Editing Economy of Zambia (section)

== History ==
=== Economic policies soon after independence (1964–1967) ===
[[File:GDP per capita development of Zambia.svg|thumb|GDP per capita development of Zambia, since 1950]]
The [[British South Africa Company]] (BSAC, originally set up by the British imperialist [[Cecil Rhodes]]) retained commercial assets and mineral rights that it acquired from a concession signed with the Litunga of Barotseland in 1892 (the [[Lochner Concession]]). Only by threatening to expropriate the BSAC, on the eve of independence, did the incoming Zambian government manage to get the BSAC to relinquish the mineral rights. The Federation's government assigned roles to each of the three territories: Southern Rhodesia was assigned the responsibility of providing managerial and administrative skills; Northern Rhodesia provided copper revenues; and Nyasaland provided the Black labour.

After independence, Zambia instituted a program of national development plans, under the direction of a National Commission for Development Planning: the Transitional Development Plan (1964–66) was followed by the First National Development Plan (1966–71). These two plans, which provided for major investment in infrastructure and manufacturing, were largely implemented and were generally successful. This was not true for subsequent plans.

=== The Mulungushi Economic Reforms (1968) ===

A major switch in the structure of Zambia's economy came with the Mulungushi Reforms of April 1968: the government declared its intention to acquire equity holdings (usually 51% or more) in a number of key foreign-owned firms, to be controlled by a parastatal conglomerate named the Industrial Development Corporation (INDECO).<ref>{{Cite book|last=Kaunda|first=Kenneth|title=Mulungushi reforms|publisher=Zambia Information Services|year=1970|location=University of Zambia Library}}</ref> By January 1970, Zambia had acquired majority holding in the Zambian operations of the two major foreign mining corporations, the [[Anglo American Corporation]] and the Rhodesia Selection Trust (RST); the two became the Nchanga Consolidated Copper Mines (NCCM) and Roan Consolidated Mines (RCM), respectively. The Zambian government then created a new parastatal body, the Mining Development Corporation (MINDECO). The Finance and Development Corporation (FINDECO) allowed the Zambian government to gain control of insurance companies and building societies. However, foreign-owned banks (such as Barclays, Standard Chartered and Grindlays) successfully resisted takeover. In 1971, INDECO, MINDECO, and FINDECO were brought together under an omnibus parastatal, the Zambia Industrial and Mining Corporation (ZIMCO), to create one of the largest companies in sub-Saharan Africa, with the country's president, [[Kenneth Kaunda]] as chairman of the board. The management contracts under which day-to-day operations of the mines had been carried out by Anglo American and RST were ended in 1973. In 1982 NCCM and RCM were merged into the giant [[Zambia Consolidated Copper Mines Ltd]] (ZCCM).

In 1973 a massive increase in the price of oil was followed by a slump in copper prices in 1975, resulting in a diminution of export earnings. In 1973 the price of copper accounted for 95% of all export earnings; this halved in value on the world market in 1975. By 1976 Zambia had a balance-of-payments crisis, and rapidly became massively indebted to the International Monetary Fund (IMF). The Third National Development Plan (1978–83) had to be abandoned as crisis management replaced long-term planning.

By the mid-1980s Zambia was one of the most indebted nations in the world, relative to its gross domestic product (GDP). The IMF was insisting that the Zambian government should introduce programs aimed at stabilizing the economy and restructuring it to reduce dependence on copper. The proposed measures included: the ending of price controls; devaluation of the kwacha (Zambia's currency); cut-backs in government expenditure; cancellation of subsidies on food and fertilizer; and increased prices for farm produce. Kaunda's removal of food subsidies caused massive increases in the prices of basic foodstuffs; the country's urbanized population rioted in protest. In desperation, Kaunda broke with the IMF in May 1987 and introduced a New Economic Recovery Programme in 1988. However, this did not help him and he eventually moved toward a new understanding with the IMF in 1989. In 1990 Kaunda was forced to make a major policy volteface: he announced the intention to partially privatize the parastatals. Time, however, was running out for him. Like many African independence leaders Kaunda tried to hang on to power but unlike many he called multiparty elections and lost them to the Movement for Multiparty Democracy (MMD) and abided by the results. Kaunda left office with the inauguration of MMD leader Frederick Chiluba as president on 2 November 1991.

=== Chiluba's economic reforms (1991–2000) ===

Zambia's Economic System of Government is Unitary because of that the [[Frederick Chiluba]] government (1991–2001), which came to power after democratic multi-[[political party|party]] elections in November 1991, was committed to extensive economic reform.<ref>{{Cite book|last=Chiluba|first=Frederick|title=Democracy: The challenge of change|publisher=Lusaka: Multimedia|year=1995|isbn=9982300539|location=University of Zambia Library}}</ref>{{page needed|date=July 2021}}

Zambia's  economic  transformation  into  a  free  market  system  began  toward  the  end  of  1991  following a change of government. To tackle a serious economic crisis, the government agreed to introduce substantial economic reforms to secure much-needed loans from the World Bank and IMF.<ref name="CR">{{cite web |date=19 May 2021 |title=Zambia Country Report 2020 |url=https://www.bti-project.org/content/en/downloads/reports/country_report_2020_ZMB.pdf |access-date=19 May 2021 |website=BTI Transformation Index}}</ref>

One of the greatest challenges was the privatization of the country's copper mines, Zambia's prime export earner. The government [[privatization|privatised]] many state industries, and maintained positive real [[interest rate]]s.  Exchange controls were eliminated and [[free market]] principles endorsed. It remains to be seen whether the [[Levy Mwanawasa|Mwanawasa]] government will follow a similar path of implementing [[economic reform]] and undertaking further privatization.  Zambia has yet to address issues such as reducing the size of the [[public sector]], which still represents 44% of total [[informal sector|formal employment]], and improving Zambia's [[social sector]] delivery systems.

