  <!-- page 102 --> No. NAME HEAD OFFICE ADDRESS . 496 Goodwin —60.| Cresendo Capital (Pvt) Ltd Close, Willowvale, Harare 1 Bodle Road 61. | Crossroad Financial Services (Private) Limited Eastlea Harare Eastwing M Floor, Club 62.) Crown Wealth Investments Chambers, Corner 3rd & Nelson Mandela Avenue; Harare Cushion Me (Pvt) Ltd 16 Walterhill Avenue. Eastlea Office 109 Masiye Suites, 64. | Darnster Finance (Pvt) Ltd Prince Court, 9th Avenue/ Fort Street, Bulawayo 9 Fundai House, 70 Simon 66, Daventry Microhub (Private) Limited 11 Daventry Road, Eastlea, Harare Delta Financial Services (Pvt) Ltd 103 Concorde, Marondera . . . 15 Downie Avenue, Belgravia, 68, Dendere Microfinance (Private) Limited HARARE . . . Zimpost Building, Tongogara 9. Denvallene Financial Services (Pvt) Ltd Street/Hughes Ave, Masvingo Zimbabwe Teachers 70. | Destiny Driven Finance (Private) Limited Association, 767 Chenerai Hunzvi Street , Bindura Disma Microfinance (Pvt) Ltd 14230 Madokero Park, Tynward Suite 29, Mezzanine Floor, Lo. . . . Chiedza House, Kwame 72. | Divida Capital (Private) Limited Nkurumah Avenue Harare . . . 12TH Floor, Southwing, Dlanox Finance (Private) Limited Causeway Building, Harare Donhodzo Finance (Private) Limited 187 Baines Avenue Harare Dotpark Enterprises (Private) Limited NO. 38 Tongogara Street, Rusape Olwen Crocker House, 157 76. | Doves Financial Services (Pvt) Ltd Harare Street. P.O. Box 504. Harare Duiker Finance (Private) Limited 14780 Galloway Park, Norton 96  <!-- page 103 --> No. NAME HEAD OFFICE ADDRESS EARLBAT INVESTMENTS (PRIVATE) Room 12, Piermont Flat 78. 141 Josiah Chinamano Avenue LIMITED Harare 79. | Edenswiftcash (Pvt) Ltd 50 Palmer Road, —Miltron Park,Harare . . Shop 7, Ascot Shopping Centre, 80. Educate (Private) Limited Minerton Drive, Bulawayo Eduloan (Pvt) Ltd 16 Palmer Road, Milton Park, Harare . . _ 48 Chipindura Park Eland Finance (Private) Limited BINDURA Elavate Financial Services (Pvt) Ltd 12 Harare Drive, Borrowdale, Harare Emporium Capital (Private) Limited (formerly 184 Mutare Road, Masasa, 84. | known as Tsapo Financial Ventures (Private) . Harare Limited Encore Greenlend Capital (Private) Limited Block 08 Kawaza Street, Rugare, Harare . . Opportunity House, 19 Harare 86, Equality Microfinance (Pvt) Ltd Street, Harare 118 Churchill Avenue, Gunhill, 87. | Equifirst Investment (Pvt) Ltd Harare HARARE Office M Floor, Security Trust . wo. House, Corner Second Street/ 88. | Ergoflex Investments (Private) Limited Kwame Nkrumah Avenue, Harare Eshandini Financial Services ( Formely known oe eae vee. Third as -PremierCredit Zimbabwe P/L) 8 ° Harare 4th Floor, 3 Anchor House Eziza Holdings (Pvt) Ltd Jason Moyo Avenue Harare 91. | Femmes De Dieu 99 Bishop’s Mount Close, Greendale. Harare Festive Wealth Investments 10 Hampshire Road, Eastlea, Harare 93. | Fidelity Life Financial Services (Pvt) Ltd 4th Floor, Fidelity House, 66 Julius Nyerere, Harare . . The Club House, Suite 3 Stand Finfuture Capital nymber 3051, Bluffill Beverly Court, 3rd Floor, 95. | Finver Finance Private Limited Corner 4th Street and Nelson Mandela Avenue Harare . . Insurance Centre, 30 Samora 96, First Mutual Microfinance Machel Avenue, Harare 97  <!