Browsing: IMF in Zambia

• Zambia’s economic growth projections have dropped to 1.2 per cent, down from an earlier estimate of 2.3 per cent.
• Key sector agriculture has shrunk by over 20% YoY even as energy output dropped by nearly 10%, affecting electricity supply.
• Compounding the challenge, inflation in Zambia rose sharply, reaching 15.7% in October 2024.

Zambia’s economic outlook for 2024 has suffered a downturn, with the main sectors facing substantial contractions that could weigh on the South African country’s overall recovery.

According to the latest review by the International Monetary Fund (IMF), Zambia’s economic growth projections have dropped to 1.2 per cent, down from an earlier estimate of 2.3 percent. This is largely due to wide-ranging electricity shortages and declining activity across critical industries such as agriculture and energy.

After completing the IMF review, Zambia will access about $185.5 million in financing (SDR 139.9 million) for budgetary support in a tough economic year.…