MAY & Co News/Insights
Where corporate law intersects news and innovation. Expert insights, trends, and practical advice for navigating the Zambian business landscape and embracing transformative legal solutions. Stay ahead, stay informed.
Our Firm's Insights
january to february, 2024
Hellen attends the Webber Wentzel Litigation Associate Foundation Programme
Our Associate Designate, Hellen Chitalu Chileshe, is attending the Webber Wentzel Litigation Associate Foundation Programme in Johannesburg this week!
Hellen will have the incredible opportunity to learn from the expertise of the Webber Wentzel team alongside peers from various jurisdictions.
We wish Hellen the best of luck and look forward to hearing about her enriching experiences at the Webber Wentzel Litigation Associate Foundation Programme!
We congratulate Hellen for Passing the ZIALE Legal Practitioners Qualification Exam.
We extend a hearty congratulations to Hellen Chitalu Chileshe for passing the Legal Practitioners Qualifying Examination.
We are proud to have Hellen on our team, and her achievement serves as an inspiration to us all.
Please join us in congratulating Hellen on this well-deserved achievement.
january to february, 2024
Our Firm Welcomes New Talent
We are delighted to welcome three brilliant legal minds, George Mandanji, Grace Banda, and Diana Chileshe to our esteemed team at MAY and Company.
These talented individuals have recently joined us from the University of Zambia, bringing with them a fresh perspective to our legal practice.
As we continue to grow, we are committed to nurturing and developing young talents in the legal field. We believe in providing a platform for learning, growth, and hands-on experience, and George, Grace, and Diana embody the future of legal excellence.
Join us in welcoming these outstanding individuals to the MAY and Company family!
Mulopa Delivers a Message at the First Annual Chartered Institute of Arbitrators (CIArb) Young Members Group Zambia.
We are thrilled to announce that our Partner, Mulopa Ndalameta MCIArb, in his capacity as a steering member of the Chartered Institute of Arbitrators (CIArb) Global, delivered a message to fellow young arbitration practitioners at the first annual CIArb Young Members Group, Zambia Symposium, held on February 9, 2024.
Mulopa assured the practitioners that the YMG is the safe space required to educate, socialize and mentor them.
NOVEMBER to DECEMBER, 2023
Chanda and Harriet, recognized as Rising Partners by IFLR1000
We are thrilled to announce that our Partners, Chanda Musonda-Chiluba and Harriet Mdala, have been recognized as Rising Partners in Zambia by IFLR1000 , 2023 Edition.
Chanda Musonda-Chiluba has been acknowledged for her expertise in M&A and Banking & Finance matters, showcasing her dedication and proficiency in navigating complex transactions.
Harriet Mdala‘s recognition is well-deserved, with her exceptional contributions in M&A and Project Development.
This accolade not only reflects the individual achievements of Chanda and Harriet but also underscores the collective strength and capabilities of the entire MAY and Company team.
MAY and Company attend the Annual General Meeting (AGM) of the Zambia Association of Manufacturers (ZAM).
Last week, MAY and Company had the honour of attending the Annual General Meeting (AGM) of the Zambia Association of Manufacturers (ZAM).
During this significant event, we were privileged to witness the esteemed presence of the Minister of Commerce, Chipoka Mulenga, and the President of ZAM who both highlighted the pivotal role of efficient and effective Zambian lawyers in fostering a robust business environment.
Their acknowledgment underscores the importance of legal expertise in navigating the complex landscape of commerce, and we, at MAY and Company, are proud to contribute to this mission.
Thank you to ZAM for entrusting us with this responsibility, and we look forward to continued collaboration for a thriving business landscape in Zambia!
Spotlight on Natasha Lungu – Legal Trainee at MAY and Company
Meet Natasha Lungu, our dedicated Trainee Lawyer at MAY and Company.
Natasha explains what her days are like as a Trainee Lawyer at MAY and Company.
October to November, 2023
MAY and Company at The 2023 Beaujolais.
MAY and Company had the distinct pleasure of sponsoring and attending the Beaujolais event on November 16, 2023. It was a night filled with elegance, culture, and enriching connections.
We are proud to be part of such a vibrant business community, strengthening ties between French and Zambian entities.
A special thank you to the French Business Circle who made this event possible and to our fellow sponsors for contributing to the success of Beaujolais 2023.
MAY and Company co-sponsor The 2023 Beaujolais
As proud members of the French Business Circle, we are were honored to be one of the prestigious sponsors of this auspicious occasion.
Our very own Ms. Harriet Mdala, President of the French Business Circle, took the stage to share insights and perspectives at this remarkable event.
Law Association of Zambia’s Public Procurement Law Masterclass
Our Associate, Chilufya Lwando-Sinkala, had the privilege of attending the Law Association of Zambia’s Public Procurement Law Masterclass on Friday, October 13, 2023.
The Masterclass was a deep dive into the intricate world of public procurement within the context of the legal framework in Zambia.
Chilufya’s participation in this event highlights our commitment to staying at the forefront of legal expertise and bringing top-notch knowledge to our clients.
September to october, 2023
MAY and Company sign MOU with Zambia Association of Manufacturers(“ZAM”).
On Friday 15th September, 2023 we signed a Memorandum of Understand (MoU) with ZAM
Under this MOU, MAY and Company pledge our technical expertise to ZAM, enabling us to operate more efficiently and effectively.
With ZAM’s membership of 400+ companies, May and Company are strategically positioned to tap into the vast manufacturing base of this country. Additionally, our lineup of events throughout the year will provide you direct engagement with the entire spectrum of manufacturers, both small and large.
This MOU marks the beginning of a dynamic and collaborative partnership aimed at fostering growth and innovation in the manufacturing industry.
Yosa Yosa and Mulopa Ndalameta represent MAY and Company at Zambia Investment Summit
Mulopa Ndalameta and Yosa Yosa, had the privilege of representing MAY and Company at the Zambia Impact Investment Summit on 12th and 13th September 2023 in Lusaka.
The Zambia Impact Investment Summit is a significant platform designed to channel sustainable investment into the Zambian market, with a primary focus on key sectors such as mining, energy, and project development.
As a Firm, we look forward to exploring new opportunities, partnerships and projects that will not only benefit our clients and stakeholders but also the communities and environment in Zambia.
Embracing International Arbitration in Africa: Insights from the 4th Annual A3 Conference 2023
Our Partner, Mulopa Ndalameta MCIArb will be attending the 4th Annual African Arbitration Association Conference 2023 in Cape Town under the theme:
“International Arbitration in Africa: Transitions and Perspectives”.
This event brings together legal experts and professionals from around the world to discuss the evolving landscape of international arbitration in Africa.
We’re excited to learn from this conference and connect with others in the field.
Helzipe Halwindii to mentor at 2023 AbbVie & Baker McKenzie Young Lawyers Mentoring Program
Hlezipe Alexis Halwiindi, has been selected as a mentee for the prestigious 2023 AbbVie & Baker McKenzie Young Lawyers Mentoring Program!
This incredible opportunity is a testament to Alexis’s dedication, passion, and commitment to excellence in the legal profession. We couldn’t be prouder to have such a talented individual on our team
In this program, mentees like Alexis have a unique opportunity to participate in meaningful conversations with legal mentors. These discussions cover topics crucial to career progression and the development of specialist knowledge and professional networks.
At MAY and Company, we believe in fostering growth and empowering our team members to reach their full potential. Alexis’s selection as a mentee reflects our commitment to excellence and the continuous development of our team.
Market News
12th january, 2024
UNWTO PAINTS BRIGHTER 2024 FOR TOURISM
THE United Nations World Tourism Organisation (UNWTO) has painted bright prospects for tourism in 2024, saying the new year brings new opportunities for global tourism growth. UNWTO has identified the priorities for the sector, which include investments, education, youth empowerment and sustainability. In 2023, with the support of its members, the organisation successfully laid the foundations for all these priorities to be advanced or realised over the year ahead. “2024 looks set to be the year international tourism returns to pre-pandemic levels, capping a rapid and remarkable comeback. UNWTO has set the direction of travel, evolving its programme of work and moving even closer to its members on the ground. Now it’s time to look ahead and build a sector that offers even more for even more people and communities while also focusing on this year’s World Tourism Day theme: Tourism and peace, UNWTO said. Zambia will host the second UNWTO Regional Conference on Brand Africa themed “Promoting Africa to unlock the tourism sector’s growth potential” from April 16 to 18, 2024.
UNWTO said the conference is open to the participation of UNWTO member states, UNWTO affiliate members, and invited delegations, tourism professionals and technical experts, representatives of funding institutions and financial services, stakeholders from public and private sectors who drive the transformation of the tourism sector in Africa. UNWTO has also announced that the first UNWTO World Barometer of 2024 will be published later this month and provide a consolidated review of 2023 and a first forecast for this year. Further, UNWTO said its forecast to return to 95 percent of pre-pandemic levels in 2023 proved to be right. On spotlight on investments, UNWTO said with investments identified as a key priority for the sector, the organisation’s cooperation agreement with the
Development Bank of Latin America and the Caribbean (CAF) will further promote tourism investments in the Americas region. Investment guidelines will continue being released throughout 2024, emphasising opportunities in specific destinations. Last year also saw UNWTO join World Investment for Development Alliance (WIDA) to boost effectiveness of investment in the sector and its work towards the 2030 Agenda for Sustainable Development. On education and youth empowerment, UNWTO notes that true sustainable development can only be achieved by investing in people and supporting young talent, adding that 2024 will witness the first BSc in sustainable tourism management. UNWTO said this year looks set to be a huge test for international governance and order, global security, and coordinated climate action.
