Zambia’s Economy Subdued-Word Bank

The World Bank says Zambia’s economic recovery has remained subdued in 2017 despite a bumper harvest, improved electricity generation and the easing of monetary policy, with debt being recorded at 13.3 billion United States dollars at the end of 2016.

Speaking in Lusaka during the launch of the 10th Zambia Economic brief titled “How can Zambia borrow without sorrow”, World Bank country Manager Ina Ruthenberg said there remains need to look closely at ways to improve debt management ensure that economic growth has sustainable foundations.

Ms Rothenberg is hopeful that the findings in the economic brief will help stimulate debate amongst stakeholders on how Zambia can shift to a path of more inclusive growth.

And presenting the findings of the report, World Bank Senior Economist, Dr Gregory Smith said Zambia’s economic recovery has remained subdued because of weak performance of services,mining and construction sectors.

He however, states that growth is expected to strengthen to 4.3 percent in 2018 and 4.9 percent in 2019.

Reacting to the report, Finance Minister Felix Mutati advised the World Bank and other stakeholders to offer solutions to the country’s debt situation instead of focusing on making headlines on the current debt levels.

Mr. Mutati says the debt situation in Zambia is not the worst in region and globally as there is still hope for a recovery process.