By The World Bank, as reported on Friday, has provided Zambia with $600m to invest in various sectors of the economy and budget support for the next three years.
The sectors to invest in are agriculture, energy and rural roads, according to the various sources.
The bank also committed itself to increasingly support Zambia under the International Development Association (IDA), said the Minister of Finance, Felix Mutati after a meeting he had with the World Bank Executive Director for Zambia, Andrew Bvumbe, who is in the country for consultations.
“I am proud that the World Bank Executive Director has come into Zambia at the time when the economy has begun to stabilize and macro fundamentals are cheerful,” Mutati expressed his gratitude.
“We have received commitment from the World Bank for increased resources and about $150 million will be in form of budget support,” he said.
“Out of the announced funds, the agriculture sector will receive $255 million to support irrigation and agribusiness, and the energy sector will receive $280,” the finance minister explained.
Mutati said that under the IDA program, the bank will further dedicate $200 million for improving rural roads in order to support the agriculture sector.
The minister informed the press that the government had agreed with the World Bank to utilize the resources to transform critical sectors to address poverty, job creation and inclusive growth.
Andrew Bvumbe, the World Bank official in his words, welcomed the government’s focus on prioritizing development in agriculture, rural road development and energy, which are keys to creating jobs and enhancing economic development.
“I am delighted to be here, happy with the updates I got from the minister on the economic front and macro fundamentals that are good. We have a good foundation to move forward and make a difference in the lives of ordinary Zambians,” said the official.
Mr. Bvumbe also appreciated the government on the progressive discussions with the International Monetary Fund (IMF) which are in plans to be concluded soon.
“We are happy with how the decisions with the IMF are moving. On the policy level, we are converging with the fund and this is important for us to move forward. We are looking forward to the conclusion of the discussions between Zambia and the funds,” he said.
Reporter: Shamililah Namuddu