After the government privatized the giant parastatal [[mining]] [[types of companies|company]] [[ZCCM Investments Holdings|Zambian Consolidated Copper Mines]] (ZCCM), donors resumed balance-of-payment support. The final transfer of ZCCM's assets occurred on March 31, 2000. Although balance-of-payment payments are not the answer to Zambia's long-term debt problems, it will in the short term provide the government some breathing room to implement further economic reforms. The government has, however, spent much of its [[Foreign exchange market|foreign exchange]] reserves to intervene in the [[exchange rate]] mechanism. To continue to do so, however, would jeopardize Zambia's debt relief. Zambia qualified for [[Heavily Indebted Poor Countries|HIPC]] debt relief in 2000, contingent upon the country meeting certain performance criteria, and this should offer a long-term solution to Zambia's debt situation.

=== 2001–2010 ===
On 2 January 2002, MMD's [[Levy Mwanawasa]] won the presidential election which many observers claimed had actually been won by the opposition.<ref>{{cite web |title=Zambia's Fourth Democratic Elections: A Country of Minority Governments - By Tiens Kahenya, UPND Secretary General |url=http://www.africaliberalnetwork.org/newsletter_item.aspx?i_PageID=1420&i_NewsID=24 |url-status=dead |archive-url=https://web.archive.org/web/20080614095733/http://www.africaliberalnetwork.org/newsletter_item.aspx?i_PageID=1420&i_NewsID=24 |archive-date=14 June 2008 |access-date=15 September 2009 |publisher=Africaliberalnetwork.org |df=dmy-all}}</ref> In January 2003, the Zambian Government informed the [[International Monetary Fund]] and [[World Bank]] that it wished to renegotiate some of the agreed performance criteria calling for privatization of the Zambia National Commercial Bank and the national telephone and electricity utilities.

Foreign investors liked Mwanawasa, owing partly to his [[anti-corruption]] drive. During his presidency, [[Zambia]] received [[Foreign direct investment|foreign investment]].<ref name="cabbage">[http://www.economist.com/world/mideast-africa/displaystory.cfm?STORY_ID=11968403 Zambia: Why Africa needs more cabbage] The Economist</ref> The main driver of economic growth was minerals. Mwanawasa's policies helped to lower [[inflation]] to single digits in 2006, a record the country had not seen in over 25 years, and spread some benefits to the poor.<ref name="cabbage" /><ref name=":5" /> Tourists and white farmers diverted from Zimbabwe and helped the Zambian economy.<ref name="cabbage" /> The policies turned the Zambian town of [[Livingstone, Zambia|Livingstone]], near [[Victoria Falls, Zambia|Victoria Falls]], into a tourist hub.<ref name="telegraph">[https://www.telegraph.co.uk/news/obituaries/2586928/Levy-Mwanawasa.html Levy Mwanawasa] The Telegraph</ref> Zambia received a relatively large amount of aid and debt relief because of liberalisation and Mwanawasa's efforts.<ref name="cabbage" /> Overall, economic growth increased to about 6% per year.<ref name="cabbage" />

After Mwanawasa suffered a stroke while attending an [[African Union]] summit in Egypt on 29 June 2008, [[Rupiah Banda]] became acting president and subsequently President.<ref name="VOA">James Butty, [http://webarchive.loc.gov/all/20081116111609/http://voanews.com/english/archive/2008%2D07/2008%2D07%2D01%2Dvoa8.cfm "Zambian President Has Had a History of Hypertension, Says Information Minister"], VOA News, 2 July 2008.</ref> With divisions within the MMD, Banda promised to "unite the party and the entire nation" and to "continue implementing [Mwanawasa's] programs".<ref name="IOL20080905">{{cite news |date=5 September 2008 |title=Zambia's ruling party picks candidate |language=en |work=www.iol.co.za |agency=Sapa-AFP |url=https://www.iol.co.za/news/africa/zambias-ruling-party-picks-candidate-415346 |access-date=12 March 2022}}</ref> After taking office, however, Banda dismantled much of the anti-corruption effort put into place by his predecessor, Mwanawasa.<ref>{{cite news |last=Bearak |first=Barry |date=20 June 2011 |title=Frederick Chiluba, Former President of Zambia, Dies at 68 |work=The New York Times |url=https://www.nytimes.com/2011/06/20/world/africa/20chiluba.html}}</ref> This, compounded with the effects of the [[Great Recession]], led to a sustained period of increased inflation.<ref name=":5" />

