This is in line with Finance and Economic Development Minister Professor Mthuli Ncube's forecast last year that
Commenting on the group's full-year results for the year to
The forecast growth tallies findings in the
The report says most northern areas in the country received good rainfall, which enhanced crop conditions and improved production prospects.
Crop conditions in the northern and traditionally surplus-producing areas during the season fared better owing to favourable rainfall up to the second half of the 2022/23 season.
This resulted in a three percent increase in the maize crop planted area to 1 962 575 hectares from 1 903 668 in the 2021/22 season.
Of the 1 962 575 hectares put under the maize crop, 49 percent was planted in
This presents the highest-ever maize planted area since the 2 096 034 hectares put under the maize crop in the 2010-2011 season.
According to the Famine Early Warning Systems Network (FEWSNET) the start of the 2023 harvests is expected to improve food security across
Framing inputs distribution, particularly basal fertilisers and seed, was also done on time compared to the prior season, which has enhanced prospects for a good harvest this year.
Similarly, other key sectors of the economy are expected to perform well on the back of effective policy interventions by the Government; these include gold production, especially in the small-scale mining sector, which presently accounts for more than half the national yellow metal output.
Mining is also expected to record a stellar performance driven by the lithium sector, where
Diaspora remittances are expected to continue on a growth trajectory. In the first quarter of 2023, the inflows reached
Diaspora remittances are contributing significantly to
"In the outlook, the domestic economy is projected to grow by 3, 8 percent in 2023, underpinned by growth in output from the mining, construction, agriculture, and accommodation (tourism) sectors.
"The envisaged growth is mainly premised on normal to above normal rainfall patterns and optimal distribution thereof, favourable international commodity prices, the continuance of tight monetary and fiscal policies to engender stability, as well as a continued slowdown in inflation, among other factors," said
Not to be left out in the trail of factors to influence the said economic growth is the construction sector.
Growth in the construction sector is currently reflected in the rising demand for building materials.
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