Finance Minister Professor Mthuli Ncube has claimed that the majority of Zimbabweans have entered the upper-middle-income bracket, even as most citizens continue to grapple with low wages and rising living costs.

The World Bank classifies an upper middle-income economy as one with a Gross National Income (GNI) per capita between US$4,046 and US$12,535. In an ideal setting, this level of income would reflect improved living standards for ordinary citizens through equitable distribution of national wealth.

Addressing delegates at the 2026 Pre-Budget Seminar in Bulawayo on Wednesday, Ncube painted a rosy picture of Zimbabwe's economy, adding that most citizens are already spending above the daily threshold associated with middle-income economies.

"So, the minimum GNI per capita should be US$4,500 per person, and this is an annual figure. That means that you ought to be able to spend on any given day no less than US$12 per person. Currently, on average, with the GNI per capita of US$3,300, that implies that we are spending US$9 per day," Ncube said.

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He attributed the "progress" to the successful implementation of the National Development Strategy 1 (NDS1), which he said drove the economy to an average growth rate of 5.6% between 2021 and 2025, surpassing the official target of 5.2%, buoyed by increased infrastructure development. Ncube added that the economy is forecast to expand by 6.6% this year.

His statement, however, contrasts sharply with the lived reality of many Zimbabweans. The majority of the working population continues to earn less than US$250 per month, while a significant portion of the labour force operates in the informal sector, struggling to meet daily needs amid rising inflation and a weakening local currency.