=== 2011–2020 ===
In September 2011, the [[social democrat]], [[Michael Sata]] led the [[Patriotic Front (Zambia)|Patriotic Front]] (PF) to victory with a vow to improve conditions for their Zambian employees.<ref>[https://web.archive.org/web/20120522143846/http://blogs.voanews.com/breaking-news/2011/09/23/zambia-swears-in-opposition-leader-as-new-president-5/ "Zambia Swears in Opposition Leader as New President"], VOA News, 25 September 2011.</ref> Though known to previously oppose Chinese investment, he declared his change in perspective prior to his election victory.<ref>Shapi Shacinda, [http://www.int.iol.co.za/index.php?set_id=1&click_id=84&art_id=nw20080908120911204C230040 "Sata warms to Chinese investment in Zambia"], Reuters, 8 September 2008.</ref> Sata died on 28 October 2014 and was succeeded by [[Edgar Lungu]]. The period, saw an infrastructure boom with the development of the [[Kafue Gorge Lower Power Station]], two multi-purpose stadiums, [[Levy Mwanawasa Stadium]] and [[National Heroes Stadium]], expansions of the [[Kenneth Kaunda International Airport]], the [[Harry Mwanga Nkumbula International Airport]] and the [[Simon Mwansa Kapwepwe International Airport]], and the Pave Zambia 2000 project<ref>{{Cite web |last=Lusaka Times |date=16 January 2013 |title=President Sata to launch pave Zambia 2000 project to deal with unemployment |url=https://www.lusakatimes.com/2013/01/16/president-sata-to-launch-pave-zambia-2000-project-to-deal-with-unemployment/ |access-date=25 April 2022 |website=lusakatimes.com}}</ref> intended to create and repair major urban roads countrywide.

Unfortunately this came at a huge [[debt]] cost that slowed the economy and compounded by corruption and the [[COVID-19]] pandemic resulted in weak [[Gross domestic product|GDP]] growth and a [[recession]] in 2019 and 2020 respectively. Zambia's GDP had shrunk from US$29 billion to US$19 billion and its debt grew from 16% to 140% of GDP from 2010 through 2020.<ref>{{Cite web |last=Lusaka Times |date=14 February 2021 |title=PF has shrunk Zambia's GDP and UPND and its leader HH is not an option to fix the economy |url=https://www.lusakatimes.com/2021/02/14/pf-has-shrunk-zambias-gdp-and-upnd-and-its-leader-hh-is-not-an-option-to-fix-the-economy/ |access-date=25 April 2022 |website=lusakatimes.com}}</ref><ref name=":5" /> In November 2020, Zambia became Africa's first coronavirus-era [[Default (finance)|default]] when it opted to bow out of a US$42.5 million [[Eurobond (eurozone)|eurobond]] repayment.<ref>{{Cite web |last=cnbc |date=23 November 2020 |title=Zambia becomes Africa's first coronavirus-era default |url=https://www.cnbc.com/2020/11/23/zambia-becomes-africas-first-coronavirus-era-default-what-happens-now.html |access-date=25 April 2022 |website=cnbc.com}}</ref>

=== From 2021 ===
In August 2021, the Zambian populace ushered in a new government with a promise for jobs growth.<ref>{{Cite web |last=Mfula |first=Chris |date=15 August 2021 |title=Zambian opposition leader Hichilema heads closer to victory in presidential vote |url=https://www.reuters.com/world/africa/zambian-opposition-leader-hichilema-heads-closer-victory-presidential-vote-2021-08-15/ |access-date=25 April 2022 |website=reuters.com}}</ref> [[Hakainde Hichilema]]'s [[United Party for National Development]] (UPND) government delivered an ambitious [[budget]] that included an increase in the Constituency Development Fund (CDF) from ZMW 1.6 million (US$91 thousand) to ZMW 25.7 million (US$1.5 million) for each of Zambia's 156 constituencies and its decentralization in release to these constituencies.<ref>{{Cite web |last=Lusaka Times |date=31 October 2021 |title=Govt extolled for increased Constituency Development Fund allocation |url=https://www.lusakatimes.com/2021/10/30/govt-extolled-for-increased-cdf-allocation/ |access-date=25 April 2022 |website=lusakatimes.com}}</ref> The expectation is that this will generate jobs growth in addition to the government's targeted employment of 30,000 new teachers<ref>{{Cite web |last=Lusaka Times |date=3 April 2022 |title=Recruitment of a record 30000 teachers to be advertised |url=https://www.lusakatimes.com/2022/04/03/recruitment-of-a-record-30000-teachers-to-be-advertised-on-monday-education-minister/ |access-date=25 April 2022 |website=lusakatimes.com}}</ref> and 11,200 health workers.<ref>{{Cite web |last=Lusaka |date=31 March 2022 |title=Government describes the process of recruitment of health workers as overwhelming |url=https://www.lusakatimes.com/2022/03/31/government-describes-the-process-of-recruitment-of-health-workers-as-overwhelming/ |access-date=25 April 2022 |website=lusakatimes.com}}</ref> In mid July 2022, the government recruited 30,496 Teachers.<ref>{{Cite web |last=lusakatimes |date=15 July 2022 |title=30496 teachers have been recruited and names of the successful applicants to be published today |url=https://www.lusakatimes.com/2022/07/15/30496-teachers-have-been-recruited-and-names-of-the-successful-applicants-to-be-published-today/ |access-date=31 July 2022 |website=lusakatimes.com}}</ref> At the end of July 2022, 11,276 health workers, being doctors, nurses and ancillary staff such as drivers were recruited by the government.<ref>{{Cite web |last=lusakatimes |date=29 July 2022 |title=11276 newly recruited health workers to be in the papers today |url=https://www.lusakatimes.com/2022/07/29/11-276-newly-recruited-health-workers-to-be-in-the-papers-today/ |access-date=31 July 2022 |website=lusakatimes.com}}</ref>

