Successor deal to focus on growth – Musokotwane
PHILLIP CHISALU
Lusaka
GOVERNMENT has announced that it will not pursue a oneyear extension of the current Extended Credit Facility (ECF) with the International Monetary Fund (IMF), but will instead engage the Fund on a successor programme.
In August 2022, Zambia entered a 38-month US$1.3 billion ECF arrangement to restore debt sustainability, foster economic growth and strengthen governance.
Although the country initially sought a 12-month extension last year, Minister of Finance and National Planning Situmbeko Musokotwane revealed that the programme will be concluded by mid January 2026.
Dr Musokotwane explained that the decision to complete the sixth and final review of the current arrangement followed careful consultations. He said the successor programme will continue to address debt restructuring commitments while incorporating evolving priorities such as economic growth ambitions and medium term development needs.
“Other evolving economic priorities, especially economic growth ambitions and other medium term development needs, shall also be addressed,” Dr Musokotwane said.
He stressed that the move should not be misunderstood as disengagement from reforms, noting that Zambia has successfully completed all reviews under the IMF supported programme. A staff level agreement on the final review was reached last month and awaits IMF Executive Board approval…https://enews.daily-mail.co.zm/welcome/home