Indian Journal of Public Health Research & Development
  • Year: 2018
  • Volume: 9
  • Issue: 12

Stylised Facts on Drivers and Constraints in Zimbabwe's Manufacturing Sector Performance

1Department of Economics, Department of Public Management and Economics, Durban University of Technology, South Africa

2Department of Public Management and Economics, Bindura University of Science Education, Zimbabwe

Online published on 2 February, 2019.

Abstract

This study aim at identifying major constraints and drivers affecting performance in the manufacturing sector in Zimbabwe. Using comparative literature from the region, the study managed to explicitly show that despite dollarization of Zimbabwe's economy, the sector continues to show poor indicators of the manufacturing sector. Stylised facts of manufacturing sector share in GDP, volume of manufacturing index, manufacturing sector share in total productive sector value added and manufacturing sector employees and total earnings were poor in a post dollarized Zimbabwe. Low local demand, competition, fnance and infrastructure are major constraints in the manufacturing sector in Zimbabwe. Policy stability, zero corruption tolerance, FDI, reliable power and retooling can drive the manufacturing sector. In conclusion, the government should provide an enabling economic environment sustainable to salvage the struggling manufacturing sector in Zimbabwe.

Keywords

Manufacturing, performance, drivers, constraints, Zimbabwe's economy, local demand, capacity utilisation