-- page 104 --> PAY OD HEAD OFFICE ADDRESS Office 9 Suite 4Centrening, 97.) Flexifund Financial Services Number 1, Union Avenue, Harare Office No. 2a. 3rd Floor, Ramjis . . . . Complex Flexipay Credit (Private) Limited Cnr. Robert Mugabe & 11th Avenue, Bulawayo, 12th floor, Southwing, . Causeway Building ,Third Flyspeck Investments (Pvt) Limited Avenue & Central Avenue, Harare FMC Finance (Private) Limited 22 Fereday Drive, Eastlea, Harare 51 Samora Machel Avenue 7th Floor, 101) Fortmus Financial Services (Pvt) Ltd Throgmorton House Harare Masvingo. PD35, Ist Floor, Main Post 103) Fundhouse Finances (Pvt) Ltd Office, CAIF Building, R. Mugabe/7th Street , Gweru 5th Floor, St Babra House, Cnr 104) Fundvibe Finance N. Mandela/L. Takawira, Harare Fungioliv Investments (Pvt) Ltd 146 Nelson Mandela Ave. Harare . . . R404 Century Mall, 36 Nelson Gargan Financial Services (Pvt) Ltd Mandel, Harare 6 Livingstone Avenue Jubilee 107} Gavaz Finance(Private) Limited Centre Second Floor West Wing Harare . . First Floor, Union Buildings. 64 Gealcs Private Limited Robert Mugabe. Harare . 115 Rotten Row Street,JLC Gemuvo Captital (Pvt) Ltd Building, Harare . . . 149 Northway Drive, Generational Impact Finance (Pvt) Limited Waterfalls, Harare 111 GERSHOM FINANCIAL SERVICES 1 Meredith Drive, Eastlea, (PRIVATE) LIMITED Harare . 227 Sharp Street,101 Ghettomoola Microfinance (Pvt) Ltd Bougainvillea Way,Karoi Unit No: 2, East Wing . . 1st Floor, 113} Goal Getters (Private) Limited 6491A Clyde Road Eastlea, Harare 98  <!-- page 105 --> No. NAME HEAD OFFICE ADDRESS . . . . . 4 Uplands Close Goho Financial Services(Private) Limited Highlands Harare Goldbourne Finance (Pvt) Ltd Office No. 8, Sunrise Building, Masvingo . . Ath Floor, Runhare House, 107 Golden E-Connect Investments (Private) Limited Kwame Nkrumah Ave, Harare Golden Knot Microfinance ( formerly Golden My Knot Financial Services (Private) Limited) 104 Samora Avenue, Harare Kopje Post Office, Ivan Golden Plate Investments (Pvt) Ltd Goldenbag Finance 59A Piers Road, Borrowdale, Harare 120} Gourmet Capital Finance (Private) Limited office at 17 Mbuya Nehanda Dombwe Musengezi 168 Samora Machel Avenue 121} GPC Financial Services West, Belvedere Grange Capital (Private) Limited 2 Salhouse Avenue The Grange Harare 19 J. Tongogara Avenue/ Green Masters Investments (Pvt) Ltd Blakiston Street, Harare Groveston Investments (Pvt) Ltd 30A Trinity road Greendale Harare Suite 910, 9th Floor Barbra 125) Hammatic Finance (Private) Limited House, Corner L. Takawira and Nelson Mandela, Harare 126} Havilah Stream Finance (Pvt) Limited 260 Commercial Street, Chinhoyi . . No. 6 Rekayi Tangwena Hilnest Financial Services 14182 Gunhill Avenue, Gunhill, Harare 129} Hilsol Financial Services (Private) Limited 14 Kingfisher Close, Greystone Park, Borrowdale, Harare, Hirtam Finance (Private) Limited 30 George Way, Hogerty Hill Harare . . 72 —74 Samora Machel Ave, Homelink Finance (Pvt) Ltd Hardwicke House, Harare 132) Hopecredit Investments ( Private) Limited 53, 19th Crescent Warren Park 1, Harare 83 Hinderhead Road 133) Hupfumi Capital Private Limited Chisipite Harare Hybrid Capital (Private) Limited 41 Irvine Close, Marlborough, Harare . . .. 48 Van Praagh avenue, Milton HyperCapital Investments (Private) Limited 99  <!