Cabinet Sets Out 2027 Budget Priorities

Cabinet has approved the Budget Policy Concept Paper, the document that will shape the 2027–2029 Medium-Term Budget Plan and the 2027 Annual Budget.

The decisions were taken at the first Cabinet meeting of President Hakainde Hichilema's second term, and set economic growth under the Grow Zambia Agenda as the organising principle for the next three budgets, with human capital development held at the centre of Government's programme.

In a statement released to ZNBC News, Cabinet Office said Government's macroeconomic objectives would centre on higher and more resilient growth capable of creating jobs, inflation held in single digits, and a stable exchange rate. International reserves are to be maintained above three months of import cover.

Fiscal consolidation remains the other half of the picture. Cabinet agreed that Government should broaden the tax base, strengthen compliance through digital systems and improve the efficiency of tax administration, while continuing to pursue concessional and climate-related financing to reduce the risk of debt distress.

Narrowing the budget deficit and keeping debt on a sustainable path will depend chiefly on raising more revenue domestically, Cabinet said.

It further resolved that climate-resilient projects should be built into planning and budgeting, so that fiscal policy works alongside adaptation, mitigation and environmental sustainability rather than separately from them.

Cabinet closed by calling on Public Service employees and citizens alike to work towards the objectives of the Grow Zambia Agenda.