This paper discusses the simulation analysis of alternative public debt strategies for public debt issuance in Zimbabwe. The analysis is undertaken with a view to find a strategy that minimises the cost and risk of public debt under alternative scenarios of interest and exchange rate developments. The analysis is based on the premise that increases in debt service charges, due to risky allocation of public debt can substantially change public debt dynamics. The results show a trade-off between a debt strategy that largely depends on more external concessional borrowing and a debt strategy aimed at increasing the share of domestic debt in the public debt portfolio for market development purposes. [...]