The International Monetary Fund has urged President Hakainde Hichilema to urgently take steps restore economic sustainability while protecting the vulnerable and creating more inclusive growth.
Speaking at the end of the mission staff virtual visit to Zambia, team lead Allison Holland said there is an urgent need to implement economic reforms that will ensure a return to growth.
“We welcomed the opportunity to hear an update on recent fiscal and macroeconomic developments and learn about the new authorities’ reform priorities that focus on restoring macroeconomic stability, re-establishing fiscal and debt sustainability, generating growth, and improving human development,” Ms. Holland said.
“In light of the deeply challenging macro-economic environment that prevails, the new administration faces an urgent need to take steps to restore sustainability while protecting the vulnerable and creating more inclusive growth,” she said.
Ms. Holland said the discussions last week provided the IMF with a better understanding of how the authorities’ reform priorities are informing their 2022 Budget preparations.
“We look forward to discussions on a Fund-supported program in the near future.”
The IMF team met with Finance Minister Situmbeko Musokotwane, Acting Governor of the Central Bank Francis Chipimo as well as other senior government officials.