Friday, February 23, 2024

Zambia projects 3.3% GDP growth in 2021, targets 3.5 GDP growth this year

Share

The Zambian government has projected a modest 3.5 percent rise in its Gross Domestic Product (GDP) for 2022, a small rise from the 3.3 expected to have been attained last year.

This is contained in the 2022-2024 Medium Term Budget Plan released by the Ministry of Finance.

By 2024, the country’s GDP is expected to rise to 4.4 percent following strategic interventions in the agriculture, tourism, mining, manufacturing, energy, and transport sectors.

It said the economic outlook for 2022 and the medium term is more positive as the pandemic wanes although there are challenges of slow growth, high inflation, and high debt levels exacerbated by the after-effects of the Covid- 19 Pandemic.

“The macroeconomic objectives over the medium term will be aimed at addressing these challenges in order to restore macroeconomic stability, attain fiscal and debt sustainability, restore economic growth and improve human development,” the paper reads.

The 3.3 percent projected growth in 2021 was due to favourable performance in the agriculture, energy, construction, and Information and Communication Technology sectors, based on performance in the first three quarters of the year.

The mining sector was projected to record lower output relative to 2020, as open-pit mines faced operational challenges due to heavy rains in the preceding season, coupled with reduced ore grades at some mines.

Tourism activities were projected to remain low, on account of the resurgence in the COVID-19
pandemic which had led to low international tourist arrivals.

13 COMMENTS

  1. A positive GDP growth in less than a year despite the economic , social and political mess left by lungu and his gang……….

    The bally effect…………

    4
    6
  2. With HH as President, GDP growth will go back to the Mwanawasa days of 7% plus. He still has 4 years and 7 months to be evaluated. He will achieve

    8
    4
  3. #4  Deja Vu 
    February 8, 2022 At 9:06 am

    “That .2 percent will come from maize exports I presume?..”

    That growth is due only to the sanity brought to all systems of governance and social spheres………….

    Wait for the real economic economic benefits of this new GRZ…………..

    4
    5
  4. Looks a. Good document It should clearly speak to the 4 pillars and set indicators for evaluation over the Planning and implementation periods in a 2 year rollover strategy building on as oppossed to saying it’s not our budget It’s a National The budget outlook must be within potential best potential growth outlook given the current structural and potential productivity’ outlook in the sectors outlined to achieve growth of 3.5 to 4.4% for periods The tipping point will be how 2022 budget performs Global growth is revised at 5.9% and Regional markets follow trades and flows The Macroeconomic economic indicators could give also a best forecast for energy and oil for achievements of those multipliers Oil likely to trade in the region $80 to $120 given the risks and also Saudi recent…

  5. Imwe Ba PF Kawabata fye. And I want to bet with any PF cadre here – come December me I’m going on holiday and spend my kwachas- worry free, cos I’m 1000% assured that by Dec this year, GDP will not even be 3.5 but above 4%. Kwacha to dollar will be at 10/dollar. Inflation will be at 9% & below. CDF wud ve achieved its first results, New businesses legally owned Zambians will be everywhere. Zambia will from 2023 start becoming a successful model for Africa.

  6. It’s a good document but it should speak to global Regional revised outlooks and see the monetary developments including the energy prices outlooks that are developing The spending in the 2022 Budget will mark the miles stones towards the projected 4.4 growth target over the medium term It should be like a plan that should speak to budgets and outlooks in the 2 year following way with clear performance evaluation It should clearly speak to the 4 pillars that are set to be achieved As it is given the structural and risks that will continue the growth outlook is out of cynic It must give also projections on kwacha rates and energy price outlooks because productivity is such as affected by that.lastly the new budgeting environments must relate to and be seen in this Otherwise good document…

  7. The budget growth outlooks are on the opportunistic side like budget flux They will need to be revised to structure and cyclical economic global developments to a avoid elevated budget deficits and budgetary balances Then let’s see how it relates to individual sectors and areas in multipliers for each and agree the spending now to see the achievement and evaluated As it is it’s a final document to recast to fit those pillars to fit also into the 2030 vision

Comments are closed.

Read more

Local News