In 2009, following a decade of economic decline and hyperinflation during 2007-08, economic policies in Zimbabwe improved significantly. The multi-currency system adopted in early 2009 helped restore price stability, restart financial intermediation, and impose fiscal discipline by precluding the option of budget deficit monetization. Budget revenue increased significantly, which helped finance improved delivery of public services, while the fiscal position was broadly balanced. Price and exchange system liberalization improved allocation of resources and availability of goods in the domestic markets. In response to better policies, short-term capital inflows and FDI increased in 2009. All these positive steps have supported a nascent economic recovery.