By Amos Sikaonga 
By Cecilia Chiluba
Zambia Institute of Chartered Accountants (ZICA) says the country’s targeted budget deficit of 3.1% of Gross Domestic Product (GDP), reflects a positive shift toward fiscal discipline, bolstered by the successful conclusion of debt restructuring.
Zambia has targeted a 2025 budget deficit of 3.1% of GDP, down from 6.4% in 2024.
Speaking at a media briefing for the first quarter of 2025, Institute President Yande Mwenye however called for continued implementation of prudent fiscal measures and increased budget transparency to ensure long-term debt sustainability.
“While we commend this achievement, we urge continued implementation of prudent fiscal measures, effective project selection, and increased budget transparency to ensure long-term debt sustainability,” Mrs. Mwenye stated.
And Mrs. Mwenye said the International Monetary Fund (IMF)’s projected 6.6% growth for 2025, must be inclusive and climate resilient.
“Zambia posted 3% GDP growth in Q1 2025, up from 2.2% in Q1 2024. The IMF projects 6.6% growth for the year.”
“As ZICA, we emphasize that growth must be inclusive and climate resilient. We support policies that promote and incorporate MSME, green jobs, renewable energy investments, sustainable mining and agriculture,” she said.
Meanwhile, Mrs. Mwenye called on Government to extend eligibility under the recently launched K5 billion Stability and Resilience Facility (SRF) by Bank of Zambia, to households seeking to invest in renewable energy equipment such as solar panels, batteries, and inverters.
She said this will support the national goal of achieving 1,000 Megawatts from rooftop solar solutions.
Towards the end of 2024, the Bank of Zambia launched a K5 billion Stability and Resilience Facility to support economic recovery owing the drought experienced in the 2023/2024 rain season.
With regards to the agriculture sector, Mrs. Mwenye called for the protection of farmers from exploitation by briefcase buyers and stronger regulation of market access.
She urged Government to prioritize support to small-scale farmers as the 2024/25 rain season comes to an end, with signs of a better harvest emerging.
“In this regard we are hopeful that, the Food Reserve Agency (FRA) will expedite the setting of the floor price to protect our local farmers from being exploited leading to underpayment.”
“Additionally, Government should allocate more resources to the Zambia Agricultural Research Institute (ZARI) that has research centers such as Mount Makulu in Chilanga and others dotted across the country. We further urge for more funding in weather monitoring agencies and invest in early warning systems, including collaborations with NGOs and research institutions,” she added.
Cecilia Chiluba