NEW BOZ LAW GOOD FOR STABLE EXCHANGE RATE – EXPERT
A RISK assurance and financial analyst, Bbenkele Haachitwe, says the introduction of the Exports Proceeds Tracking Framework (EPTF) will help to stabilise the foreign exchange (forex) market and promote acceptable business. behaviour. In a bid to strengthen the Kwacha and the economy, the Bank of Zambia (BoZ) has issued EPTF directives that will compel all exporters to open and maintain accounts with banks within the country. The directives will also allow BoZ to link the electronic balances of payments monitoring system with other government agencies, including institutions responsible for the collection of revenue or administration of import and export formalities. In an interview, Mr Haachitwe said the introduction of EPTF is not only timely but necessary, too.
“From the onset, I want to say that this is a good thing because it will help to stabilise the forex market and generally promote acceptable business ethics and behaviour,” he said. Mr Haachitwe said it is only right that investors operating and working in Zambia retain part of their sales proceeds in the country.
He said investors need not operate in a “vacuum” where there is a disconnect between them and the host community. Mr Haachitwe said in other jurisdictions, investors even tend to be offered citizenship when they invest a certain amount of money in a host country because government want them to have a sense of belonging. He is confident that the new EPTF requirement will succeed, owing to the favourable business environment that Government has created. He said in the past simi interventions failed because the main stakeholders the law targeted had reservations about some policies. He said for example, past, there was a mismatch between the mining taxation policy and regulations that demanded localisation of money from proceeds of minerals. “Now this time around under the New Dawn administration, mineral royalty tax is deductible and the current regime has guaranteed that the country will have a consistent mining policy,” he said. “On that basis, the ground is fertile for this legislation to succeed.” And Mr Haachitwe hopes that the new law will encourage a culture of honesty and adherence to ethics in business. He urged the business community to take advantage of Government’s goodwill and avoid practices such as under declaration of exports. He said dishonesty in business only breeds mistrust among policy-makers. Mr Haachitwe said for the economy to thrive, there is need to encourage honest dealings that will promote harmonious world relations and thereby contribute to economic growth.
ZAMBIA ON TRACT WITH WTO POLICY REFORMSAFRICAN STATES DOMINATE TOP 2024’s 10 ECONOMIC GROWTH SPOTS
AFRICAN countries have dominated the top 10 economic growth spots in 2024, with the International Monetary Fund (IMF) forecasting that six of the top performing economies are from the African region.
These countries are Ghana, Nigeria, South Africa, Ivory Coast, Tanzania, and Kenya. The IMF in its latest report showed that Africa’s economic outlook was looking up, and was expected to bounce back this year. The Fund saw regional growth improving moderately to four percent in 2024 from 3.3 percent in 2023. Ghana was projected to grow by 2.7 percent in 2024. The IMF forecast growth in Nigeria picking up to about three percent this year and next, while South Africa was projected to expand by 1.8
percent and 1.6 percent over the two years, up from a tepid b 0.9 percent in 2023. Bloomberg Africa Economist Yvonne Mhango in her comment on the report said: “Sub-Saharan Africa’s growth prospects are brightening. “Eight of the region’s top-10 biggest economies – which together account for another 40 percent of regional Gross Domestic Product (GDP) – will grow by a strong five percent on average.”
These included Ivory Coast at 6.6 percent and Tanzania at 6.1 percent. The two countries were reported to have done a good job of diversity-ing their economies and attracting foreign investment.
While this forecast was positive, the depreciation of African currencies against major currencies, particularly the United States dollar, turned into a major headache affecting trade balances, inflation
rates, and what people could buy with their money. Countries such as Nigeria, Kenya, and Zambia saw their currencies take a beating, dropping by double-digit per-centages. Also, countries were struggling with heavy debt bur-dens, leading to defaults in nations like Ghana, Zambia, and Ethiopia.On the other side, analysts were reported to remain cautious on Africa’s outlook in the immediate future. The pick-up in growth was coming from a low base after the setbacks suffered by the region during the pandemic, straining public finances and leaving many countries struggling with heavy debt burdens. Those had already triggered defaults in Ghana, Zambia and Ethiopia, with the IMF warning other nations remain at risk, and access to foreign capital markets is effectively closed. Moody’s Investors Service had a negative outlook on the credit of African sovereigns because of elevated debt-refinancing risks, and because it expects slower growth in China to dampen demand for the region’s commodity exports. Aurelien Mali, senior credit officer at Moody’s Sovereign Risk Group, noted that Africa’s ratio of debt to gross domestic product has risen to 60 percent on average. “Many of these countries have been running twin deficits – fiscal deficits and cur-rent-account deficits – in the post-Covid-19 period. They need to access external funding at a moment when you have a wall of maturities coming due,” he said. Moody’s estimates about US$5 billion of Eurobonds would come due in 2024 in Sub-Saharan Africa, with more than US$6 billion in 2025.
9th november, 2023
MORE ZAMBIANS ARE NOW FLYING
THE aviation sector has continued on its growth trajectory, with Zambia Airports Corporation Limited (ZACL) handling 581,193 passenger movements in the third quarter of 2023, compared to 507,103 and 524,853 over the same period in 2022 and 2019 respectively.
According to a statement issued by ZACL communications and brand manager Mweembe Sikaulu yesterday, the third quarter figures represent a year-on-year growth of 15 percent and a recovery of 111 percent from the pre-COVID-19 levels. She said from the statistics availed, international travellers accounted for 71 percent of total passengers in the quarter, whereas domestic ones accounted for 29 percent. She said domestic flights accounted for 66 percent of the aircraft movements whereas international ones accounted for 34 percent.
She cited the top five routes during the quarter under review as: Lusaka-Johannesburg,
Lusaka-Ndola, Lusaka-Dubai, Lusaka-Addis Ababa and Lusaka-Harare. Ms Sikaulu said ZACL recorded its peak passenger traffic in August this year as the month coincides with the summer season in Europe. She attributed the increased domestic passenger performance to events such as the 45th Association of Central African Central Banks Annual General Meeting and the Civil Air Navigation Services Organisation Africa
Regional Conference held in Livingstone, among other activities. Ms Sikaulu said domestic recovery, on the other hand, has been necessitated by the competitive pricing provided by Proflight Zambia and Zambia Airways on the local routes. However, there was a reduction in cargo, mainly carried on passenger planes during the quarter under review.
EMBRACE FOREIGN ENTITIES, PIA URGES PLAYERS
PENSIONS and Insurance Authority (PIA) has urged sector players to embrace foreign direct investment (FDI) by creating a favourable environment for foreign entities to grow their businesses. PIA acting deputy registrar – insurance Chishala Kabungo said in an interview during the PIA conference held in Lusaka last week that foreign companies in the insurance sector have come up with plans on how to pass on the mantle to local professionals once their businesses stabilise. Mr Kabungo said foreign investors prefer to manage their investments to ensure growth and stability before they can hand them over to local professionals. “These are people who bring quite huge investment in the country and they are not very comfortable to leave it just like that. We do allow them sometimes to bring in their own people, and there is a period in which they are supposed to appoint local people,” he said. During his presentation, there was a concern that most senior positions in the insurance sector are occupied by foreign experts. Mr Kabungo said PIA wants to encourage FDI by providing favourable conditions and creating a conducive environment in the insurance sector. He said the investors want to ensure that they train the local people just to ensure that their investments are in safe and capable hands. “We have quite a number foreign entities most of them say: give us three years we set up, establish then pass on the business to local people. So we see most of these CEOs who come to set up their businesses here and hand over to a local person and leave,” he said.
Mr Kabungo implored the local people to sharpen their skills and ensure that they acquire the necessary training. He said the notion that local business executives should be in top management is not supported by the law, and even if the law prescribed that, there was going to be a balance because there are many foreign entities that are serving more Zambian people:
Mr Kabungo said the current law prescribes that there should be a presence of a chief executive officer in Zambia and not that the person must be Zambian. “Under our licensing requirement regime, it is not a requirement under our assessment to assess the nationality of workers when we are issuing a licence. That is well handled by our colleagues under the Department of Immigration. “It is not a rampant problem as it was portrayed there (at the conference]. We have the numbers, there are quite very few CEOs of foreign origin. The big players have come up with plans to pass on the mantle to the locals,” he said.
