President Hakainde Hichilema has approved the establishment of a new Development Finance Institution (DFI) aimed at boosting access to medium and long-term financing for national development projects.
The decision was made during the 6th Cabinet Meeting held at State House on Monday, 13th April 2026, as part of broader efforts to strengthen Zambia’s economic development framework.
Minister of Information and Media, who is also Chief Government Spokesperson, Cornelius Mweetwa says the new institution will serve as a dedicated development bank to support projects outlined in the country’s National Development Plans.
The government says the move is intended to address the financing gap that emerged following the dissolution of the Development Bank of Zambia, ensuring that critical sectors have access to sustainable funding.
The new DFI is also expected to incorporate private sector participation to enhance corporate governance and reduce risks typically associated with fully government-owned financial institutions.
Cabinet says the initiative is part of ongoing policy and legislative measures aimed at accelerating national development and improving economic resilience.
By Rachel Mumba
