The Zambia Institute for Policy Analysis and Research-ZIPAR- has hinted that the country’s economy may not rebound in 2025 if the performance of the current rainy season fails to address ongoing energy and food challenges as a result of the drought.
According to ZIPAR Executive Director Zali Chikuba, a normal to above normal rainfall as projected by the Zambia Metrology Department, will be a significant factor in determining the fate of Zambia’s economy next year, with a lack of it expected to cause further challenges.
Mr. Chikuba has highlighted several factors that could contribute to a tightened economy and injured growth, such as load management, escalating inflation, food insecurity and drought, risks which he says require proactive measures by policy makers and government to mitigate the impact.
Speaking at the 2024 performance review and 2025 outlook media briefing in Lusaka today, Mr. Chikuba urged policymakers and government to prepare safety nets and consider another supplementary budget in 2025 to support social protection programs beyond the current plan.
And Mr. Chikuba says the energy sector remains key to Zambia’s economic progress hence the need to attract investments and stimulate growth, by achieving cost-reflective electricity tariffs to supplement ongoing efforts to improve efficiency in the sector.
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