-- page 106 --> No. NAME HEAD OFFICE ADDRESS Ibex Finance (Private) Limited 6th Floor Eastgate Mall, Harare Suite 504, Stand 844A Robinson House, 137| Icon Wealth Ventures (Private) Limited Corner Angwa Street/ Kwame Nkrumah Avenue Harare 74 Rhodesville Road 138) Imanzi Global Finance (Private) Limited Greendale, Harare Impact Financial Services (Pvt) Ltd Shop 17 ,Highglen Shopping Centre, Harare 140} Inclusive Financial Services (Pvt) Ltd 31 Heyman Road, Suburbs, Bulawayo . . . . Century Towers, 45 Samora Indigo Microfinance (Private) Limited Machel Avenue, Harare Ath Floor, Kopje Plaza Building. 142) Intercrest Capital (Pvt) Ltd Cnr Rotten Row/ Nelson Mandela, Harare . . 33A Hebert Chitepo Street,Btn 143) Interprice Microfinance (Pvt) Ltd Ist and 2nd Avenue. Bulawavo Izzat Financial Services Private Limited 76 Main Street Gweru . . Lo. Unit 5, Batisa House, 6 Jacaranda Capital (Private) Limited Mcchlery Ave, Eastlea Jakana Africa Microfinance (Pvt) Ltd 275 Herbert Chitepo Street, Harare 147| Jayjovial Financial Services (Private) Limited 242 Gusha Township, Chitungwiza Suite 2, 8th Floor South Wing, 148) JHM Investments (Private) Limited (Pvt) Ltd Pax House, 89 Kwame Nkrumah Ave, Harare Joseph Roberts Capital (Private) Limited 15 Tweed Road Eastlea, Harare Junior Marima (Pvt) Ltd 63 Hofmeyer Street, Masvingo Suite 25, 2nd Floor, New Africa 151} KamllIsh Investments (Pvt) Ltd House, 40 Kwame Nkrumah Ave, Harare KCI Management Consultants (Pvt) Ltd 94 McChery Avenue, Eastlea, Harare 22 George Silundika Avenue, 153) Kleinfin (Private) Limited Suite 202, Silundika House. Harare 154; Kreamon Investments (Pvt) Ltd 320 Samora Machel Avenue, Eastlea, Harare. 100  <!-- page 107 --> No. NAME HEAD OFFICE ADDRESS tte . . No.1 Jason Moyo Avenue, Kredibility Finance (Private) Limited Kopie Plaza. Harare Kuntem Traders (Private) Limited 11 Oakney Road. Eastlea. Harare Office Number 501, 5th Floor, 157} Kwikbucks MC Finance (Private) Limited Karigamombe Centre, Samora Machael, . . .. Office 12, Murandy Square Kyzen Solutions (Private) Limited East, Newlands, Harare LA Financial Services 19 The Chase, Emerald Hill, Harare Lakeem Finance (Private) Limited 8 Robert Mugabe Road, Harare 161] LAS Financial Services (Private) Limited Unit 3, Stand 157 Citroen Road Msasa Harare Lathbone Enterprises 19 Breach Road, Borrowdale, Harare 163) Legsure Investments (Private) Limited 189 Arcturus Road, Kamfinsa, Greendale, Harare, 164} Lekka Microfinance (Pvt) Ltd No. 15 Herbert Chitepo Avenue, Belvedere, Harare . . 31A Groombridge Road, Mt. Lemontree Technology(Private) Limited Pleasant, Harare, Zimbabwe ' 5th Floor, BlueBridge, South Lender's Bag Wing, EASTGATE, Harare 14th Floor, Social Security Centre 167) Lenderspark Financial Services Private Limited | Corner Sam Nujoma/Julius Nyerere Way Harare waa . . . Office 48 Kenneth Kaunda Lighting Fintech (Private) Limited Avenue, Suite 111, Harare . . . Lo. First Floor, Pearl House. Lincoln Capital (Private) Limited Samora Machel Avenue. Harare 170} Lishthan Investments (Private) Limited Stand Number 2974, Upfront Road, Ruwa Livai-M Financial Services | Wingate Road, Highlands, Harare 172| LNDR Zimbabwe (Private) Limited 60 Coronation Avenue, Greendale, Harare . Number 78 Suffolk Loanvault Microfin (Pvt) Ltd Road,Avondale West, Harare 174| Lomabil (Private) Limited No. 4, Londonderry Avenue, Eastlea, Harare 101  <!