With a push for Zambia to be able to produce 3 million tonnes of [[Copper]] per annum within the next 10 years, the government reintroduced the deductibility of mineral [[Royalty payment|royalty]] for corporate income tax assessment purposes.<ref>{{Cite web |last=Lusaka Times |date=23 December 2021 |title=Government targets copper production of up to 1.3 million metric tonnes |url=https://www.lusakatimes.com/2021/12/23/government-targets-copper-production-of-up-to-1-3-million-metric-tonnes-for-the-2022/ |access-date=25 April 2022 |website=lusakatimes.com}}</ref><ref name=":02">{{Cite web |last=Price Waterhouse Coopers Zambia |date=17 April 2022 |title=Zambia Budget Bulletin 2022 |url=https://www.pwc.com/zm/en/assets/pdf/zambia-budget-bulletin-2022.pdf |access-date=17 April 2022 |website=pwc.com/zm/en/}}</ref><ref name=":13">{{Cite web |last=Deloitte |date=17 April 2022 |title=Zambian National Budget Highlights 2022 |url=https://www2.deloitte.com/za/en/pages/tax/articles/zambia-national-budget-highlights-2022.html |access-date=17 April 2022 |website=deloitte.com/za/en/}}</ref><ref>{{Cite web |last=Lusaka Times |date=31 October 2021 |title=Zambia Chamber of Mines welcomes 2022 Budget |url=https://www.lusakatimes.com/2021/10/31/chamber-of-mines-welcomes-2022-national-budget/ |access-date=17 April 2022 |website=lusakatimes.com}}</ref> The results of these policy changes are yet to be seen.

At the 2022 IMF-World Bank Spring Meetings, the World Bank announced it would fund projects worth US$560 million in Zambia in 2022.<ref>{{Cite web |last=ecofinagency |date=25 April 2022 |title=World Bank to fund projects worth 560 million U.S dollars this year |url=https://www.ecofinagency.com/public-management/2504-43556-zambia-world-bank-to-fund-projects-worth-us-560-mln-this-year |access-date=26 April 2022 |website=ecofinagency.com}}</ref><ref>{{Cite web |last=times |date=25 April 2022 |title=World Bank to give Zambia U$ 560 million this year |url=https://www.times.co.zm/?p=116623 |access-date=26 April 2022 |website=times.co.zm}}</ref>

In July 2022, to address its debt challenges, the Zambian government engaged creditors of undisbursed loans to facilitate the formal cancellation of loans estimated to be about US$2.0 billion. Projects that were already ongoing would now be financed through government revenues.<ref>{{Cite web |last=Mfula |first=Chris |date=30 July 2022 |title=Zambia cancels over 2 billion dollars in loans to address debt woes |url=https://www.reuters.com/world/africa/zambia-cancel-over-2-bln-loans-address-debt-woes-2022-07-30/ |access-date=31 July 2022 |website=reuters.com}}</ref><ref>{{Cite web |last=solwezitoday |date=13 July 2022 |title=Zambia plans to cancel over 2 billion dollars of loans to rein in debt |url=https://solwezitoday.com/zambia-plans-to-cancel-over-2-billion-projects-to-rein-in-debt/ |access-date=31 July 2022 |website=solwezitoday.com |archive-date=31 July 2022 |archive-url=https://web.archive.org/web/20220731075733/https://solwezitoday.com/zambia-plans-to-cancel-over-2-billion-projects-to-rein-in-debt/ |url-status=dead }}</ref>

In early August 2022, the Zambia Development Agency,  a quasi-government institution under the Ministry of Commerce, Trade and Industry reported that it had recorded numerous investment pledges worth US$3.8 billion in the first half to 2022 targeting the agriculture, tourism, construction and mining sectors with a potential job market of 19,000.<ref>{{Cite web |last=znbc |date=5 August 2022 |title=ZDA Records $3.8b Investment Pledges In 2022 |url=https://www.znbc.co.zm/news/107551-2/ |access-date=6 August 2022 |website=znbc.co.zm |archive-date=6 August 2022 |archive-url=https://web.archive.org/web/20220806085430/https://www.znbc.co.zm/news/107551-2/ |url-status=dead }}</ref>

In October 2021, to spur economic development, Zambia took measures to promote local development in its ambitious 2022 national budget. The Government announced an unprecedented constituency development fund (CDF) increment from ZMW 1.6 million (U$91,000) to ZMW 25.7 million (U$1.5million) for each constituency taking the total development fund injection into the local communities from ZMW 250 million (U$14.2 million) to ZMW 4 billion (U$228.4 million).<ref name=":20">{{Cite web |last=Lusaka Times |date=30 October 2021 |title=Govt extolled for increased Constituency Development Fund allocation |url=https://www.lusakatimes.com/2021/10/30/govt-extolled-for-increased-cdf-allocation/ |access-date=19 April 2022 |website=lusakatimes.com}}</ref><ref>{{Cite web |last=PWC Zambia |date=3 November 2021 |title=Zambia Budget Bulletin 2022 |url=https://www.pwc.com/zm/en/assets/pdf/zambia-budget-bulletin-2022.pdf |access-date=20 April 2022 |website=pwc.com/zm/en/}}</ref> After winning a crucial Staff-Level [[International Monetary Fund|IMF]] Deal, in early December 2021, Zambia went on to cut fuel subsidies later that month as a key step in seeking U$1.4 billion from the IMF.<ref>{{Cite web |last=Bloomberg |date=17 December 2021 |title=Zambia cuts fuel subsidies ahead of IMF deal raising the pump price |url=https://www.bloomberg.com/news/articles/2021-12-16/zambia-cuts-fuel-subsidies-ahead-of-imf-deal-raising-pump-price |access-date=20 April 2022 |website=bloomberg.com}}</ref>