ZAMBIA ON TRACT WITH WTO POLICY REFORMS
MINISTRY of Commerce, Trade and Industry Permanent Secretary John Mulongoti says a number of trade policy reforms have been implemented to conform to the World Trade Organisation (WTO) commitments and obligations. The organisation has come up with a number of trade policy rules, which member states are supposed to implement
Mr Mulongoti says the WTO rules and principles have been mainstreamed and crystallised in the country’s trade policy framework. He was speaking in Lusaka on Wednesday during the official opening of the Trade In Services (TIS) capacity-building workshop held at Best Western
Hotel in Lusaka. Mr Mulongoti said Government is grateful to WTO for the continuous provision of trainings and technical expertise to Zambia on trade-related matters. He said Zambia is privileged to benefit from the technical assistance and capacity building activities offered by
WTO through the Institute for Technical Training and Capacity Building. “Let me also take this opportunity to thank the Government of the Federal Republic of Germany, through GIZ, for the continued technical and financial support towards Zambia’s trade policy agenda under the ongoing broader support being offered to Zambia.
We acknowledge and appreciate this continued support,” Mr Mulongoti said. He said the General
Agreement on Trade in Services (GATS) is a multilateral legal text providing the rules that govern TIS. He said the agreement remains the only set of multilateral rules covering international TIS, adding that it reflects the gradual transfer of responsibility for many services from government-owned suppliers to the private sector. Mr Mulongoti said there. is need to underwrite and actualise the potential for TIS in transforming the economic landscape of WTO member states. In view of these projected
to make TIS commitments at the WTO in the business, construction, health and tourism sectors. Mr Mulongoti said this effort has also been replicated at various regional economic communities (RECs) that the country is a signatory to. He said Zambia is actively participating in negotiations with the Common Market for Eastern and Southern Africa (COMESA), Southern African Development Community (SADC) and the African Continental Free Trade Area (AfCFTA) on trade-related matters. Mr Mulongoti said at these regional platforms; commitments have been made in the financial, transport and telecommunications services sectors, among others. On the training, Mr Mulongoti says the National Working Group on TIS is cardinal in the participation of negotiations and making market access commitments in specific sectors. He said this requires continuous strengthening through capability building on contemporary TIS issues.
This signifies the importance of this training.
9th november, 2023
Zambia’s Economic Renaissance: Major Debt Restructuring, Mining Investments, and Infrastructure Developments
The Zambia Investor Briefing from October 2023 outlines significant economic developments in Zambia, highlighting major agreements, investments, and trends.
Debt Restructuring: Zambia reached an important milestone in debt restructuring by agreeing in principle to restructure $3 billion of international bonds with key creditors. This agreement, expected to provide $2.5 billion in cash-flow relief during the country’s $1.3 billion IMF programme ending in 2025, is crucial for similar future restructuring with private creditors. Earlier in the month, Zambia also secured a MoU with bilateral creditors, including China and the Paris Club, to restructure $6.3 billion in debt, significantly reducing immediate financial obligations.
Investments in Mining Sector: The International Holding Company (IHC) from Abu Dhabi expressed interest in investing in Mopani Copper Mines, a major Zambian asset currently controlled by Zambia Consolidated Copper Mines (ZCCM). This follows the sale of Glencore’s stake in 2021 for $1.5 billion. Competing for this investment is South Africa’s Sibanye-Stillwater, with two Chinese corporations withdrawing their bids.
Barrick Gold’s Commitment: Barrick Gold pledged nearly $2 billion to enhance copper production at the Lumwana mine, aiming to extend its operational life to 2060 and increase production to 240,000 tonnes.
Infrastructure Development: Several developments in infrastructure were highlighted. The African Development Bank and Africa Finance Corporation joined US and EU support for the Lobito Corridor, a trans-African railway connecting Zambia and the DRC to global markets. Additionally, Presidents from Zambia, Mozambique, and Malawi signed agreements for the Nacala Corridor in Mozambique, aiming to enhance trade routes and regional development.
Starlink Internet Service: Zambia became the sixth country to receive SpaceX’s Starlink internet service, offering high-speed broadband in remote areas, with plans to expand coverage.
Renewable and Sustainable Projects: The President hosted a delegation from K.E. International Consortium, discussing potential Public-Private Partnership projects in various sectors including renewable energy and agriculture.
Economic Indicators and Other News: The briefing also presented key economic indicators such as the currency exchange rate and volatility. Other news included Exxaro’s search for copper assets in Zambia, plans for selling a green bond, and various upcoming events like the Zambia International Mining + Energy Conference and Africa Tech Festival.
In summary, the briefing showcases Zambia’s strategic moves in debt restructuring, mining investments, infrastructure development, technological advancements, and renewable energy, signaling a strong focus on economic growth and international collaboration.
Historic Concession Agreement Signed for Lumwana to Kambimba Road and Border Post Project in Zambia
The groundbreaking PPP initiative aims to transform Northwestern Zambia’s Infrastructure and Connectivity:
In an event marked by optimism and forward-looking statements, key Zambian government officials, alongside private sector partners, convened at the Kansanshi Hotel in Solwezi on September 26, 2023, for the signing ceremony of a landmark Public-Private Partnership (PPP) project. This ambitious initiative entails the design, build, finance, operation, maintenance, and eventual transfer of the critical Lumwana to Kambimba Road and Border Post in the Northwestern Province of Zambia.
The ceremony kicked off at 08:30 hours with the arrival of invited guests, setting the stage for a day of significant progress. The high-profile event witnessed the attendance of notable figures including the Minister of Infrastructure, Housing and Urban Development, Hon. Eng. Charles L. Milupi, MP, and the Minister of Finance and National Planning, Hon. Dr. Situmbeko Musokotwane, MP.
After the national anthem and opening prayers, the Provincial Minister, Hon. Robert Lihefu, MP, welcomed the attendees with remarks highlighting the project’s importance for the region’s development. The atmosphere was elevated with entertainment before the commencement of the main event.
The concession signing ceremony began at 09:40 hours. Hon. Dr. Situmbeko Musokotwane, MP, Minister of Finance and National Planning, together with Eng. Grace Mutembo, the Director/CEO of the Road Development Agency, and the Director/CEO of the Concessionaire, inked the agreement in a move celebrated as a significant milestone for the country.
Following the signing, remarks were made by various stakeholders, including the Concessionaire, and ministers involved in the project. Each speech underscored the transformative impact the project is expected to have, not just on infrastructure but also on the economic landscape of Northwestern Zambia.
The Minister of Transport & Logistics, Hon. Frank Tayali, MP, delivered a project acknowledgment statement, emphasizing the national significance of the initiative. The event concluded with a vote of thanks and the national anthem, signaling the end of a historic day for Zambia’s development journey.
The Lumwana to Kambimba Road and Border Post project, now officially underway, stands as a testament to Zambia’s commitment to leveraging PPPs for infrastructural advancement and regional integration. The project is expected to enhance connectivity, stimulate economic activities, and contribute to the broader goal of sustainable development in the Northwestern Province and beyond.
ZR seeking investment in infrastructure
Zambia Railways Limited acting managing director Fred Mwila says the company is seeking smart partnerships to acquire funding for the recapitalisation of the railway infrastructure and rolling stock.
Speaking at the just-ended Southern African Railways Association (SARA) conference held in South Africa, Mr Mwila said the event provided an ideal platform for key decision makers to engage directly with sponsors, exhibitors and delegates attending the SARA event.
He said the rail share in Zambia was less than 10 percent due to lack of investment
21st October, 2023
BIG BRAINS ZAMBIA
ZAMBIA is next month set to host the ninth Edition of the Africa Think Tank Summit aimed at driving Africa towards a future of informed policymaking, particularly in the context of the African Continental Free Trade Area (AfCFIA). The summit from November 8 to 10, 2023, is also aimed to foster a collective spirit of cooperation and knowledge-sharing, This is the first time this summit is being held in the southern region and is expected to draw over 200 think tanks and a multitude of stakeholders. Briefing journalists on the summit on Tuesday, Nalituba Mwale, acting Commerce, Trade and Industry Permanent Secretary, said it emerged as a crucial platform, dedicated to addressing the challenges and seizing the opportunities presented by the AfCFTA. Ms Mwale said the summit would delve into critical sub-themes, such as understanding the AfCFTA to inform evi-dence-based policies, the role of think tanks in supporting its implementation, building critical capacities and skills, and fostering partnerships and coordination mechanisms. “By doing so, it endeavours to chart a roadmap for the AfCFTAs success.” she said in a speech read by Industry Director at the Minister Musokotwane Sichizuwe. Ms Mwale was confident that knowledge sharing and experiences could pave the way for effective policies and practices. She pointed out that establishing inclusive platforms for dialogue, public-private partnerships, and actionable recommendations would be instrumental in driving AfCETAs successful implementation. “In this context, the African Capacity Building Foundation (ACBF), in collaboration with key partners and stakeholders, is organising the 2023 Africa Think Tank Summit. “This summit is a platform for dialogue, bringing together over 200 think tanks and a multitude of stakeholders, including policymakers, SMEs, development practitioners, public institutions, civil society organizations, trade and farmer associations and academia,” Ms Mwale said. Speaking earlier, Africa Network of Agricultural Policy Research Institutes (ANAPRI)
Executive Director, Nalishebo Meebelo, was expectant that. the event would mobilise the participation of policymakers at various levels in the continent. Her expectation was that participants would discuss and generate strong actionable recommendations concerning the successful implementation of the AfCFTA agreement. Overall, she said, the AfCFTA aimed at increasing socioeconomic development, reduce poverty, and make Africa more competitive in the global economy. “The expected outcomes of the 2023 Africa Think Tank Summit include a summit communique, a comprehensive report of the summit, a newsletter, and news stories. “These outcomes will reflect enhanced understanding and commitment to contribute to the AfCFIAs implementation, presenting continental, region al, and national initiatives and interventions,” Dr Meebelo said.
