Zambia Targets 7% Economic Growth as Government Shifts Focus to Investment and Jobs.

Zambia is targeting average economic growth of about 7% between 2027 and 2029, as the government moves its economic agenda from stabilising the economy toward attracting investment, increasing production, expanding exports and creating jobs. The target was announced by the Finance Ministry on September 28 as part of the country’s medium-term economic framework.

Growth Target Rises Over Three Years.

Under the government’s projections, Zambia’s economy is expected to grow by 6% in 2027, 7.5% in 2028 and 7.1% in 2029. The country’s 2026 budget had projected 6.4% growth for this year, although the International Monetary Fund currently has a considerably lower 2026 growth forecast of 4.3%.

The difference between the government’s projections and the IMF forecast highlights the scale of the expansion Zambia is seeking. The government says the improvement should come from increased investment and production rather than relying primarily on macroeconomic stabilisation.

Mining, Agriculture and Energy at the Centre.

Finance Minister Situmbeko Musokotwane said Zambia now wants to use the stability achieved through its debt-restructuring process as a platform for stronger economic activity.

The government is placing particular emphasis on mining, energy and agriculture, sectors that already account for a substantial part of Zambia’s economic activity. The medium-term plan also includes ambitions for stronger exports and increased employment.

Copper remains central to the strategy. Zambia is seeking to increase production while also attracting investment into other minerals that are becoming increasingly important to global energy and technology supply chains.

Debt Restructuring Changes the Economic Picture.

The growth strategy follows years of financial pressure after Zambia became the first African country to default on its sovereign debt during the COVID-19 pandemic.

The country has since completed a prolonged external debt-restructuring process, allowing the government to shift attention toward investment and economic expansion. Musokotwane played a central role in those negotiations and was recently reappointed as finance minister following last month’s election.

Zambia is also seeking a new programme with the International Monetary Fund before the end of 2026. Its previous $1.7 billion IMF arrangement ended in January.

The Challenge Behind the 7% Target.

The government’s target comes with a significant gap between its expectations and the IMF’s current forecast. Reaching 7% average growth will therefore depend on whether Zambia can convert improvements in macroeconomic stability into actual increases in production, investment and exports.

Agriculture remains vulnerable to weather conditions, while mining requires substantial capital and infrastructure. Energy supply and transport infrastructure will also influence whether businesses can expand production at the pace required by the government’s projections.

For Zambia, the next three years will therefore be a test of whether debt restructuring and improved economic stability can translate into broader economic growth, higher investment and more employment.

The government has set the target. The key question now is whether the investment and production needed to reach it can materialise.