ZDA approves $600,000 loan facility to support Zambian exports

The Zambia Development Agency (ZDA) has approved a $600,000 loan facility under the Zambia Export Development Fund (ZEDF) to support businesses engaged in exporting Zambian products.

Of the total amount, $400,000 has been ring-fenced for youth-led export businesses, while the remaining $200,000 will be allocated to Small and Medium Enterprises (SMEs) supplying goods and services to the mining sector.

ZDA Head of Communications and Public Relations Kwali Mfuni said the funding was designed to grow Zambia's non-traditional exports, create employment and strengthen local industries. He added that the youth allocation was intended to help young entrepreneurs access regional and international markets, including those who have typically struggled to secure loans from traditional banks.

The fund is also expected to support businesses using digital trade platforms, improved logistics and new supply chain solutions, as well as help youth-owned businesses expand their workforces.

Beyond the youth-focused component, ZEDF will also direct financing towards non-traditional export sectors identified as priorities for economic diversification. These include apiculture, with a focus on honey processing, value addition and organic certification for international markets; livestock, where funding will target cold-chain infrastructure and compliance with disease-free zone requirements to facilitate meat exports; and the mining supply chain, where support will be directed at local manufacturers of industrial consumables to reduce import dependence and strengthen local content.

The facility is being implemented under a Memorandum of Understanding between the European Union and Zambia's Ministry of Finance and National Planning, with the ZEDF managed by the ZDA.

ZEDF Fund Manager Dr David Chewe said the targeted youth investment reflected a forward-looking trade strategy aimed at enabling young Zambians to compete both regionally and globally.