Zambia Shifts from Promises to Real Economic Delivery
Minister of Finance and National Planning, Dr Situmbeko Musokotwane, has said recent Cabinet resolutions mark a decisive shift from policy intent to stronger economic execution aimed at easing cost-of-living pressures, strengthening energy security and restoring confidence in Zambia’s economic management.
In a statement following Cabinet’s 25th Meeting, Dr Musokotwane said the decisions should be viewed as a single, connected economic package rather than isolated policy announcements, noting that they were deliberately designed to respond to the realities faced by households, businesses and investors.
He explained that the resolutions focus on translating macroeconomic stability into tangible outcomes that reduce living costs, support decentralised development, protect workers, attract private investment and modernise key economic institutions.
“The task before us is not simply to stabilise the macroeconomic numbers, but to ensure that stability is felt in households, communities, farms and workplaces,” Dr Musokotwane said.
The Minister said Cabinet approvals span several interlinked areas, including fuel and food cost management, expansion of local energy and infrastructure, reforms to development financing, updates to laws and regulations, investment in health and pensions, labour protection, environmental safeguards and improved disaster preparedness.
According to Dr Musokotwane, measures such as the pilot bulk fuel importation programme are aimed at lowering fuel costs and improving supply reliability in a sector that directly affects transport fares, food prices and business costs. He emphasised that the pilot will operate transparently alongside existing market frameworks and will not undermine competition or cost-reflective pricing.
On energy, Dr Musokotwane highlighted the establishment of the Constituency Energy Benefit Trust under the Presidential Constituency Energy Initiative as a key governance reform. He said the Trust structure provides clarity on ownership, benefit-sharing and accountability for decentralised energy projects, while allowing communities to hold equity in local infrastructure.
He noted that the initiative is expected to transform energy projects into long-term local economic assets, generating jobs and income while improving electricity supply across constituencies.
The Minister also underscored the importance of competitive procurement for renewable energy projects, saying transparent, rule-based selection processes would lower costs, attract credible investors and ensure wider sharing of economic benefits, while safeguarding grid stability.
Dr Musokotwane said legislative reforms covering capital markets, climate finance, pensions, fisheries and electricity grid operations are intended to strengthen trust, predictability and credibility in Zambia’s economic framework, making it easier to mobilise long-term investment.
He further pointed to reforms in health, pensions and labour standards as essential economic measures, noting that a healthy workforce, protected savings and fair labour practices are increasingly critical to competitiveness in global markets.
Dr Musokotwane added that Cabinet’s approval of Zambia’s contribution to the African Development Fund reaffirmed the country’s commitment to regional development and access to affordable long-term financing for infrastructure and resilience projects.
He said that while each resolution stands on its own, together they form a coherent execution agenda aligned with the Eighth National Development Plan and the 2026 National Budget.
“If implemented with discipline and integrity, these measures will help turn macroeconomic stability into real improvements in people’s lives through more reliable energy, lower cost pressures, better services and stronger local economies,” Dr Musokotwane said.