At the end of July 2022, the Official Creditor Committee co-chaired by [[China]] and [[France]], and vice chaired by [[South Africa]] agreed to provide the financing assurances under the [[G20]] Common Framework for debt treatment that Zambia had been waiting for to secure final approval from the [[International Monetary Fund]] for a US$1.4 billion bailout under the Extended Credit Facility.<ref>{{Cite web |last=Bloomberg |date=30 July 2022 |title=Creditors give Zambia assurances to unlock 1.4 billion IMF deal |url=https://www.bloomberg.com/news/articles/2022-07-30/creditors-give-zambia-assurances-to-unlock-1-4-billion-imf-deal |access-date=31 July 2022 |website=bloomberg.com}}</ref><ref>{{Cite web |last=imf |date=30 July 2022 |title=Zambia IMF Managing Director Welcomes Statement Creditor Committee Zambia Common Framework |url=https://www.imf.org/en/News/Articles/2022/07/30/pr22282-Zambia-IMF-Managing-Director-Welcomes-Statement-Creditor-Committee-Zambia-Common-Framework |access-date=31 July 2022 |website=imf.org}}</ref><ref name=":19">{{Cite web |last=zambianobserver |date=30 July 2022 |title=World Bank welcomes the common framework statement by Zambia's creditors |url=https://zambianobserver.com/world-bank-welcomes-the-common-framework-statement-by-zambias-creditors/ |access-date=31 July 2022 |website=zambianobserver.com}}</ref> In early August 2022, at the symposium on the midyear budget and economic performance and the 2023 to 2025 medium term budget plan, Zambia's Minister of Finance and National Planning, Dr. [[Situmbeko Musokotwane]] said the IMF board was expected to meet at the end of August 2022 to approve the loan programme.<ref>{{Cite web |last=Mfula |first=Chris |date=5 August 2022 |title=Zambia sees IMF board meeting happening at the end of August over the debt programme |url=https://www.reuters.com/world/africa/zambia-sees-imf-board-meeting-end-august-over-programme-2022-08-05/ |access-date=6 August 2022 |website=reuters.com}}</ref>

On 31 August 2022, the International Monetary Fund (IMF) board approved a US$1.3 billion extended credit facility to help Zambia restore fiscal stability.<ref>{{Cite web |last=bloomberg |date=1 September 2022 |title=Zambia gets IMF bailout marking progress for G20 debt plan |url=https://www.bloomberg.com/news/articles/2022-08-31/zambia-gets-imf-bailout-marking-progress-for-g-20-debt-plan |access-date=1 September 2022 |website=bloomberg.com}}</ref><ref>{{Cite web |last=Arbitrageur |first=Kwacha |date=1 September 2022 |title=Zambia back in the champions league as IMF grants long awaited 1.3 billion dollar extended credit facility |url=https://thebusinesstelegraph.com/2022/09/01/zambia-back-in-the-champions-league-as-imf-grants-long-awaited-1-3billion-extended-credit-facility/ |url-status=dead |archive-url=https://web.archive.org/web/20220901031306/https://thebusinesstelegraph.com/2022/09/01/zambia-back-in-the-champions-league-as-imf-grants-long-awaited-1-3billion-extended-credit-facility/ |archive-date=1 September 2022 |access-date=1 September 2022 |website=thebusinesstelegraph.com}}</ref>

In June 2023, Zambia reached an agreement in principle to restructure US$6.3 billion of debt with bilateral lenders.<ref>{{Cite web |date=23 June 2023 |title=Zambia Wins US$6.3 billion Debt Relief |url=https://www.reuters.com/world/africa/zambia-seals-63-billion-debt-restructuring-deal-2023-06-22/ |access-date=23 June 2023 |website=reuters.com}}</ref><ref>{{Cite web |date=22 June 2023 |title=Debt-plagued Zambia reaches deal with China, other nations to rework $6.3B in loans |url=https://apnews.com/article/zambia-debt-restructuring-deal-china-a0d14e7af986e2f873555685cedb86b3 |access-date=23 June 2023 |website=apnews.com}}</ref><ref>{{Cite web |date=22 June 2023 |title=Zambia agrees debt relief with China and other creditors |url=https://www.ft.com/content/e3b66798-1c5c-4c0c-8339-83a76e1e2c34 |access-date=23 June 2023 |website=ft.com}}</ref><ref>{{Cite web |date=24 June 2023 |title=Zambia to Pay 1% Interest After 'Mission Impossible' Debt Deal |url=https://www.bloomberg.com/news/articles/2023-06-24/zambia-to-pay-1-interest-after-mission-impossible-debt-deal#xj4y7vzkg |access-date=25 June 2023 |website=bloomberg.com}}</ref> In October 2023, Zambia agreed a memorandum of understanding (MoU) with its bilateral creditors on restructuring about $6.3 billion of debt. Following the signing of the MoU, the terms would be implemented through bilateral agreements with each member of the OCC (Official Creditor Committee).<ref>{{Cite web |date=14 October 2023 |title=Transcript African Finance Minister's Press Conference |url=https://www.imf.org/en/News/Articles/2023/10/14/transcript-of-press-briefing-african-finance-minister-s-press-conference |access-date=15 October 2023 |website=imf.org}}</ref><ref>{{Cite web |date=14 October 2023 |title=Zambia, bilateral creditors agree debt rework memorandum of understanding - finance ministry |url=https://www.reuters.com/world/africa/zambia-bilateral-creditors-agreed-debt-rework-memorandum-understanding-finance-2023-10-14/ |access-date=14 October 2023 |website=reuters.com}}</ref><ref>{{Cite web |date=14 October 2023 |title=Zambia Agrees Debt Deal With Foreign Creditors: Finance Ministry |url=https://www.barrons.com/news/zambia-agrees-debt-deal-with-foreign-creditors-finance-ministry-e00e8c66 |access-date=14 October 2023 |website=barrons.com}}</ref>