ZAMBIA’S CREDIT PROFILE TO IMPROVE
Policy Monitoring and Research Centre (PMRC) says the signing of a memorandum of understanding (MoU) between Zambia and its Official Creditor Committee (OCC) will improve the country’s credit risk profile and access to international capital markets. Last week, Government announced that it had signed an MoU with OCC on the comprehensive debt treatment agreed in June 2023. Its OCC is co-chaired by China and France and vice. chaired by South Africa. The think tank has since commended Government for achieving major milestones in restructuring the country’s debt. It says the recently signed MoU is a significant step towards achieving long-term debt sustainability for the country. In a statement released yesterday, PMRC executive director Sydney Mwamba says the MoU has far-reaching implications on Zambia’s economy. The debt restructuring agreement has the potential to enhance the country’s economic outlook in multiple ways. Firstly, it can attract foreign direct investment (FDI) as the country becomes more financially stable and less risky for investors. “It will also contribute to a more stable macroeconomic environment, fostering growth and job creation. Improved fiscal sustainability through debt restructuring can also lead to better credit ratings, allowing Zambia to access international capital markets on more favourable terms,” Mr Mwamba said. He said the milestones achieved in debt restructuring signal a commitment to fiscal responsibility, instilling confidence in the economy. Mr Mwamba said this will lead to a generally positive economic outlook, with prospects for sustainable growth and development. According to PMRC, other benefits include relieving Zambia from the burden of unsustainable debt, providing the country with enough room for fiscal policies and budgetary allocation. “Upon the successful completion of the debt restructuring process, valuable resources will be freed up, enabling the Zambian government to allocate them towards the pursuit of its development objectives. This will be pivotal for reviving the economy and creating opportunities for the people of Zambia,” Mr Mwamba said. “The cooperation of official creditors, notably China, France, and South Africa, underscores the importance of international partnerships in resolving debt crises. PMRC acknowledges the vital role played by these co-chairs and vice-chair in supporting Zambia’s efforts,” he said. Mr Mwamba said the next step is for the country to engage with the private creditors, which is essential in ensuring that the debt relief measures are comprehensive and balanced. PMRC acknowledges the efforts which the Zambian government has made towards management of the country’s debt. Mr Mwamba said Government has enacted into law the Public Debt Management Act number 15 of 2022, to repeal and replace the Loans and Guarantees (Authorisation) Act. “The Act was introduced to stem excessive public debt and to formalise decision-making responsibilities relating to the contraction of public debt. It has introduced debt ceilings, strengthened parliamentary oversight of debt management by requiring the minister to present an annual borrowing plan to the National Assembly 90 days before the start of the next House business year, and improved debt reporting transparency.” it observed.
US FIRM LOOKING TO INVEST $3.5 BILLION IN ZAMBIA
We also delved into the possibility of replicating K.E. international’s successful investments in 12 countries across the African continent, and of particular interest is the Smart City in Kenya,” he said. “The facility is a 100 percent green project spanning five districts and featuring a 5,000-capacity medical tourism hospital, providing free universal healthcare to its citizens.” President Hichilema said Government is committed to unlocking new pathways for growth and harnessing previously untapped opportunities that will ultimately benefit the people of Zambia through tangible projects. K.E. International specialises in the establishment of large-scale sustainable and renewable projects. The firm has projects and clients in the USA, India, the Middle East and Africa, including the Democratic Republic of Congo (DRC) where it is involved in phosphates for fertilisers. The firm also has a portfolio containing more than $8 billion in projects which include the largest waste-to-energy power plant in the world, the world’s largest convention centre employing some of the latest technologies, a 5,000-acre purpose-built smart city being constructed in western Kenya, and a 1,245-acre sustainable city in Senegal. Meanwhile, President Hichilema yesterday met US acting special coordinator for the Partnership for Global Infrastructure and Investment (PGI) Helania Matza, who was accompanied by the American Ambassador to Zambia, Michael Gonzales. The President said their discussions centred on the developments around the Lobito Corridor and Zambia-Lobito greenfield railway, which connects Zambia and DRC with global markets through Angola. “This strategic corridor will be a game changer for regional connectivity, trade facilitation and benefit citizens through improved infrastructure, more export possibilities, and easier mobility for the people of our region,” President Hichilema said online. “We also, thanked Ms Matza for the special message from President Biden and wished her the best as she visits the region to advance ongoing PGI-led investments.
14th October, 2023
iiDENTIFii and ZANACO Bank Form Strategic Partnership to Drive Digital Financial Inclusion and Combat Identity Fraud in Zambia
A PARTNERSHIP to accelerate digital financial inclusion while dealing with identify fraud in Zambia has been formed by iiDENTIFii, an enterprise-grade provider of biometric identity solutions and ZANA-CO Bank plc. The recently formed partnership not only fosters financial inclusion but also strengthens data protection and security, driving positive change in Zambia’s digital landscape. iiDENTIFii founder and Chief Executive Officer, Gur Geva, said the firm’s objective in Zambia was to address challenges related to digital exclusion, limited access to services, and identity fraud. Mr Geva observed that many individuals across the continent lacked recognised identification, which hampered their access to banking, healthcare, and government services. He said in a statement that the partnership was designed to champion an identity solution relevant to the needs of Zambian consumers and citizens. He pointed out that working with financial institutions such as Zanaco was pivotal, saying by integrating identity verification solutions, the bank could extend its reach to underserved populations, enabling them to open bank accounts, access credit, and make secure transactions. “Digital platforms and networks are the foundation for a range of sectors such as banking and financial services, telecommunications, health and education.
“They contribute to the overall growth of the digital economy and are a critical point of access for finance and essential services. The biometric data of individuals is central to this, and often integrated with the e-identity, or e-government and e-commerce services,” he said.
Historically, biometric identification has been reserved for the privileged few with access to the latest technology. Remote biometric identification seeks to bridge the digital divide by reaching those underserved communities who have historically been excluded.
And Zanaco Chief Risk Officer, Mutisunge Zulu, pointed out that the bank’s digital banking solutions had significantly impacted underserved communities by breaking down barriers to financial access. He cited that through user-friendly mobile and online banking platforms, Zanaco had brought banking services to areas previously lacking access.
This, according to Mr Zulu, had led to increased financial inclusion, allowing individuals to save, transact, and access credit more easily.”Zanaco’s digital banking innovations have transformed customer experiences by providing much-needed convenience and accessibility. This has empowered them to make informed financial decisions, monitor their accounts more closely, and utilise services tailored to their unique needs.
STARLINK BEST FOR OPEN AREAS-WILL PUSH COST OF INTERNET SERVICES DOWN BY 50%
PARATUS Zambia commercial lead Geoff Hardwick has warned that the newly launched high-speed satellite internet service provider, Starlink, may not be suitable for cities because of the tall buildings which may interfere with satellite connectivity. Shedding light on the internet service provider, Mr Hardwick said it is important for Zambians to understand how Starlink operates to avoid labelling its launch as unsuccessful.
“When you install the equipment for Starlink, it automatically looks for the satellite. It may not work very well in high-rise areas or wooded areas because it would be difficult for the equipment to line up with the satellite. It is ideal for people in remote areas, where there are open spaces. “It is similar with DStv. When you place the equipment under a tree or where there are tall buildings, you might not be able to see the satellite. It is important that people understand how it works so that they don’t come back here and say it is a failure,” he said. And Mr Hardwick has described Starlink as a disruptive internet service, which will push the cost of internet services down by 50 percent. He said the satellite service provider is cheap with high speed and will definitely disrupt the local market. Mr Hardwick said so far the queries on the satellite service have been overwhelming, with Paratus Zambia having received 600 to 800 queries since the announcement was made last week on the launch of the satellite. We have a lot of inquiries that are coming through emails while some people are coming right to our doorstep to ask about the service. We have received queries from lodges, mines and even farms,” he said. Mr Hardwick said Starlink will greatly improve internet connectively, especially for lodges and businesses that are located in rural areas. Some lodges find it very difficult to make bookings online and the coming in of Starlink is a plus to them. At least they will be able to access a service that is quick and cheap,” he said. Mr Hardwick also clarified that Paratus Zambia is not Starlink but a reseller of its internet service. He said Paratus is there to install equipment for the customers and has a technical team to deal with all the queries about the service provider. Mr Hardwick said Paratus at the moment is only dealing with the business segment and not those seeking home use services. “We are focused on those that are in business. We are installing the equipment for them and also doing invoicing. Those that are seeking internet for home use can check on the Starlink website, he said. Mr Hardwick said the equipment for home use is fetching K10,000 while that of business premises has been pegged at K50,000. He foresees improved economic activities with the coming in of Starlink in that people that were unable to carry out certain activities because of low internet connectivity will be able to do so. Mr Hardwick also commended the Zambian government for being technologically progressive, looking at the successful hosting of the Digital Government Conference.
