Lusaka, Zambia: Mr. Nigel Clarke, Deputy Managing Director of the International Monetary Fund (IMF), issued the following statement at the conclusion of his visit to Zambia from May 4-6:
"I would first like to thank H.E. President Hakainde Hichilema, Minister of Finance and National Planning Situmbeko Musokotwane, and Central Bank Governor Denny H. Kalyalya for their warm hospitality and constructive discussions on my first visit to Zambia as Deputy Managing Director of the IMF.
"Progress on Zambia's economic reform program supported by the IMF's Extended Credit Facility has been strong, despite repeated external shocks. Since the program was approved in August 2022 and augmented in 2024 (See Press Release 24/242) , it has provided critical support—both financial and policy-based—and helped to anchor Zambia's landmark debt restructuring under the G20 Common Framework and navigate last year's severe drought.
"Zambia's remarkable progress has centered on restoring macroeconomic stability, including fiscal and debt sustainability, and implementing reforms. Notable reforms include the removal of fuel subsidies, strengthened debt management, and the roll-out of a reformed agricultural input subsidy—the e-voucher system—which increased competition in input delivery, reduced costs, and supported job creation.
"These achievements have been particularly impressing given the challenging external and domestic environment. In my discussions with the authorities, I also welcomed their commitment to strengthen governance and anti-corruption policies.
"Going forward, the policy environment remains challenging. As in many sub-Saharan African economies, Zambia must navigate weaker global trade, elevated uncertainty, and declining external assistance. Continued reform momentum will be essential to build resilience, mobilize domestic revenues, and create fiscal space to support inclusive growth. Structural reforms to improve productivity and support private sector activity will help boost inclusive growth, delivering the much-needed jobs for Zambia's vibrant youth.
"I am also grateful for the opportunity to engage with University of Zambia students and faculty, representatives of the private and banking sectors, and Zambia's development partners. I appreciated the candid discussions on the impact of recent global and domestic economic developments on Zambia and exchanged views on how we can best partner with Zambia on its journey towards a more resilient and inclusive future.
"I leave Zambia optimistic about the country's future—encouraged by the authorities' determination to continue on their reform path, and reassured by the Zambian people's resilience. The IMF remains a close partner in supporting the country's journey to lift the living standards of the Zambian people."