In March 2024, Zambia struck an 76.5 billion kwacha (US$3.0 billion) restructuring deal with bondholders.<ref>{{Cite web |date=25 March 2024 |title=Zambia Deal With Bondholders Secures Key Win in Years-Long Saga |url=https://www.bloomberg.com/news/articles/2024-03-25/zambia-agrees-deal-with-bondholders-key-win-in-years-long-saga?embedded-checkout=true |access-date=26 March 2024 |website=bloomberg.com}}</ref><ref>{{Cite web |date=25 March 2024 |title=Zambia Bonds Gain as Moody's Sees Debt Talks Unlocking Growth |url=https://www.bloomberg.com/news/articles/2024-03-25/zambia-bonds-gain-as-moody-s-sees-debt-talks-unlocking-growth |access-date=26 March 2024 |website=bloomberg.com}}</ref><ref>{{Cite web |date=26 March 2024 |title=Govt finally secures $3bn debt deal |url=https://diggers.news/business/2024/03/25/govt-finally-secures-3bn-debt-restructuring/ |access-date=26 March 2024 |website=diggers.news}}</ref> The agreement included important concessions from the Bondholders, while providing the required debt relief to the Government.<ref name="RE">{{Cite web |date=25 March 2024 |title=Statement Re Restructuring of Eurobonds - The Republic of Zambia |url=https://www.londonstockexchange.com/news-article/32BT/statement-re-restructuring-of-eurobonds/16393988 |access-date=26 March 2024 |website=londonstockexchange.com}}</ref> Under the agreement, Bondholders would forego approximately 21.4 billion kwacha (US$840 million) of their claims, and provide cash flow relief of approximately 63.8 billion kwacha (US$2.5 billion) during the IMF programme period.<ref name="RE" /><ref>{{Cite web |date=25 March 2024 |title=Zambia reaches revised bondholder deal and moves closer to exiting default |url=https://www.ft.com/content/c3ba6a41-be2f-467d-a64b-df37ba4417d8 |access-date=26 March 2024 |website=ft.com}}</ref><ref>{{Cite web |date=26 March 2024 |title=Done Deal |url=https://www.times.co.zm/?p=131345 |access-date=26 March 2024 |website=times.co.zm}}</ref>

==== Public-Private Dialogue Forum (PPDF) ====
In April 2022, Zambia launched a mechanism aimed at unlocking the potential of the private sector as a driver of economic development and job creation. The Public-Private Dialogue Forum (PPDF) is meant to act as a structured mechanism for interactions between the public and the private sector in tackling bottlenecks that have hindered the growth of the private sector.<ref>{{Cite web |last=Mwansa |first=Ivy |date=27 April 2022 |title=President Hichilema launches Public Private Dialogue Forum aimed at promoting economic development |url=https://zambianbusinesstimes.com/president-hichilema-launches-public-private-dialogue-forum-aimed-at-promoting-economic-development/ |access-date=28 April 2022 |website=zambianbusinesstimes.com}}</ref>

==== European Union (EU)–Zambia Economic Forum ====
In May 2022, the inaugural [[European Union]] (EU)-[[Zambia]] Economic Forum was launched in Lusaka by President Hakainde Hichilema under the theme ‘Economic transformation through [[green growth]]’.<ref name=":14">{{Cite web |last=daily-mail |date=19 May 2022 |title=EU-Zambia forum great initiative |url=http://www.daily-mail.co.zm/eu-zambia-forum-great-initiative/#:~:text=The%20EU%2DZambia%20Economic%20Forum,Economic%20transformation%20through%20green%20growth'. |access-date=19 May 2022 |website=daily-mail.co.zm}}</ref> It was a high-level event that brought together entrepreneurs, experts, financial institutions, innovators, and policy decision-makers from Zambia, the EU and representatives of its 27 member states.<ref name=":14" /><ref>{{Cite web |last=lusakatimes |date=19 May 2022 |title=Zambia Association of Manufacturers (ZAM) appeals to EU to support local manufacturers |url=https://www.lusakatimes.com/2022/05/19/zam-appeals-to-eu-to-support-local-manufacturers/ |access-date=19 May 2022 |website=lusakatimes.com}}</ref> Additional special guests included the [[EU Commissioner for Agriculture]] [[Janusz Wojciechowski]] and the commissioner for Trade and Industry of the [[African Union Commission]], [[Albert M. Muchanga]].<ref>{{Cite web |last=lusakatimes |date=7 February 2021 |title=Zambia's Ambasador Albert Muchanga re-elected as AU Commissioner for Economic Development, Trade, Industry and Mining |url=https://www.lusakatimes.com/2021/02/07/zambias-amb-albert-muchanga-re-elected-as-au-commissioner-for-economic-development-trade-industry-and-mining/ |access-date=19 May 2022 |website=lusakatimes.com}}</ref> The forum was launched as a platform with a view to promoting employment, value addition and increased trade through business-to-business (B2B) and business-to-government (B2G) collaboration and economic synergies for EU and Zambian businesses.<ref name=":14" />

