LUSAKA: The International Monetary Fund’s (IMF) board will probably sign off on a US$1.47bil deal for Zambia in December, its mission chief to the southern African nation says, after a staff-level deal was agreed last Friday.
A team from the Washington-based lender, in Zambia since Sept 29, managed to thrash out an agreement with the government in a relatively short period after August elections.
The programme will focus on driving growth and creating jobs, whereas the previous one was centred around restoring economic stability as the copper-rich nation negotiated a debt restructuring with its creditors.
“Our message for the new programme is very clear,” Edward Gemayel, the lender’s mission chief told reporters in Lusaka, the capital. “Three things: preserving stability, strengthening resilience, and unlocking Zambia’s growth potential for the benefit of all Zambians.”
While Zambia’s economy has strengthened considerably and inflation has fallen sharply, fiscal pressures have intensified in 2026, the Washington-based lender said in a statement earlier last Friday.
The new programme aims to restore fiscal buffers by increasing revenues and expenditure restraint while protecting priority social spending, it said.
Zambia has benefited from near-record copper prices through increased production of the metal used in wiring.
The IMF forecasts the economy will expand by 5.6% this year. — Bloomberg
