CHOMBA MUSIKA
Lusaka
THE International Monetary Fund (IMF) says initial discussions relating to a “successor [funding] arrangement” with Zambia could start next month.
This follows Zambian authorities’ restatement of their interest in a successor arrangement, the IMF said in a statement yesterday.
“[IMF] staff emphasised that the next phase of engagement should focus on further strengthening of macroeconomic stability and advancing reforms to improve the business climate and support private sector-led growth.
“In this context, staff noted that initial discussions could begin as early as late April,” reads the statement issued at the conclusion of a visit by the IMF staff team led by Edward Gemayel to Zambia.
“More engagement is expected after the general elections, which would allow for greater clarity on policy priorities,” the statement reads in part.
The IMF staff team visited Zambia from February 26 to March 4, 2026, as part of the Fund’s regular engagement with Zambian authorities and other stakeholders.
And Mr Gemayel said Zambia has made substantial progress in restoring macroeconomic stability under the recently completed IMF-supported programme.
“Public external debt has been largely restructured, international reserves have strengthened, growth has picked up, and inflation has continued to decline,” he said.
“Growth projections for 2025 and 2026 have been revised downward and fiscal pressures are emerging.”
Mr Gemayel added: “Staff emphasised the need to transparently incorporate all spending pressures into the fiscal framework, supported by credible contingency measures, while preserving the hard-won stabilisation gains achieved under the programme.”
He said the IMF team held constructive discussions with Zambian authorities on recent macroeconomic developments.
“The economic outlook remains positive, although downside risks have increased amid domestic challenges and heightened global uncertainty,” Mr Gemayel said.
The IMF team thanked Zambian authorities and all stakeholders for their open and constructive engagement.
The IMF executive board completed a six-month final review of the 38-month Extended Credit Facility programme for Zambia…
