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ZIMBABWEANS living abroad almost doubled the amount of money they sent home this year, bolstering the economy, Central Bank Governor John Mangudya said.

Remittances jumped to $411.1 million in the first four months of the year, compared with $221.9 million a year earlier, Mangudya said by phone Wednesday from the capital, Harare. The inflows are Zimbabwe’s second-biggest source of foreign-exchange earnings, after revenue from platinum exports.

“The economy continues to rebound due to the stability of the currency and inflation on account of the good agricultural out-turn and the positive impact of the diaspora remittances,” Mangudya said.

Economic reforms implemented by Finance Minister Mthuli Ncube and the central bank over the past three years have helped rein in annual inflation to 162%, from a peak of 837.5% in July.

The depreciation of Zimbabwe’s dollar has also slowed, with the currency weakening 3.9% against the U.S. currency this year, compared with a 79% slump last year, according to data compiled by Bloomberg.

Remittances last year totaled $1 billion, compared with $635.7 million in 2019. The inflows were second only to platinum exports, which generated $1.77 billion, according to central bank data. 

-Bloomberg