-- page 108 --> No. NAME HEAD OFFICE ADDRESS Lupane State University Faculty 175} Lupfin Financial Services (Private) Limited of Agriculture P.O Box 170 Lupane 1st Floor, Construction House, 176) Lyno Finance (Pvt) Ltd 108-110 Leopold Takawira Street. Harare Marula Capital (Private) Investments 3 Njiri Road, Msasa Park, Harare Maxbark Investments 136 Robertson Street, Masvingo . . . 9th Floor, Pearl House 179 Maven Capital (formerly Fincent Finance) (Pvt) 61 Samora Machel Avenue Harare 180} Mazvimbakupa Financial Services (Pvt) Ltd 650A, Wayne Road ,Greencroft,Harare Shop No.8, Ground Floor, ZB 181) Merit Financial Services (Pvt) Ltd House, Cnr First St/Speke Ave, Harare Michael Mudhausheni Caroline Investments 150 B Samora Michael Avenue 182 . — Private) Limited Harare 54 Longford Road, Queensdale. . . . . Harare being moved to 1 183} Micro- Suisse (Private) Limited Pumulani Complex, Sudan Street, Gwanda. MicroCapital Finance (Private) Limited I Princes Avenue, Newlands, Harare 185) Microdawn Financial Services (Pvt) Ltd Office 305, 3rd Floor, St Barbara House, Harare 186 MICROGRAM FINANCIAL SERVICES No: 401, 4 Floor, Norah Court, (PRIVATE) LIMITED 3rd Street, Harare Microhub Financial Services (Pvt) Ltd 203 Josiah Chinamano Avenue, Harare 188} Microloan Foundation (Pvt) Ltd 13th Floor, CABS Centre, 74 Jason Moyo Avenue, Harare 189 Microplan Financial Services (Pvt) Ltd (formerly | 4th Floor, FBC House, 113 Muirkirk Leopold Takawira St, Harare 190) Microventure Africa (Pvt) Ltd 104 Nigel Phillips Avenue, Eastlea, Harare Microwise Finance (Private) Limited 12709 Tynwald North, Harare Millennial Capital (Private) Limited Number 2251, Chimbira Street, Ruwa. Suite No. 33 & 34 lst Floor 193} Million Dollar Financial Services G T Bain Centre Building, King George Harare 102  <!-- page 109 --> No. NAME HEAD OFFICE ADDRESS Mirtenwall Investments (Private) Limited Shop No. 8, Belmont Chambers, Masvingo Missapi Finance (Private) Limited 38 Pine Street, Marondera Shop 9, Sunrise Mall, 68 196| Mitach Financial Solutions (Private) Limited Hughes Street, Masvingo, Zimbabwe 197| Mitchart Financial Services (Pvt) Limited Office 4, Agribank Complex, Mupandawana. Gutu. Masvingo 601 Fidelity Life Centre, Cnr 198} MoB Capital (Pvt) Ltd Fife Street/ 11th Avenue, Bulawayo 12th Floor Causeway Building , 199) Moen Home Loans (Pvt) Ltd third street and Central Ave Harare Suite 2, Kathrine House, Cnr. 200} Monarch Financial Services (Private) Limited Nelson Mandela & Fourth Street, Harare Harare 201} Money Direct Financial Services (Pvt) Ltd No 9 Belfast Road, Emarald Hill, Harare . 86 Selous Avenue, Local 203] Mountfin Finance (Pvt) Ltd 46a Central Avenue, Corner 5th Avenue. Harare . . Suite 306, 3rd Floor, Africa 204 MSF Microfinance Company of Zimbabwe (Pvt) House, Cnr Fife Street / 10th Ltd Avenue, Bulawayo Mula Microfinance 12 Stewart Road, Borrowdale. Harare Mundloku Finance (Pvt) Ltd 97 Hellet Street, Masvingo 105 Harare Drive 207| Mygreenfund Financial Services Private Limited | Marlborough Harare, Zimbabwe 208] Nakhalat Finance (Private) Limited number 56 Edmund Road, Belvedere, Harare. . . 