EV’s DRIVING TO CARBONLESS FUTURE
What a decade ago seemed far from reality has now become a common narrative – electric vehicles are no longer a feature on the movie screen, but a growing presence on our roads. EVs offer an opportunity to replace fossil fuels in the transport sector. Actually, the electrification of the transport sector also bring benefits in terms of increased energy efficiency and reduced local pollution. It is in this vein that Zambia and the Democratic Republic of Congo (DRC), with technical and financial support from the United Nations Economic Commission for Africa (UNECA) and the Africa Import and Export Bank (Afreximbank) and other strategic partners, are fostering the development of a robust electric vehicle battery (EVB) and renewable energy value chain and market in Africa. The initiative comes in the wake of global transition dynamics towards a decarbonised world and renewable energy, which require transformational shifts in various aspects related to the sustainable management of natural resources. Africa holds significant reserves of strategic battery minerals such as cobalt, lithium, manganese, graphite, nickel, copper, phosphorous, aluminium, and iron, which could support the emergence of a robust regional value chain for batteries, electric cars, and renewable energy. However, Africa only holds about three percent of the total global value chain of batteries and electric vehicles, with EVs already assembled in South Africa, Egypt, Morocco and Ghana. In particular, Zambia and the DRC are both well-endowed and produce high-grade strategic battery minerals, including copper and cobalt, which can be used to fuel economic transformation in both countries through the global desire for a more green energy-driven world economy. The initiative is expected to support the two economies to derive maximum benefits from the vast mineral resources, through creating value locally, and thus stimulating other economic sectors and activities, creating jobs and wealth for its citizens. Commenting on the development, ECA southern Africa regional director Eunice Kamwendo said Zambia and DRC should seize opportunities and move fast into the EV battery manufacturing space, whose market value is projected to reach USS46 trillion by 2045. “The energy transition and mineral-based transformation is sitting at an important inflection point at this point in global and continental history, and Africa is well positioned to benefit from its mineral resources as the world transitions to net zero. This is a huge opportunity for minerals-based transformation in Africa. “It is estimated that the electric battery vehicle market will grow to a value of USS8.8 trillion by 2025, and US$46 trillion by 2052, an almost six-fold increase in market value over the next 25 years. The growth in demand for rechargeable batteries is forecast to increase exponentially as global demand for storage of renewable energy grows. This is an immense opportunity for Zambia and the continent…holding the promise for Africa to make quantum leaps in development anchored on the clean energy transition,” she said. She emphasised the need to develop battery manufacturing special economic zones (SEZ) in DRC and Zambia aimed at attracting investments to add value to mineral products and generate jobs and contribute to economic transformation, while significantly expanding the government’s fiscal space for social-economic development and the much-needed structural transformation for economic resilience. “The countries will also contribute to global carbon reduction, a goal that we must pursue and contribute to. especially that Africa is bearing the brunt of climate change effects. “For Zambia and DRC the opportunities are vast, with large endowments in critical minerals: they are amongst the top critical minerals producers and have potential to provide active materials for lithium-ion battery manufacturing with substantial deposits of nickel, manganese, cobalt, graphite and lithium,” Ms Kamwendo said. Despite the potential posed by the growing demand for EVs, the sector is not without challenges, and financing infrastructure is a major one. It is understood that logistics play an important role as multiple minerals are involved as main raw material, so there is need for financial resources for infrastructure, power, rail and road networks. So finding innovative financial solutions for the various nodes of the battery value chain will be crucial. In this regard, the Zambian government last week hosted a consultative meeting on the establishment of special economic zones for EV battery manufacturing under the theme “Needs and financing mechanisms of special economic zones for the EV battery initiative”. Addressing the delegates, acting Minister of Commerce Trade and Industry Elias Mubanga urged banks to come on board with financing options towards the development of local special economic zones for EVs batter manufacturing. Mr Mubanga said Government is committed to ensure successful implementation of the Zambia-DRC EV battery joint initiative. He said Africa has potential to create wealth through efficient utilisation of its minerals. For the initiative to be successful, banks should come on board, make their contributions and offer financing mechanisms to support the project and its value chains. “The success of the joint initiative will address many of the economic challenges faced. This Is why government is determined to see that local people participate fully in this initiative to help the country’s economic transformation agenda,” said Mr Mubanga, who is minister of Small Medium enterprises
Development. And Permanent Secretary for investment and industrialisation John Mulongoti, said Government wants to see its citizens leverage on the critical minerals to develop a viable local EV battery manufacturing. “The success of the initiative rests on all stakeholders, especially local entrepreneurs to start developing EV battery manufacturing plants and eventually evolve to developing cars,” he said. To attract funding to support the development of local manufacturing of EV batteries, it is pertinent to create a conducive and internationally competitive environment to attract investments on high-tech products and to facilitate the entry of local entrepreneurs into the value chain. There is also need for skills enhancement to support domestic midstream in El battery processing through, inter alia, adequate capacitation of universities and technical trade schools to anchor research and development. ” Going forward, there is need to defining the reserve base through further mineral exploration to define the extent of the resource base to provide investors with information on the size of the reserve ores is important for investment attractiveness. About 45 percent of the country is geologically mapped, and mainly it is copper. About 45 percent of the country is geologically mapped, and mainly it is copper. Another critical issue is access to the raw materials. While more exploration is required, there is need to ensure that participants in the value chain have access to already existing raw materials. In fact, there are genuine concerns about meeting the future energy demand for charging EV batteries with clean and renewable sources. More importantly, the issue of long-term sustainability of EVs is underscored by the supply risks of critical material resources used in the EV batteries. Extraction of some of these material resources are linked to significant environmental impacts as well as social and ethical issues. However, the success of the EV battery manufacturing initiative will largely depend on whether Zambia and Zambians buy into it, and, secondly, whether the country can take practical steps to respond to the challenges and therefore seize the opportunities that exist.
8th October, 2023
TWO PARTNERS TO PROMOTE DIGITAL REVOLUTION
A partnership to catalyse Zambia’s digital revolution has been formed between Paratus Zambia and Lusaka Internet Exchange (LIXP). The Paratus Zambia Data Centre (DC) has seamlessly integrated LIXP within its facilities, facilitating high-speed connectivity and hosting solutions for all providers in the center. The partnership is expected to accelerate digital innovation and drive economic growth while significantly enhancing the quality of internet services for Zambia. Paratus Zambia Country Manager, Marius van Vuuren believes this would empower businesses and individuals to thrive in the digital age.
“Our company is dedicated to advancing Zambia’s digital capabilities and this partnership with LIXP is a further testament to our commitment,” he said. According to Paratus, its
DC integration with LIXP had attracted a roster of key industry players, including Paratus, Inq, MTN, Infratel, Zamtel, Zamren, Liquid Telecom, FibreCom, Airtel Zambia, among others. This convergence of industry leaders underlines the pivotal role LIXP plays in transforming the countrys digital landscape. The IXP like LIXP serves as a vital pillar of a robust digital ecosystem. It brings together internet service providers, content providers, and telecommunications companies to directly exchange internet traffic. This reduces latency, lowers costs, and spurs digital innovation, ultimately benefiting the entire country.
CHAMBER OF MINES NODS STATE’S AERIAL GEOLOGICAL SURVEYS.
The Zambia Chamber of Mines (ZCM) is confident that the decision by Government to carry out its own aerial geological surveys will expedite primary exploration of unconventional and new areas. ZCM Chief Executive Officer, Sokwani Chilembo, viewed this as an opportunity to improve the country’s attractiveness as already demonstrated by the country’s recently improved rankings in influential mining industry and continental risk surveys. Mr Chilembo said this in a statement reacting to the 2024 national budget pronunciations on the mining sector. He noted that Zambia had been covered in the 2022
Fraser Institute report after years of being omitted while the 2023 Oxford Economics and Control Risks Africa Risk Reward Index survey had found Zambia to be the continent’s most improved jurisdiction. “China Non-Ferrous Mining Corporation recently announced US$1.6 billion in investments in Zambia which adds to the big projects going on at First Quantum Minerals Kansanshi Mine, Barrick Lumwana Mine and KoBold Metals’ Mingomba tenement. “When taken all together with these investments and the positive ratings agency review after the debt deal, confidence is clearly on the rise as the challenging journey to tripling production progresses,” Mr Chilembo said.
