Economic Reforms Are Working — Now It's Time to Reap the Rewards, Says Finance Minister

Finance Minister Dr Situmbeko Musokotwane has affirmed that Zambia's economic reforms are delivering results, with macroeconomic stability now firmly established and household-level benefits increasingly taking shape.

Speaking after President Hichilema's address to Parliament, Dr Musokotwane pointed to concrete evidence of progress: pension withdrawals totalling K10.6 billion have reached over 518,000 contributors, boosting consumption and small-scale investment. Meanwhile, water access has expanded to 4.9 million citizens, nearly 60,000 new electricity connections have been made, and load-shedding has been significantly reduced.

The Minister highlighted that GDP growth is projected to strengthen to 6.4 percent in 2026, while the fiscal deficit is expected to fall to just 2.1 percent of GDP — down from around nine percent in 2021. Inflation continues trending toward the six to eight percent target band after peaking above 21 percent, and international reserves have risen to approximately US$5.5 billion.

On investment, Dr Musokotwane noted that manufacturing commitments exceeding US$4 billion have been secured, with planned infrastructure spending of US$1.7 billion on roads and significant new solar and thermal energy capacity. Investment pledges from 20 companies are already generating an estimated 31,000 jobs, while newly declared economic zones are expected to mobilise a further US$3 billion.

The Minister called on all stakeholders — the private sector, citizens, development partners, and public institutions — to seize the opportunities created by reform. "Zambia is entering a period where the benefits of reform will increasingly become visible across sectors and communities," he said. "Economic transformation is a national undertaking."