US Aid Cuts 'Long Overdue', Says President Hichilema

President Hakainde Hichilema has described cuts to international aid as "long overdue", saying the closure of the US Agency for International Development offers Zambia an opportunity to "take care of our own affairs".

Speaking to the Financial Times during a visit to London, the President acknowledged that the cuts were difficult but necessary for long-term development.

Zambia has relied on Washington for roughly a third of its health budget, with most funding going towards HIV/Aids treatment, basic and maternal health programmes.

"It forces us to grow our economies and to do the things we should have been doing," President Hichilema said, adding that his mantra was "seek ye growth" as a way of raising government capacity to spend on social programmes.

He admitted the abrupt nature of the cuts, which reversed funding already allocated by Congress, left government little time to adjust. "It's painful for now," he said. "There is a shock. But longer term, it's a good thing."

In its 2026 budget, government raised healthcare spending by 13 percent to K26.2 billion, though this remains below the international commitment of 15 percent of total spending. The government has also pledged to crack down on theft of donated medicines and increased drug procurement funds by 30 percent.

The President clarified his stance did not mean there was no role for international solidarity. "Countries cannot decouple themselves from one another," he said.

On trade relations, President Hichilema urged the US and China to end their trade war, saying Zambia was "too small to get caught in the middle of [arguments between] bigger countries".

President Hichilema also reported significant progress on debt restructuring, saying Zambia had cleared 94 percent of its arrears in what he described as a "major milestone". The country defaulted on its debt in 2020, and the four-year restructuring process has been described as painfully slow.

A dispute with the African Export-Import Bank, to which Zambia owes about $50 million, would be concluded under the rules of the G20 framework, he said.

The President said the economy was recovering as the debt crisis receded, with the IMF expecting Zambia to grow at roughly 6 percent this year, up from 4 percent last year.