LUANO IN $1.2M HONEY DEAL WITH U.S
Honey, a Zambian enterprise has clinched a USS1.2 million deal with the United States
of America (US markets for the export of 700 metric tonnes of honey for the next 12 months. Zambia Association of Manufacturers (ZAM) chief executive officer Muntanga
Lindunda disclosed this during the 2023 Zambia International Agriculture Financing and
Investment Summit (ZIAFIS) held on Wednesday. Ms Lindunda said Zambia’s honey is on high demand on the US and South African markets because it is organic. She, however, said it is easy to export the product to the US markets. “This is a good deal for the company. They have a farm where they produce their own honey and I am sure they will for incentives for the local be able to meet the demand. It was a lot of work and they had of doing business. to work with USAID just to put everything in place,” she said. Ms Lindunda said Zambian honey is organic and highly products and machinery for sought on international markets for health reasons. She observed that trade financing and facilitation
remains one of the biggest challenges facing local enterprises. Ms Lindunda, however, said ZAM has been advocating for incentives for the local manufacturers to ease the cost of doing business. She said the institution had proposed to Government to zero rate value added tax (VAT) charged on honey products and machinery for processing it in the 2024 national budget. Ms Lindunda said though the proposals were not considered in the 2024 budget, they would have helped the farmers, especially those in rural areas to earn decent income from the business venture. She said most beekeepers are in rural areas and the proposal would have greatly helped to improve their livelihood. And speaking in an
interview yesterday, Luano Honey managing director Mit Pandoliker confirmed the honey deal with the US market. Mr Pandoliker said the company is supposed to deliver 700 metric tones of honey to the US in the next twelve months and the first consignment of 20 metric tonnes left last week. He said the company has been working on the export project for three years but the deliveries were delaved due to COVID-19. Mr Pandoliker said the company works with close to 5,000 beekeepers, mainly those that are based in rural areas. And Ms Lindunda says most Zambian enterprises have very little information about the African Growth and Opportunity Act (AGOA), which is expiring in 2025. AGOA provides eligible sub-Saharan African countries with duty-free access to the US market for over 1,800 products, in addition to the more than 5,000 products that are eligible for duty-free access under the Generalized System of Preferences Programme. Ms Lindunda said Zambians can still take advantage of the initiative that is coming to an end in 2025 to export products to the US markets.
4th October, 2023
Vedanta will take back ownership of Konkola Copper Mines (KCM)
Vedanta will take back ownership of Konkola Copper Mines (KCM), four years after the group was removed from its operations in Zambia by Edgar Lungu’s government. It was announced earlier this month that Vedanta, owned by Anil Agarwal, will invest $1 billion over the next five years to revive KCM. It will also fund $250 million of payments to local creditors of the mine to restore its majority stake.
ZDA announces pledges by Chinese firms to invest in Zambia to the total of $1.4 billion.
Albert Halwampa, Director General of the ZDA, has announced pledges by Chinese firms to invest in Zambia to the total of $1.4 billion. This came during President Hakainde Hichilema’s six-day visit to the People’s Republic of China, undertaken to enhance the economic diplomacy between the two countries. There, he addressed the country’s potential investors at the Zambia-China Investment and Tourism Promotion Conference in Jinggangshan, Jiangxi Province. Hichilema’s itinerary also included visits to local authorities, various heads of industry, and investors.
US, EU Back Lobito Rail Project
At the G20 Forum in India, the US and the EU pledged their support of the Lobito Corridor Project, a trans-African railway line connecting Zambia and the DRC to regional and global markets through the port of Lobito on Angola’s west coast. As a first step, they will launch feasibility studies for a greenfield rail-line expansion between Zambia and Angola. The US and EU have also promised to upgrade critical infrastructure across sub-Saharan Africa in order to “unlock the enormous potential of this region”.
Once completed, the Corridor would offer the shortest route to transport exports such as critical minerals from inland to the coast, and will also greatly benefit the region’s import economy.
Bill Gates’ and Jeff Bezos’ backed AI Driven Mining Company to Produce Copper in Zambia
Silicon Valley start-up KoBold Metals has said it aims to start producing copper and cobalt in Zambia within 10 years. The company is investing $150 million in its development of a copper deposit at Mingomba in Copperbelt Province. Mfikeyi Makayi, KoBold’s Zambian CEO, said, “It’s a very attractive project and we have said within a decade we would want Mingomba to be a producing mine”. KoBold uses AI to facilitate its search for critical minerals including copper, cobalt, nickel, and lithium.
Development Company of China and the Guangxi Fenglin Wood Industry Group – to Launch a 4 million Hectare Carbon Offset Venture in Zambia
Zambia has signed a Memorandum of Understanding (MoU) with two Chinese companies – the Development Company of China and the Guangxi Fenglin Wood Industry Group – to launch a 4 million hectare carbon offset venture in the country. Across 5% of all land in Zambia, trees will be planted and forests preserved. This venture will produce 23.25 million carbon credits a year, and the scheme is set to employ of 65,000 people.
IMF and UNECA Enlighten Zambia on Inclusive Growth Path
The International Monetary Fund (IMF) and the United Nations Economic Commission for Africa (UNECA) held a lecture at the University of Zambia discussing policy measures to address economic and social issues in Zambia. This lecture, part of a series, focused on transitioning from economic stabilization to inclusive growth, aligning with Zambia’s 8th National Development Plan. Key topics included economic reforms, job creation, and social development, aiming to tackle Zambia’s high poverty and unemployment rates. The IMF detailed its support through debt restructuring and policy reforms to foster economic stability and growth. The event facilitated engaging discussions between the lecturers, students, and the representatives from IMF and UNECA, shedding light on various economic challenges and potential solutions for Zambia.
22nd September, 2023
ERB HINTS AT FUEL PRICE HIKE ON SEPTEMBER MONTH END – 2023
Energy Regulation Board(ERB). Chairperson Reynolds Bow says price indications of petroleum products on the international market are not good, heading into fuel pump price reviews next weekend. In an interview, Wednesday, Bowa said international price of petroleum products had continued to rise over the past one month and this was a concern. “The indications are not good, the international prices have continued to rise over the past one month and this is still on account that Russian production is still sanctioned and that OPEC countries continue to restrict their output. So, this forces the international prices to go up. In terms of the exchange rate, we watch it every day just as we watch the international prices. There has been some devaluation in the local currency. It’s not too bad, it has been moving slowly, which is a good indicator, but we wait until 10 days from now and we then will reach a conclusion on what the position is,” he said. And asked whether he would feel misquoted if this journalist reported that ERB had failed to rule out a possibility of petrol hitting K30 per litre, Bowa said he didn’t mention any figures. “No Chamuka, I didn’t tell you or mention any figures but what I’m saying is that international fuel prices have continued to rise, he said. Meanwhile, Bowa said
ERB felt the pressure regarding the current fuel pump prices. “We do feel the pressure (with where the current pump prices are). You know, we are very conscious of the fact that petroleum prices affect all aspects of our lives. Accordingly, if the price is too high, it has a ripple effect on other goods and services. That is why for the factors that we can’t control, we are trying everything possible to do so, said Bowa. “As I speak to you now, I am just on my way from Dar-es-Salaam where we have been conducting inspections of the pipeline to try and identify any bottlenecks that exist and do what can be done to smooth those out so that we can deliver petroleum products into the country as efficiently as possible. And all this is in an effort to keep the cost down”.
AFRICAN EXPERTS CHART WAY FORWARD FOR A.I
Experts at the Future of Artificial Intelligence, AI automation, and information security in Africa Global Summit 2023 have discussed the need to create technological solutions relevant to the continent. These experts working in Artificial Intelligence (A.I), automation, and information security in Africa are part of the technology players on the African continent. During the summit that took place in Livingstone recently, it was also acknowledged that A.I and automation had immense potential to contribute significantly to Africa’s industrial growth, economic development and improved livelihoods. The three-day summit was organised by Compu-Connect Education, an Information Technology (IT) and smart technology company. Compu- Connect Education is contributing toward raising awareness regarding A.I conversation in Africa following opportunities and challenges that the technology brings. Compu- Connect Education Chief Executive Officer, Sarah Luyele Namu, said the presence of several seasoned and experienced captains of industry at the summit served as proof of the significance of Al and information security. Ms Njamu, who served as summit chairperson, said the most urgent issues in artificial intelligence, automation, and information security were covered in each session during the summit, which was a masterclass in and of itself. She pointed out that the presentations were dynamic and related due to the speakers knowledge, competence, and passion to convey the summit in an engaging way. “The summit exceeded all expectations in its excellence. It was a great success mainly due to the event’s rigorous planning and excellent execution.” As Compu-Connect Education, we wish to thank the government of Zambia through the Ministry of Technology and Science and the media houses in Zambia for the unwavering support received during the preparation period and has committed to hosting this global summit in Zambia annually as a result of the initial events success,” Ms Njamu said.
CLEAN ENERGY TRANSITION PUSHING UP DEMAND FOR METALS, MINERALS, SAYS MINING CHIEF
By BUUMBA CHIMBULU BARRICK Gold Chief Executive, Mark Bristow, says the clean energy transition is creating an unprecedented demand for metals and minerals. According to Mr Bristow, the market’s demand for instant gratification while this was happening was driving Mergers and Acquisitions, which he believed was not always conducive to investment in sustainable projects but rather the delivery of short-term returns. “These growth projects are vital, not only for the resources needed for cleaner energy but for the development of emerging economies,” he said on Tuesday at the Gold Forum Americas conference. He also projected a 30 percent increase in production by 2030 on the back of the growth options embedded in the firm’s asset portfolio. He also pointed out that Barrick owned and operates six of the world’s Tier 1 goldmines, and was poised to expand this “best-in-class” asset portfolio through continued reserve replacement and the potential for new world-class discoveries being pursued across many of the world’s most prolific gold belts.” In 2019 our strategy for the new Barrick included a mandate to grow our copper business, which we recognised as strategically important at that relatively early stage,” Mr Bristow said. Meanwhile, Mining.Com reported that earlier this year, RBC Dominion Securities analyst, Sam Crittenden, detailed a looming shortfall in copper supply driven by the energy transition, which will require an additional one percent of supply, the equivalent of one large copper mine, coming online every year. Mr Bristow said once fully ramped up, Reko Diq and Lumwana were expected to become two of the world’s top 20 copper mines by annual production sustained over significant multi-decade mine lives. “If the forecasts of a copper shortage are even partly correct, this will give us a significant additional upside, Mr Bristow told reporters at the conference. “We not only have a sustainable, fully budgeted 10-year base plan, we also have a growth plan that sees us increase production by 30 percent by the end of the decade, which I believe is unique in our industry,” he said.
