Zambia's Economy To Grow By 3% In 2020 - President

Zambia’s President Edgar Lungu said on Thursday the country’s economy was expected to grow 3% this year, a slight reduction from the 3.2% growth previously forecast. Speaking during a meeting with diplomats, he also said the fiscal deficit was expected to shrink from 6.5% in 2019 to 5.5% in 2020, while inflation would remain within the range of 6-8%. 

Zambia’s central bank said in September the economy would grow 3.2%, based on urgent implementation of fiscal consolidation measures and unlocking of liquidity to productive sectors.

Lungu said on Thursday that fiscal consolidation would remain a priority to ensure sustained and inclusive growth.

Lungu said prospects for 2020 looked positive, with the nation having enough maize to last up to the end of July. 

Given the energy deficit that Africa’s second-largest copper producer was facing after drought hit hydropower generation, the government would encourage investment in alternative sources such as solar and wind, he said.