40 Samora Machel Avenue. St Nash Micro Capital (Pvt) Ltd Andrews House. Harare Nelhurst Trading (Pvt) Ltd 1 Gloucester Close, Eastlea, Harare New Horizon Financial Services (Pvt) Ltd 21 Northampton Road, Eastlea. Harare 103  <!-- page 110 --> No. NAME HEAD OFFICE ADDRESS Newlands Financial Services (Pvt) Ltd 203 Josiah Chinamano Avenue, Harare Suite 3 &4 Peppermint Place, 213] Nissi Global Limited Cnr 11th Avenue & George Silundika , Bulawayo . . . .. 4th Floor, Construction House, Njere Microfinance (Private) Limited Leopold Takawira, Harare Office 2, Social Security Centre 15 Northholt Capital (Private) Limited (previously | Corner Julius Nyerere/Sam Akili Capital Private Limited) Nujoma Avenue HARARE Office Number | Eastwing, 2nd 216| Nova Superb Finance Floor, Engineering House. 88 Rezende Street. Harare Nzirachena Financial Services (Private Shop 5, ZB House, Stand 522A, Harare First Floor, North Wing, . Throgmorton House, Cnr J. 218} Oakfin Finance (Pvt) Ltd Nyerere Way/ S. Machel Ave,Harare Old Mutual Finance 100 The Chase, Emarald Hill, Harare . . . 6th ST George Street, Olympus Capital (Private) Limited Ardibennie, Harare Omama Microfinance (Pvt) Ltd 6 Mcglew Road,Mt Pleasant ,Harare 222| Onchain Finance (Private) Limited 182 Lower Rangemore, Umguza, Bulawayo One Four Nine Financial Services 26 Bath Road, Belgravia, Harare Floor 5, Club Chambers 224| Panamax Capital (Pvt) Ltd Building , 3rd Street Cnr N Mandela, Harare . . . 9 Drummond Chaplin Road, Payhouse Finance (Private) Limited Milton Park, Harare Suite 14, 2nd Floor, Pockets Building 226| PETEFIN (PRIVATE) LIMITED J. Moyo/ Angwa Street Harare 227] Pillhurb Bucks (Private) Limited > Lawson Avenue, Milton Park , Harare, Zimbabwe . . . . Ground Floor, Old Mutual 228 Prime Bridge F inance (formerly known as First Centre: Cnr, G. Silundika & 3rd Money Financial Services) j Street; Harare Pivot Financial Services 7230 Zimre Park, Ruwa 104  <!-- page 111 --> PAY OD HEAD OFFICE ADDRESS Plan for sixty microfinance Private Limited 40 Somerset Road, Eastlea, Harare 23] Platinum Microfinance (formerlyFrontpage 7 Dungarvan Close, Finance) (Pvt) Limited Borrowdale. Harare . . . Number 3268, Nyamhunga Plosive (Private) Limited Township, Kariba. Flat No. 2 Richwell Gardens, 9 233} Plus Cash Microfinance (Pvt) Ltd Richwell Avenue, Meyrick Park, Harare Suite 13, Zimnat Building, 10th 234| Portify Investments (Pvt) Ltd Avenue/Jason Moyo Street, Bulawayo Premier Credit Lite (Private) Limited (name Office No. 6, % Ireland Road, 235| correction from Premium Credit Lite (Private) . . Zvishavane Limited, 2™ Floor, PSMAS House, 47 236| Premier Service Microfinance George Silundika Avenue. Harare Proactive Finance & Supplies (Private) Limited bates Road, Avondale, Office 14, Mezzanine Floor, . . . . . Chiedza House 238| Probfix Financial Services (Private) Limited Corner Kwame & First Street Harare Prosperity Link (Pvt) Ltd Eastview Phase 9,Harare Prudential Incorporated (Pvt) Ltd 16 Orkney Road, Eastlea. Harare PTRSERVE Investments (Private) Limited ween Drive, Hillside, 44 - 50 Hughes Street, Masvingo 242| QATC Capital (Private) Limited Main Post Office, Room F9 & F10, Masvingo Offices . . . 