Zambia targets 5% GDP growth rate, 6.1% by 2020

Zambia’s economy will grow by 5.0 percent in 2018, 5.1 percent in 2019 and 6.1 percent in 2020, up from 4.3 percent in 2017, the ministry of finance said in a statement on Sunday.

The country’s fiscal deficit is expected to be 7.0 percent in 2017, 6.3 percent in 2018 and 4.3 percent in 2019, then drop to 2.6 percent in 2020, it said.

While Inflation is expected to remain 6 to 8 percent from 2017 to 2020, the statement was released by the secretary to the treasury, Fredson Yamba.

Government said that its specific broad socio-economic objectives during the 2018-2020 will include, maintaining single digit inflation in the range of 6-8 percent.

Accelerating the diversification of the economy, particularly towards agriculture, manufacturing, tourism and energy,
And the enhanced use of Information Communication and Technology, in accordance with the Seventh National Development Plan.

Increasing international reserves to at least 4 months of import cover; Increasing domestic revenue mobilization to not less than 18 percent of GDP by 2020; reducing the fiscal deficit to no more than 3 percent of GDP by 2020; Prioritising the dismantling of arrears and curtail further accumulation; and finally Decelerating the contraction of new debt to ensure debt sustainability.