Secretary to the Treasury Felix Nkulukusa says Zambia’s economy has recorded stronger growth and improved fiscal discipline in the post-COVID period, signalling a shift from years of economic strain to renewed stability.
Mr. Nkulukusa has said this during the Ministry of Finance Town Hall Meeting held in Lusaka on Thursday, where he presented data on the country’s economic performance.
He has noted that between 2015 and 2019, Zambia’s average annual Gross Domestic Product (GDP) growth stood at about 2.1 percent, a period marked by fiscal pressures and subdued expansion.
However, from 2021 onwards, the economy rebounded sharply, with average growth rising to about 5.2 percent.
He has attributed the improved performance to policy reforms, better macroeconomic management, and recovery in key sectors such as mining, agriculture, and services, which have helped restore investor confidence and economic activity.
Mr. Nkulukusa has also highlighted progress in fiscal consolidation, stating that the budget deficit is projected to close at below 5 percent, down from around 9 percent in 2021.
Public spending has been reduced from 37 percent of GDP in 2020 to 28.5 percent in 2025, with projections to average 25 percent over the medium term, despite increased social spending and the Government’s response to the 2023/2024 drought.
By Rachel Mumba