422 - 4th Floor, Insurance 243} Quadfin Financial Services (Pvt) Ltd Centre, 30 Samora Machel Avenue,Harare Qube Financial (Pvt) Ltd 67 Selous Avenue Harare Ist Floor Social Security 245| Quest Financial Services (Pvt) Ltd Centre, Sam Nujoma/Julius Nyerere Way, Harare 7 Floor, Finsure House, Cnr 246} Quick Access Kwame Nkrumah & Sam Nujoma. Harare . . ae Office 311 Anlaby Building ,35 Quickcred Finance (Pvt) Limited Nelson Mandela Avenue, Harare 105  <!-- page 112 --> No. NAME HEAD OFFICE ADDRESS io 24A Tynwald Shanganayi, 248} Quid Finance (Pvt) Ltd Tynawald North, Harare . . . L, Street 119, Second Street Quozite Enterprises (Private) Limited Showground, Harare ZB Chambers. 2nd Floor, Stand 250} QUPA Microfinnce Limited 506 A, Corner George Silundika and First Street. Harare 8th Floor, Beverly Court. Cnr 251| Rainbow Finance (Pvt) Ltd 4th / Nelson Mandela Street. Harare Rallycom Financial Services 146 Herbert Chitepo Street Masvingo Raysun Capital 87 Kwame Nkhrumah Ave, Harare 3rd Floor, Insurance Centre, 254| Realty Microfinance (Pvt) Ltd Corner Samora Machel & Parklane, Harare . Office 14, 1st Floor Fairview 255 Recraft Solutions . Mall, 167 Chinhoyi Street, Finance (Private) Limited Harare . .. 81 Robert Mugabe Ave; Cnr Richtech Financial Services (Pvt) Ltd 45541 Chiremba Road, Eastlea, Harare . . . .. 8 Caithness Road, Third Floor, First Mutual 259| Rise Capital (Pvt) Ltd Building Gweru Rockfund Microfinance (Private) Limite 102 Churchill Ave, Gunhill, Harare Office Number 5, James Court, 261} ROI Finmark Finance (Private) Limited Herbert Chitepo & 9th Avenue, Bulawayo Office No. 2; ZIMPOST, 35 262| Roots Microfinance (Private) Limited Robert Mugabe Road, Masvingo Royal Credit fund (Private) Limited No. 1056 Handworthy drive, Mvurwi 41/42 Cnr Aerodrome & 2nd 264| Royal Magi Investments (Pvt) Limited Street, Gestner Building. Mutare . . . 5A Turnham Close Newlands Rulethu Microfinance (Private) Limited HARARE 106  <!-- page 113 --> No. NAME HEAD OFFICE ADDRESS 266| Safe Cash Investments (Pvt) Ltd No 62 Dawn House ,7th Street,Gweru . . .. 6 Wellington Drive Sanzhong Finance (Private) Limited Belvedere, Harare . . . . 6th Floor, CABS Centre, 268 Sean Preston Financial Services (Private) Cnr. Jason Moyo Ave & 2nd Limited Street, Harare Sedgemerge Investments 12 Hellet Street. Masvingo . . _. Number 17432 Chiremba Road Shakvest Enterprises (Private) Limited Hillside,Harare , Zimbabwe 271| Shamwari Yakanaka Capital (Private) Limited 38 Harvey Brown Ave, Milton Park, Harare 119 Nkwame Nkrumah 272| Share Wealth (Private) Limited Ave,Master House, Suite3 Harare Sheltersol Finance (Pvt) Ltd 138 Williams Way, Msasa. Harare Sheryani Investments 333 Samora Machel, Eastlea, Harare . . . . 2nd Floor, UCPF Building, 162 Shons Finance Services Private Limited Harare Street, HARARE Simplecash Finance 443 Goodhope, Malborough, Harare 277| Sirosang Investments (Pvt) Ltd 40 Moorgate Road, Mount Pleasant, Harare Skwama Microfinance (Pvt) Ltd 6 Rainham Road, Willowvale, Harare . . Number | Goshawk Avenue, Smart Money (Private) Limited Vainona, Harare, Zimbabwe Snalvel Universal Enterprises 117 Chinhoyi Street. Harare Snap Cash Finance (Private) 3 Wimbledon Drive, Eastlea, 281) 7... Limited Harare 282| Soledd Financial Services (Pvt) Ltd Suite >, Baddow Court, 45 Livingstone Avenue , Harare Solid Capital Investments Zimbabwe (Private) Shiloh Building, 91 Livingstone 283 Limited Avenue Corner 8th Street, Harare Solten Financial Services (Private) Limited 92 Drew Road, Chisipite, Harare Speed Bucks (Pvt) Ltd 8 Craster Road, Southerton , Harare 107  <!