2025 Budget Introduces Shock Absorbers, Builds on 2024 Economic Policies
Zambia’s 2025 budget, presented by Finance Minister Dr. Situmbeko Musokotwane, outlines a strategic approach aimed at economic recovery amidst challenges caused by climate change.
The budget, themed “Building Resilience for Inclusive Growth and Improved Livelihoods,” builds on the policy measures introduced in the 2024 budget and aligns with Vision 2030.
Economic expert Kelvin Chisanga notes that despite 2024’s positive economic projections, the nation’s performance was hindered by climate-related crises, particularly affecting energy and food sectors.
However, he emphasizes that the 2025 budget aims to set stronger macroeconomic targets, forecasting an annual growth rate of 2.3%, with potential for a rebound if favorable conditions persist.
Mr. Chisanga highlights that the budget includes shock absorbers to protect Zambia’s economic stability while enhancing resilience through external buffers and safety nets.
Despite the lack of tax rebates, the government will maintain policy continuity, focusing on human capital development, job creation, and prudent resource management.
He adds that critical sectors such as healthcare and education will receive ongoing support, especially to help vulnerable communities impacted by drought. Social funding initiatives will remain in place to mitigate the effects of climate change and drive Zambia’s long-term economic transformation.