==== UK–Zambia Green Growth Compact ====
In November 2021, the Zambian and [[Government of the United Kingdom|British government]] signed the UK-Zambia Green Growth Compact, an agreement expected to boost the [[United Kingdom]]'s investment into Zambia by '''[[Pound sign|£]]''' 1.0 billion (US$1.26 billion) with a focus on job creation and green energy production.<ref>{{Cite web |last=zambiawatchdog |date=6 November 2021 |title=The UK to invest 1 billion pounds in Zambia |url=https://www.zambiawatchdog.com/one-billion-pounds-uk-investment-to-zambia/ |access-date=26 May 2022 |website=zambiawatchdog.com}}</ref> In May 2022, the [[High commissioner (Commonwealth)|British High Commissioner]] to Zambia Nicholas Woolley, indicated that the British government had set aside the  '''[[Pound sign|£]]''' 1.0 billion to be spent over the next 5 years with '''[[Pound sign|£]]''' 100.0 million (US$126.0 million) targeted for funding Small Medium Entrepreneurs (SMEs) and '''[[Pound sign|£]] 5'''00.0 million (US$629.9 million) for investment in renewable energy.<ref>{{Cite web |last=lusakatimes |date=25 May 2022 |title=Britain gives Zambia 1 billion pounds for SME Development |url=https://www.lusakatimes.com/2022/05/25/britain-gives-zambia-one-billion-pounds-for-sms-development/ |access-date=26 May 2022 |website=lusakatimes.com}}</ref>

==== World Bank Support ====
In July 2022, the [[World Bank]] approved US$155.0 million in International Development Assistance for Social Cash Transfer to mitigate the high cost of living pressures in Zambia and a further US$27.0 million credit facility to support the government's development programs.<ref>{{Cite web |last=znbc |date=15 July 2022 |title=World Bank approves 155million US Dollars for Social Cash Transfer in Zambia |url=https://www.znbc.co.zm/news/world-banks-approves-155m-for-social-cash-transfer/ |access-date=16 July 2022 |website=znbc.co.zm |archive-date=16 July 2022 |archive-url=https://web.archive.org/web/20220716023049/https://www.znbc.co.zm/news/world-banks-approves-155m-for-social-cash-transfer/ |url-status=dead }}</ref>

In July 2022, the [[World Bank]] approved a further US$665.0 million to fund projects in Zambia to spur economic recovery and growth and also lighten the debt burden.<ref>{{Cite web |last=daily-mail |date=26 July 2022 |title=World Bank approves 665 million US Dollars for Zambia |url=http://www.daily-mail.co.zm/wb-approves-665m/ |access-date=27 July 2022 |website=daily-mail.co.zm}}</ref> Through 2032, the World Bank plans to support Zambia with new financing of over US$2.0 billion in the form of concessional loans.<ref name=":19" />

In late October 2022, the World Bank approved US$275.0 million concessional loan targeted at fiscal stabilization and accelerated economic programs. Financing was provided by the World Bank's [[International Development Association]] (IDA).<ref>{{Cite web |last=lusakatimes |date=27 October 2022 |title=World Bank approves 275 million US dollars for development policy operation in Zambia |url=https://www.lusakatimes.com/2022/10/27/world-bank-approves-275-million-development-policy-operation-for-zambia/ |access-date=27 October 2022 |website=lusakatimes.com}}</ref>

==== African Export-Import Bank (Afreximbank) Support ====
In July 2022, the [[African Export-Import Bank]] President Benedict Oramah, whilst in [[Lusaka]] Zambia, announced that the bank would put up an investment of about US$250 million for Zambia's first-ever [[Battery electric vehicle|Battery Electric Vehicle]] (BEV) manufacturing plant.<ref name=":17">{{Cite web |last=solwezitoday |date=26 July 2022 |title=Afreximbank to inject 250 million US dollars in electric vehicle plant in Zambia |url=https://solwezitoday.com/afreximbank-to-inject-250m-in-electric-vehicle-plant/ |access-date=28 July 2022 |website=solwezitoday.com |archive-date=26 July 2022 |archive-url=https://web.archive.org/web/20220726090556/https://solwezitoday.com/afreximbank-to-inject-250m-in-electric-vehicle-plant/ |url-status=dead }}</ref>

==== EAC-SADC-COMESA Free Trade Area ====
In July 2022, during the 4th Mid-Year Coordination Meeting of the [[African Union]], Regional Economic Communities and Regional Mechanisms in Lusaka, Zambia, the three regional blocs, [[East African Community|East African Community (EAC)]], [[Southern African Development Community|Southern African Development Community (SADC)]], and [[Common Market for Eastern and Southern Africa|Common Market for Eastern and Southern Africa (COMESA)]] agreed to have a tripartite ministers' summit to fast track the finalization of the border control-free travel and free movement of goods and services area by the end of 2022.<ref>{{Cite web |last=eat |date=8 August 2022 |title=EAC hands over COMESA-EAC-SADC tripartite task force chairmanship to COMESA |url=https://www.eac.int/press-releases/2539-eac-hands-over-comesa-eac-sadc-tripartite-task-force-chairmanship-to-comesa |access-date=8 August 2022 |website=eac.int}}</ref><ref>{{Cite web |last=daily-mail |date=8 August 2022 |title=Free movement of goods and people summit coming |url=http://www.daily-mail.co.zm/free-movement-of-goods-people-summit-coming/ |access-date=8 August 2022 |website=daily-mail.co.zm}}</ref>