-- page 114 --> No. NAME HEAD OFFICE ADDRESS No.113, 1‘ Floor, Unifreight 286| Sport-Talk Investments (Pvt) Ltd House, L.Takawira Avenue/Fife Street , Bulawayo Stone Microfinance (Pvt) Ltd 11 Angus Road,Eastlea, Harare 11 Treger House, 2nd Floor, 288] Stratfin Services (Pvt) Ltd Jason Moyo Street/12 Avenue, Bulawayo Suite 804, 8th Floor,Saint 289| Success Assured Financial Services Barbara House. 115 Nelson Mandela Avenue. Harare 290| Sumofund Investiments (Private) Limited 1638 Mainway Meadows, Waterfalls . . Stand Number 32405, Sumsha (Private) Limited Mabvazuva Estate, Ruwa 18 Aurther Davis Road 292) Sunrise Finance Craneborne HARARE 293 SWIFT CHOICE FINANCE (PRIVATE) 124 Llyton Road, Workington, LIMITED Harare . . . Nyanga Street, Suite 6, Symdunes Financial Services (Pvt) Ltd Kennedy Court, Rusape Synafin Financial Services (Pvt) Ltd 738 Peshore Rise, Mt Pleasant, Harare 8 Montague Court, Corner Fifth 296| Taht Investments (Private) Limited Street & Josiah Chinamano Harare, Zimbabwe Talk and Pay Microfinance (formerly Lendspree | 363 Harare Drive, Pomona, 297| _. . . Financial Services ) Harare 40 Mount Pleasant Drive, 298| Tamai Microfinance (Private) Limited Mount Pleasant Harare First Floor Block D Smatsatsi 299| Tandi Imali Microfinance (Private) Limited ,Business Park Borrowdale, Harare . 2nd Floor, Dolphin House, 123 Taroth Investments (Pvt) Limited Leopold Takawira, Harare 55 Kelvin Road, North 301) Tatu Capital (Pvt) Ltd Graniteside Harare Cnr R Mugabe / Inez Terrace, 302) Tazmac (Pvt) Ltd Asia House, Ist Floor, Suite 4, Harare 30001 Dagenham Road, TEFCO (Pvt) Ltd Willowvale, Harare 108  <!-- page 115 --> No. NAME HEAD OFFICE ADDRESS Office 29 Mezzanine Flooe, . . Chiedza House, Conr Ist and 304| Tendeka Business Finance (Pvt) Ltd Kwame Nkrumah Avenue, Harare Tengwi Financial Services (Pvt) Ltd 9511 Southview park Harare . . Shop Number 7 Karigamombe Theocash Capital (formerly Levitheo 59 R.G Mugabe Way. Masvingo Investments . . Shop 26, High Glen Shopping 308} Thrive Microfinance (Pvt) Ltd Centre: High Glen: Harare Tora Capital (Private) Limited, 53 Central Avenue Harare 310} Total Microfinance (Pvt) Ltd 20 Weale Road,Milton Park,Harare Tottengram Investments (Pvt) Ltd 5 Thurso Close, Eastlea, Harare Trebox Finance (Pvt) Ltd 715 York House, 8th Avenue. Bulawayo Office 12, Old Mutual Building, 313) Trend Mikro Holdings Finance (Private) Limited | 37 Robert Mugabe Way, Masvingo Office no.4, M&A Building J.N. 314) Tretma Investments (Pvt) Ltd Nkomo Street/12th Avenue, Bulawayo Shop 5 Ground Floor Eastgate Shopping Centre 315) Twenties Capital (Private) Limited Cnr. R.Mugabe Way / Sam Nunjoma Street Harare 316 Twenty-Four Hour Future Investments (Private) | Office 1, 7th Floor Limited Kopje Plaza Building Harare ay: . . . . . 