The Zimbabwe government has increased salary of its workers, a week after it hiked salaries of members of the defence forces and police by 22.5 per cent and 20 percent respectively with effect from July 1.

Zimbabwe’s Mnangagwa, minister of state for presidential affairs confirmed the 17.5-per cent salary hike in a statement.

The government also promised to meet other demands by the workers, including cash-in-lieu of leave for teachers.

Mumbengegwi stated that the salary raise was in fulfillment of an agreement it reached with the workers early this year.

Other benefits for the workers include alignment of rentals at institutional accommodation to housing allowances.

The Zimbabwean government also pledged to provide additional non-monetary benefits to further improve the conditions of service of the workers.

The salary hikes come amid limited fiscal space that has seen government spending more than 90 per cent of its revenue on wages.