Economy Guide in Zimbabwe

Very affordable costs (CPI: 34.7). Groceries (33.9) and restaurants (34.0) are also very affordable compared to New York City.

Property prices average 9.1 years of household income, indicating a moderate market. The rental market (Rent Index: 8.8) is very affordable.

A purchasing power index of 30.5 indicates low buying power compared to New York City.

Zimbabwe has a progressive income tax system with a top rate of 40% for 2024. Corporate tax is 25%, and the standard VAT rate is 15%. A 1% wealth tax on non-primary residential properties valued over US$250,000 was introduced in 2024.

The business environment faces significant challenges, including policy inconsistency, corruption, and a complex regulatory framework. Zimbabwe was ranked 172nd in the 2024 Index of Economic Freedom. Efforts are underway to improve ease of doing business through the Zimbabwe Investment Development Agency (ZIDA) and recent reforms to streamline licensing.

The public healthcare system in Zimbabwe is underfunded and lacks adequate resources, often necessitating out-of-pocket payments. Expats are strongly advised to secure private health insurance. Pension reforms, including the 2024 amendment to the Pension and Provident Funds Act, aim to strengthen protection for retirement savings.

Deposits are protected by the Deposit Protection Corporation (DPC) up to a maximum of US$1,000 per depositor per bank for both USD and Zimbabwe Gold (ZiG) equivalent deposits. While the banking sector demonstrated stability and adequate capitalization in 2024, this low coverage limit presents a significant risk to depositors.