15th SEPTEMBER, 2023
MINING SECTOR TO SEE INFLUX OF UK INVESTOR SAYS ENVOY
THE United Kingdom (UK) is confident that Zambia will have an influx of investors in the mining sector from that country following the recently signed deal on critical minerals.
Zambia is among major copper producers in the world and also has deposits of critical minerals such as cobalt, manganese and nickel. Last month, UK Foreign Minister, James Cleverly, announced that his country and Zambia had signed a “ground-breaking” Memorandum of Understanding on cooperation in mining of critical minerals. This is aimed at generating US$3.17 billion of British private sector investment in Zambia’s mining, minerals and renewable energy sectors. Commenting on the deal, Zambian British high commission deputy high commissioner and development director, Sam Waldock pointed out five key focus areas for the agreement. Mr Waldock named these as geological mapping, UK investments into the mining sector, supporting environmental, social standards in the mining sector and local content which would help Zambians get maximum benefits from the mining sector. He said this in an interview on the sidelines of the 2023 Zambia Impact Investment Summit (ZIIS23) in Lusaka. “One of the most exciting things is that we just signed an MoU with Zambia on critical minerals and were happy to provide support to Zambia in five different areas. “We want the mining sector to produce jobs for Zambia and we want Zambians to take a bigger share of the mining sector to get more value out of it. We are supporting Zambian businesses in the value chains to make sure that when big mining firms come to Zambia they are not international, they are buying Zambian, he said. Mr Waldock said there were already a number of UK supported mining operations in Zambia that were opened in the last two years. He announced that more UK investment in the sector were currently in the pipeline. “We are excited about these. They are still in the pipeline and they require more work to be done, we are very excited about the potential of the mining sector in Zambia. “We also need to get copper production up and that is where we need the new investments to come in and that is where we are looking at more UK companies coming in, Mr Waldock said. He recalled that another deal had been signed with Zambia in 2020 on green growth compact targeting one billion pounds of new investments into the country. That, he said, had been delivered through different sectors into investing into Small and Medium Enterprises, noting that over US$1 billion investment had been invested.
THE ZAMBIA CONGRESS OF TRADE UNIONS (ZCTU) HAS URGED GOVERNMENT TO INCREASE THE PAY AS YOU EARN (PAYE THRESHOLD TO K7,000 IN VIEW OF THE HIGH COST OF LIVING.
Last year, government increased the PAYE tax threshold from K4,500 to K4,800 in the 2023 national budget. Giving his 2024 budget expectations, Tuesday, ZCTU president Blake Mulala said increasing the PAYE threshold to K7,000 would help cushion the high cost of living among citizens. “Our expectation is that we intend to see the non-taxable income increased from the current threshold of K4,800. And the reason we are calling for that is because there has been an increase in the food basket and it will be very important to see that it is increased from K4,800 to somewhere around K7,000 for the workers to meet the basic needs of life. Currently with the cost of living we are wondering how the workers are making it to meet their needs. And this has created a lot of I think people going to get credits from the individuals who are charging them at very high interest rates,” he said. “The cost of living has been a little bit higher, so, if this is going to be from K4,800, bring it to K7,000. That will be a relief to the workers because the K4,800, the cost of living in Lusaka for a family of five is almost going to K8,000, K9,000 and now if you have a K4,800, what is that now? So, this is what we expect to see on the Pay As You Earn and the non-taxable incomes. The minimum I think should at least [be] raised to K7,000”. Mulala also urged government to allocate more resources to the Ministry of Labour and Social Security in order for it to better undertake its obligations.
“Other than that, we expect to see more allocation to the Ministry of Labour. The Ministry of Labour has a critical role to play in our economy and this is a ministry which takes care of the players in the economy in terms of workers. For us to have a decent work agenda improved, we need to have an active inspectorate. There had been not much inspection being carried out by the Ministry of Labour and this is because of the poor budgets which they’ve been receiving in the past. And the Ministry of Labour in the eyes of Zambian workers, they would think that they are not helping matters. It’s not about helping matters but they’ve lacked the tools for them to go flat out and monitor compliance among the investors whom we have in the country. And the moment when the workers, who are the drivers of the economy are not motivated, our economy cannot grow,” said Mulala.
“This is a social justice we are talking about and if we cannot have more funding given to the Ministry of Labour, the dream of having decent work cannot be reached because the laws which are being formulated, the laws which are being put in place to regulate the labour industry, they are not kept, they are not obeyed. And the compliance levels cannot be monitored without an active team of labour inspections. This has left us in the past only to see that there are reactive types of inspections. And these reactive inspections are where we hear of an instance of maybe there’s an accident, maybe workers have protested and when the workers are now protesting, that now calls the attention of the ministry to say let’s go and check what is happening to company A or company B. So, from this budget, we expect more allocation to the Ministry of Labour”.
CEC BOOSTS ZAMBIA DRC CONNECTOR
COPPERBELT Energy Corporation (CEC) is currently installing reactive power compensation (RPC) equipment on its interconnector line with the Democratic Republic of Congo (DRC) to boost electricity transmission. The interconnector power transmission line between CEC and
Société Nationale d’Electricité (SNEL) of DRC was first built in the 1950s as a single-circuit line but it has been up-scaled to include two more transmission lines.
It now comprises three 220-kilovolt transmission lines with capacity to transfer 500 megawatts (MW) of electricity. “The company is currently undertaking the installation of reactive power compensation equipment. This initiative aims to reinforce voltage support and enhance the capacity for power transfers between Zambia and the Democratic Republic of Congo,” says CEC head of corporate communications Verona Nkolola.
“The ambitious project, aimed at enhancing transfer capabilities, has been meticulously planned and divided into two phases.” Ms Nkolola was responding to a press query on the importance of interconnectors in energy exports. She said the initial stage of the project is yet to be finalised in the first quarter of 2024 and will witness a significant boost in power transfers, reaching 340MW. The second phase is stated to commence in the course of 2024, with the primary objective of further augmenting transfer capacity to 400MW,” Ms Nkolola said. She said interconnectors play a crucial role in driving the expansion of the energy sector and ensuring sustainable economic development. Ms Nkolola said interconnectors have the potential to promote sustainable development by facilitating access to cheaper and sustainable energy sources. They facilitate exportation and importation of power between countries; those with excess and those with a deficit. Interconnectors also encourage the diversification of the energy mix by allowing the incorporation of energy produced from various technologies that may not be easily accessible in a specific country,” she said. Ms Nkolola said the Zambia-DRC interconnector is a significant milestone, as it is the only transmission line which has been commissioned in the region in the past two decades. She said this demonstrates CEC’s unique and valuable expertise to plan and install interconnector lines.
24th August, 2023
“Government Imposes Restriction on Stock Movement“
Government has enforced temporary restrictions on maize grain and mealie meal until further notice. According to a letter addressed to the Zambia National Farmers Union (ZNFU), Millers Association of Zambia (MAZ), Grain Traders Association of Zambia (GTAZ) and National Union for small -scale Farmers Association of Zambia the Food Security ministry of Agriculture Permanent Secretary Green Mbozi said the Food Security Committee on August 2 decided that temporal restriction on movement of maize grain and mealie meal be immediately put in place.
Mr. Mbozi said that there would be no inter district stock movement for now until a time that the ministry shall advise. Mr. Mbozi however said movements to border towns would still be permitted on case-by-case basis. “This minute, therefore, serves to inform you that there will be no inter district stock movement for now until such a time that the ministry shall advice. However , movements to border towns will still be permitted on a case basis,” he said.
National Forest Commodities Association Urges Exploration of Wild Products
Zambia National Forest Commodities Association (ZNFCA) says promoting non-timber forest products ( NTFPs) presents economic opportunities for the country while combating the alarming rate of deforestation. Zambia’s rich and diverse forests provide a habitat for numerous species of plants and animals, many of which contribute to the country’s NTFPs. ZNFCA programs officer Abel Kamfwa said these resources , which include wild fruits ,herbal medicine , wild vegetables, and many others , hold immense potential for local communities.
Mr. Kamfwa was speaking in an interview yesterday. “As Zambia strives to reverse the tide of deforestation, the integration of value -added NTFPs into local economies stands as a beacon of hope for a greener and more prosperous future ,” he said. Mr. Kamfwa said value addition to NTFPs can transform raw materials into higher -value products , thereby increasing their marketability and profitability. He said by processing wild fruits into jams , jellies , and juices , communities can tap into urban markets , generating income streams that are resilient to market fluctuations .
