By Cecilia Chiluba 
Minister of Finance and National Planning has disclosed that the Treasury spent K5.5 billion on servicing domestic and external debt, in May, 2025, out of the K15.8 billion released to finance public service delivery.
Of the K5.5 billion, K2.8 billion was for servicing domestic debt, K2.6 billion for external debt, while K80.7 million went towards dismantling arrears owed to various suppliers of goods & services.
Dr. Situmbeko Musokotwane revealed that K1.8 billion went to transfers, subsidies & social benefits, out of which K98 million was given to the Food Reserve Agency (FRA) to facilitate payments for maize supplied under early and winter maize contracts, and K50 million to settle arrears under the Food Security Pack Programme, among other expenditures.
Dr. Musokotwane added that the Treasury released K1.9 billion to facilitate general government operations, out of which K100 million was spent on mobile registration to facilitate for the issuance of the National Registration Cards, K11.9 million for By-Elections, and K193.2 million went to the Compensation and Awards budget line to facilitate payments for legal cases won against the Government, among others.
“In May 2025, the Ministry of Finance & National Planning released K15.8 billion to finance public service delivery. Of this amount, a sum of K1.3 billion went towards on-going capital expenditure projects, of which, K542.1 million was for road infrastructure, K280 million for public university and school infrastructure.”
“K350.9 million was for other infrastructure projects being implemented in various GRZ institutions, K81 million for on-going construction works related to provincial airports, and K18.3 million for the Rural Electrification Programme,” Dr. Musokotwane revealed.
He further disclosed that the Treasury released K5.3 billion for the Public Service Wage Bill for May, 2025, to meet costs relating to remuneration of various public service workers.
Reflecting on the May, 2025, budget expenditure report, Dr. Musokotwane pledged Government’s commitment to improving public financial management, fiscal transparency, and enhancing tax administration.
He observed that the high level of global policy uncertainty and the resultant external environment, remain challenging.
“As Government, we will continue on the reform path to build resilience, create fiscal space, and crowd-in private investment through a conducive business environment and sustained promotion of partnerships in developing key economic sectors such as energy, mining, agriculture, manufacturing, tourism and transport and logistics.”
“We are committed to structural reforms in the energy sector, strengthening governance, enhancing transparency in public procurement, improving the business environment by fostering a level-playing field for private sector-led growth, and creating job opportunities needed for Zambia’s rapidly growing youth population,” he said.
According to a statement issued by the office of the Secretary to the Treasury, the Minister further expressed confidence of strong growth – this year and beyond – supported by the rebound in agriculture and a rise in mining productivity, noting that the economy continues to show inspiring resilience despite economic shocks.
“We are monitoring progress in the power sector and are on high alert for any glitches.”
“Our development partners should rest assured of our commitment to sustained reforms in the energy sector, and our resolve to avert negative impacts on the economic rebound and transformation that is being witnessed,” Dr. Musokotwane added.