An International Monetary Fund (IMF) team led by Mission Chief, DAN GHURA, has completed its STAFF VISIT to Zambia.
The team has been in the country from November 13, 2019.
During their tour of duty, the team conducted data exchange and policy consultations on measures that the Zambian Government is undertaking to address some of the current macroeconomic challenges.
The IMF team also discussed with the Government, recent developments in the Zambian economy such as the macroeconomic situation, the Governments policy response, and the progress made in the implementation of austerity measures.
During the staff visit, the IMF team met the President of the Republic of Zambia Mr. EDGAR LUNGU, the Bank of Zambia, the Zambia Revenue Authority, Cooperating Partners, Civil Society Organisations and the Business Community.
The Government and the IMF both acknowledge that the country continues to face macroeconomic vulnerabilities. Key among them is the impact of climate change on electricity generation and food production. The parties agreed that the stated vulnerabilities have pass-through effects on the rest of the economy.
Based on the assessment of the fiscal situation, the IMF and the Government further agreed that urgent implementation of policy adjustments related to debt management and fiscal matters will be essential in restoring the country’s fiscal and debt sustainability.
During the various policy level and technical sessions, the Government reiterated its commitment to continue implementing measures that have been pronounced in the past that are aimed at restoring the country on a high growth trajectory and ensuring debt sustainability.
The Government will maintain close contact with the Fund in finding solutions and ensuring that policy interventions are undertaken to address challenges and vulnerabilities that the country is currently facing.
The Government will use the outcome of the just ended IMF staff visit to build a firm basis for a defined sustainable macroeconomic path, which is critical for restoration of macroeconomic stability and forms a basis for future engagement with the Fund.