38 Roseland Railway Avenue, Twilight Financial Services (Private) Limited Room 16, Mutare . . . . No. 1, Robert Mugabe Way, Two strings Financial Services (Pvt) Ltd Valley Graders, Bindura Tzur Finance (Private) Limited 3 Glen Road, Glen Lorne, Harare 2nd Floor, Block 5, Do: Celestial Park 320} Umtanashi Finance Pvt Ltd Borrowdale Road Harare Untu Capital (Pvt) Ltd No.3 Drury Lane, Strathaven, Harare 109  <!-- page 116 --> No. NAME HEAD OFFICE ADDRESS . 109 Chinhoyi Street, Ist Floor Valley Finance (Pvt) Ltd Vassan Building, Harare . . . . _ Shop 64 Longchen Plaza, Village Capital Finance (Private) Limited Belvedere. Harare Virl Rural & Social Financial Services (Pvt) Ltd 67 Kwame Nkrumah Avenue, 324 La . . 3rd Floor, Takura House, t/a Virl Financial Services Harare . . . Shop 6, Parklane Building, 79 Virttin (Private) Limited Julius Nyerere Street, Harare Virtuous Finance (Pvt) Ltd 14 Longcheng Plaza, Belvedere. Harare 9th Floor, 327) Vision Plus Wealth (Private) Limited Michael House 62 Nelson Mandela Ave; Harare 328] Visualia Microfinance (Private) Limited 561 Mahusekwa Growth Point, Chihota Chiyedza House; 68 Kwame 329} Vong Capital (Pvt) Ltd Nkrumah Avenue; Office 3; M Floor; Harare Stand No 381 StortFord Parade, 330| Wajima Finance (Private) Limited Building Shop No 3, Mabelreign, Harare . . . . 2 Prince William Drive, Walletbright Capital Private Limited Waterfalls HARARE 332) Wanamari (Private) Limited 31 Macgowin Road, Milton Park,Harare 333) Wealthhub Capital (Private) Limited No. 5 Victor D'Arcy Close, Borrowdale, Harare . . . . First Mutual Building, Corner Wildfin Financial Services (Pvt) Ltd Samora and First Street, Harare th : WILLBEY SOLUTIONS (PRIVATE) 7 Floor, Angwa City, Car, J 335 Nyerere Way & K Nkrumah LIMITED Ave, Harare 302, 3rd Floor, LADF House , 336) Wintron Financial Services (Pvt) Ltd 8th Avenue/ Jason Moyo, Bulawayo Suite 106, First Floor, 30 337| Wisrod Investments (Pvt) Ltd Samora Machel Avenue, Nicoz Diamond Building, Harare . 20 Mayo Place, Off Norwich Xtenda Finance (Pvt) Ltd 2 Downie Avenue, Belgravia. Harare Yala (Private) Limited 91 Livingstone Avenue, Harare 110  <!-- page 117 --> No. NAME HEAD OFFICE ADDRESS 5th Floor, Chiyedza House, Cnr 341} Yambukai Finance (Pvt) Ltd First Street/Kwame Nkrumah Ave, Harare Yamurai Ncedani Micro Finance (Private) 100 Airport Road, Hatfield, Harare . . . . _ 15 George Silundika Avenue, Yanaya Financial Services (Private) Limited ZB Chamber 3rd Floor, Harare Yebo Financial Solutions (Private) Limited 114 Herbert Chitepo, Harare 1st Floor, Saunder House Corner Jason Moyo Avenue & 345) Yes Financial Group (Pvt) Limited First Street Harare 346) Yonder-Rift Enterprises (Pvt.) Ltd 49 Mashonganyika Road, Kadoma . . . j Youlend Financial Services (Pvt) Ltd 2081 Katanga Township, Norton . . Stanley House, Corner Ist Youth Economic Capital (Pvt) Ltd Street & Jason Moyo, Harare . . . Number 527 Syringa/Euphobia 349) Yvyol Microfinance (Private) Limited Road, Chiredzi 350) Zambuko Trust No. 6 Aberdeen Road, Belgravia, Harare Zibuko Capital (Pvt) Ltd 47 Kwame Nkurumah Avenue, Harare 352} Zimbabwe Microfinance Fund (Private) Limited 74 Rhodeville Avenue. Greendale. Harare . . . . Zimnat House, Cnr 3rd/Nelson Zimnat Financial Services (Pvt) Ltd Mandela Street, Harare Zimvantage Partners (Pvt) Ltd 25 Shorthead Road, Chisipite, Harare Zinmad Capital (Pvt) Ltd No. 1114 Bluffhill, Harare 111