Zambia clinches K3.14 billion from Germany

The Germany government has awarded Zambia €108 million (about K 3.14 billion) to bolster the country’s development agenda over the next two years. This pledge includes €26 million (K758 million) previously pledged for drought relief and resilience-building efforts.

This follows negotiations by the two governments which were concluded on yesterday.
Secretary to the Treasury in the Ministry of Finance and National Planning Felix Nkulukusa led the Zambian delegation.
Ambassador Dr. Anne Wagner-Mitchell and Dr. Frank Hofmann, Head of Division for Southern Africa, Federal Ministry for Economic Cooperation and Development (BMZ), led the Germany delegation, which focused on aligning development cooperation with Zambia’s national priorities as set out in the 8th National Development Plan.

According to a statement from the Germany Embassy in Lusaka, Germany’s new commitment of K 3.14 billion will be implemented through financial and technical assistance in the key areas of good governance, access to clean water as well as nutrition and food security through climate-resilient and sustainable agriculture. The statement says efforts will also be boosted in diversifying Zambia’s energy sector and promoting renewable energy.

This substantial commitment reinforces Germany’s role as a key partner in Zambia’s development, with total bilateral cooperation since 1964 surpassing €1.4 billion (K 40 billion).

Speaking during the negotiations, Dr. Hofmann, Head of Division from BMZ, stated, “Our partnership with Zambia is built on a foundation of trust, collaboration, and shared values. We are committed to supporting Zambia in navigating current challenges while building a resilient and sustainable future for its people.”

In light of the current drought, Germany has allocated €26 million (about K758 million) to support Zambia’s response to the ongoing, devastating drought. This financial support will be primarily channelled through the World Food Programme (WFP) drought relief, and resilience-building projects.

Furthermore, the United Nations agencies UNICEF and UNHCR will receive support to combat nutrition deficiencies among vulnerable groups, including pregnant women and young children.

Mr. Felix Nkulukusa said, “I am happy to note that the €108 million committed will contribute to good governance, water and sanitation as well as food and nutrition security”.

Mr. Nkulukusa further stated that the support towards these sectors is commendable considering that this is a direct contribution to addressing the pressing challenges that the country is currently facing.
In addition, Mr. Nkulukusa emphasised that the support towards the good governance, water, food and nutrition sectors will contribute to the overall aspirations of the Eighth National Development Plan of attaining social economic transformation for improved livelihoods.

Further, both sides underscored the importance of reinforced efforts at implementing policies and reforms as a foundation for sustainable development which leaves no one behind.

Germany commended Zambia’s ongoing reforms in public financial management, recognising the country’s strides in fostering transparency and accountability. This aligns with Germany’s broader development cooperation framework, which prioritises democracy, rule of law, and inclusive economic growth.

Germany Ambassador to Zambia, Dr. Anne Wagner-Mitchell, stated, “We commend the Government of the Republic of Zambia on its efforts to analyse and address structural impediments to inclusive and sustainable development. The strive to implement the necessary reforms are the foundation for our long and committed development cooperation. We are proud to continue supporting these endeavours, which are vital for the country’s long-term prosperity.”

The successful conclusion of these bilateral talks marks a significant milestone in the 60-year history of bilateral relations and cooperation between Germany and Zambia. With a shared commitment to addressing Zambia’s pressing challenges, including the current drought, and to advancing long-term development goals, both countries have reaffirmed their dedication to building a sustainable and resilient future.

By Benedict Tembo