==== Zambia-China Trade and Investment Forum ====
In September 2022, Zambia and [[China]] launched the inaugural trade and investment forum aimed at unlocking trade and investment potential between the two countries. The event also saw the signing of an Exchange Letter of the [[Duty-free trade|Duty Free]] Treatment for Zambian products corresponding to 98-percent of the [[tariff]] lines by Finance Minister Situmbeko Musokotwane and Chinese Ambassador to Zambia Du Xiao.<ref>{{Cite web |last=t.m.china.org |date=29 September 2022 |title=Zambia, China hold forum to deepen trade, investment ties |url=http://t.m.china.org.cn/convert/c_xNFoORB4.html |access-date=30 September 2022 |website=t.m.china.org.cn}}</ref><ref>{{Cite web |last=openzambia |date=29 September 2022 |title=First ever China - Zambia Trade Forum concludes |url=https://www.openzambia.com/politics/2022/9/29/first-ever-china-zambia-trade-forum-concludes |access-date=8 October 2022 |website=openzambia.com}}</ref>

==== Zambia-China bilateral trade growth ====
In mid-September 2023, President Hakainde Hichilema met with The President of [[China|The Peoples Republic of China]], [[Xi Jinping]] in [[Beijing]] where they witnessed the signing of over 15 MOUs amounting to a potential investment of about ZMW 62.3 billion kwacha (US$3.0 billion) by China into Zambia and the leaders also agreed to increase the use of local currencies in trade between the two countries.<ref>{{Cite web |last=Mitimingi |first=Taonga |date=15 September 2023 |title=Zambia, China Agree to Increase Use of Local Currency in Trade |url=https://www.bloomberg.com/news/articles/2023-09-15/zambia-china-agree-to-increase-use-of-local-currency-in-trade |access-date=28 September 2023 |website=bloomberg.com}}</ref><ref>{{Cite web |date=28 September 2023 |title=President Hakainde Hichilema's China Trip Attracted $3bn Investment |url=https://www.lusakatimes.com/2023/09/28/president-hakainde-hichilemas-china-trip-attracted-3bn-investment/ |access-date=28 September 2023 |website=lusakatimes.com}}</ref> One of the MOUs signed during Mr. Hichilema's visit to China was with the international telecoms manufacturer [[ZTE]] to construct and open a [[smartphone]] [[manufacturing]] plant in Zambia.<ref>{{Cite web |date=18 September 2023 |title=ZTE to build smartphone plant in Zambia |url=https://innovation-village.com/zte-to-build-smartphone-plant-in-zambia/ |access-date=28 September 2023 |website=innovation-village.com}}</ref><ref>{{Cite web |date=23 September 2023 |title=ZTE Chairman to visit Zambia for talks on setting up a smart phone factory |url=https://www.lusakatimes.com/2023/09/23/zte-chairman-to-visit-zambia-for-talks-on-setting-up-a-smart-phone-factory/ |access-date=28 September 2023 |website=lusakatimes.com}}</ref> In late-September 2023, [[China Nonferrous Metal Mining Group]] (CNMC) unveiled plans to inject an additional ZMW 27.0 billion kwacha (US $1.3 billion) into Zambia from 2023 through 2028, spanning the mining, energy, education and technology economic sectors.<ref>{{Cite web |date=27 September 2023 |title=China's CNMC announces US$ 1.3 billion investment in Zambia across diverse sectors. |url=https://copperbeltkatangamining.com/chinas-cnmc-announces-1-3-billion-investment-in-zambia-across-diverse-sectors/ |access-date=28 September 2023 |website=copperbeltkatangamining.com}}</ref>

==== U.S.-Zambia Business Summit ====
In October 2022, more than 50 [[United States]] and Zambian business and government leaders gathered in [[Lusaka]] for the two-day inaugural U.S.-Zambia Business Summit at the Intercontinental Hotel. Representatives from the [[United States Trade and Development Agency|U.S. Trade and Development Agency]], [[U.S. International Development Finance Corporation]] also attended the Summit. The Summit focused on promoting Zambia as one of the most attractive business environments for investment on the African continent.<ref>{{Cite web |last=lusakatimes |date=15 October 2022 |title=Zambia will rise from the ashes to become a trusted investment partner again |url=https://www.lusakatimes.com/2022/10/15/zambia-will-rise-from-the-ashes-become-a-trusted-investment-partner-again/ |access-date=15 October 2022 |website=lusakatimes.com}}</ref>

'''African Continental Free Trade Area (AfCFTA) Digital Trade Forum'''

In May 2025, Zambia hosted the inaugural, [[African Continental Free Trade Area]] (AfCFTA) Digital Trade Forum in Lusaka. The Digital Trade Forum, bringing together policymakers and business leaders from across Africa, aimed to develop practical strategies for implementing the AfCFTA’s digital commerce provisions.<ref>{{Cite web |date=9 May 2025 |title=Botswana’s President Boko Praises Hichilema’s Leadership, Calls for Urgent Action on AfCFTA’s Digital Goals |url=https://www.lusakatimes.com/2025/05/08/botswanas-president-boko-praises-hichilemas-leadership-calls-for-urgent-action-on-afcftas-digital-goals/ |access-date=9 May 2025 |website=lusakatimes.comnt-action-on-afcftas-digital-goals/}}</ref>