Mr. Kamfwa said by recognizing the value of various plant species for medicinal , culinary , or cosmetic purposes, local communities become stewards of their environment. He said by creating livelihood opportunities ,reducing dependence on forest resources , and fostering biodiversity conservation , the promotion of NTFPs can pave the way for more harmonious relationship between people and nature. Mr. Kamfwa said this shift in perspective aligns with the broader goal of promoting sustainable forest management and biodiversity preservation . Thus, the sustainable harvest of NTFPs encourage the conservation of biodiversity .
“While the concept off value addition to forest products holds great promise , it is not without challenges . Access to markets , technical know-how and infrastructure are critical factors that need to be addressed to fully realize the potential benefits,” he said. ZNFCAs emphasis on value addition to forest products represents a proactive and sustainable approach to addressing both economic and environmental concerns. Mr. Kamfwa called for collaborative efforts between government agencies , non- governmental organizations, and local communities to overcome the challenges .
“IMF, WB Blamed for Zambia’s Hardships“
THE International Monetary Fund (IMF) and the World Bank have been blasted for imposing harsh economic conditions on Zambia which have condemned Zambians into extreme economic hardships. Bob Sichinga, the ex-Minister of Commerce, Trade, and Industry is blaming the Bretton Woods twins for the economic hardships Zambians have been subjected to because of the imposed condition such as the phasing out of the Farmer Input Support Programme (FISP). Mr Sichinga told the IMF and the World Bank to stay away from dictating decisions for Zambia economic trajectory as the country has equally educated citizens able to make sound decisions. Mr Sichinga said the IMF should not dictate to Zambia on what to do.
He was speaking at a Mid-Year Economic Performance and 2024-2026 Medium Term Budget Plan yesterday in Lusaka where the IMF Resident Representative, Preya Sharma, were present, He said the IMF and their counterpart, the World Bank, should instead listen to what Zambia wanted to do to develop as opposed to imposing its harsh conditions which were not affecting those in leadership but the ordinary citizens.
“IMF you are part of the problem. I am not a diplomat, so I am not going to be polite to you. You are part of the problem. Your institution has been part of the problem together with your colleagues at the World Bank. So please change the attitude rather than coming here to tell us what we should do. Listen to what we want to have development,” Mr Sichinga said. He said there is no way a country could develop in five years as per their programme Zambia was signed on.
“You come for five years. You bring these programmes for five years after that, you walk away. No development takes place in five years. It does not, so, we want you to change your approach. You should listen to us. We are equally educated just as you guys are at the IMF and the World Bank,” Mr Sichinga said.
Mr Sichinga was of the view that the IMF was responsible for some decisions such as phasing out the Farmers Input Support Programme (FISP) and urged Government to instead fix, change and enhance the programme as opposed to phasing it out. “Do not get rid of FISP. Do not even try it. Fix it, change it, enhance it, and make it more efficient. This electronic voucher system is not the solution because your register is what you have to sort out,” Mr Sichinga said. He also accused the banking sector of suffocating Small and Medium Enterprises (SMEs) by offering high interest rates of around 26 percent.
“Your colleagues from the banking sector are part of the problem. You borrow best rates from the Bank of Zambia around nine percent and lend it at 26 percent. Which business will survive and that is minimal,” Mr Sichinga wondered .Meanwhile, Mr Sichinga said it was time to review the policies in the mining sector and add value to the copper. “It is about time that we started talking about specific value chains and value addition. Take that copper, the 800, 000 metric tonnes out of the market make the products here,” Mr Sichinga said.
17th august, 2023
CALL FOR INVESTMENT PROPOSALS IN RENEWABLE ENERGY – National Pension Scheme Authority
The National Pension Scheme Authority (NAPSA) has issued a call for investment proposals in the renewable energy sector. NAPSA aims to make strategic and catalytic investments in commercially viable renewable energy projects across various business models. The primary objective is to earn a meaningful return for its members while also contributing to the production and/or supply of energy.
Details of the call, including specific requirements and guidelines, are available for download from the provided link. The document was created on August 14, 2023, and is available for download as a file of size 252.87 KB.
(Note: For detailed information on the investment proposals, it is recommended to download and review the document directly from the NAPSA website.)
EFF calls for urgent action against Zambia’s food insecurity
THE Economic Freedom Fighters (EEF) Zambia is deeply concerned about the current state of food security in Zambia and has demanded for urgent action from government. Kasonde Mwenda , the EEF President says the party has observed two primary variables that were contributing to the alarming climate change situation , which include poor policy direction of the UPND government and the adverse impacts of climate change.
Mr. Mwenda said that the EEF had noticed with grave concern that several decisions made by the UPND government had contributed to the decline in food security. “One such decision is the export of maize to neighboring countries . While we acknowledge the importance of regional cooperation and trade, it is essential to prioritize our own citizens food security before fulfilling external demands. By exporting maize when we are already facing a shortage , UPND’s policy direction raises serious concerns about the well-being of Zambians,” Mr. Mwenda said. He said the party had observed the phasing out of the Farmer Input Support Program (FISP) subsidy , which had traditionally played a critical role in supporting small- scale farmers and ensuring their ability to produce enough food for their families and the nation was a threat to food security.
Mr. Mwenda said the selling of maize and mealie meal had undermined the country’s food security and placed the livelihoods of countless farmers at risk. He said Zambia, like many other countries , was facing the adverse impacts of climate change, erratic weather patterns , prolonged droughts , and other climatic disturbances , which had already begun affecting agricultural production. He feared that the climatic changes would undoubtedly result in lower yields of maize, as well as other cash crops, posing a significant threat to our food security. The combination of poor government policies in the agricultural sector and the impacts of climate change is a recipe for disaster . The EEF Zambia fears that if urgent action is not taken to address these issues, the consequences for our food security will be severe , potentially leading to increased hunger , malnutrition. And poverty across the nation, “ Mr. Mwenda said.
Invitation for Bids (IFB)
Tender for the Building Maintenance Contract for a period of one year at the Ministry of Local Government and Rural Development Headquarters
1.The Ministry of Local Government and Rural Development through the department of Human Resource Administration has received financing from the Treasury towards the cost of maintenance of the building at the ministry of local government and rural development headquarters for the Tender for the building maintenance contract for a period of one year at the Ministry OF Local Government and Rural Development Headquarters.
2.The ministry now invites sealed bids from eligible and qualified bidders for the above tender.
3. Bidding will be conducted through the Open Bidding National (OBN) procedure specified in the public procurement Act of 2020 and the public procurement regulations of 2022 and is open to the eligible bidders.
4.Interested eligible bidders obtain further information from ministry of local government and rural development procurement and supplies unit inspect the bidding government and rural development procurement and supplies unit and inspect the bidding documents at the office of the head – procurement and supplies unit, ministry of local government and rural development, P. O. Box 50027, Lusaka, Zambia 2nd floor between 08hrs and 17 hrs. Monday to Friday.
5.Qualification requirement include provision of valid : proof of PACRA Registration , valid tax clearance certificate, Napsa compliance certificate and National council for construction (NCC) IN GRADES 5 TO 6 in category B for the building’s maintenance contract and service.
6.A complete set of Bidding Documents in English may be purchased by interested bidders as given above upon payment of a non-refundable fee of ZMW1000.00 or the Zambian Kwacha Equivalent. The method of payment will be Cash.
7.Bids must be deposited in the Tender Box at the Ministry of Local Government and Rural Development, P.O. Box 50027, Lusaka ,Zambia located on the Ground Floor between 08:00Hrs and 17:00Hrs Monday to Friday at or Before 10:00Hrs Local Time on 8th September 2023. Electronic bidding will NOT be accepted. Late bids will be rejected.
8.Bids will be opened in the presence of the bidders’ representatives who choose to attend in person on the 4th Floor in the Library of the Ministry of Local Government and Rural Development Headquarters along United Nations Road or on-line for electronic Bidding. All bids must be accompanied by a 2% Bid Security or Bid-Securing Declaration
11th August, 2023
“UK hails New Dawn“
The United Kingdom (UK) Trade Commissioner for Africa, John Humphrey, has commended the New Dawn administration for the measures implemented to attract new investments into Zambia. Mr. Humphrey expressed his commitment to promoting opportunities for UK companies to expand and invest in Zambia. He emphasized the UK’s determination to elevate its partnership with Zambia, aiming to derive maximum benefits from the nation’s natural resources and pave the way for a prosperous future.
The remarks were made during the commissioning of First Quantum Minerals (FQM) Trident Limited Nickel Ore Plant in Kalumbila. This plant is set to become the largest producer of nickel in Africa. Mr. Humphrey lauded the Zambian government’s initiatives that have fostered an environment conducive to such investments.
The article also features a photo of President Hakainde Hichilema with the visiting United Kingdom director of trade in charge of mining, Sally Berrington, and the British Prime Minister’s trade envoy for southern Africa, Laurence Robertson, taken at State House in 2021.
Israel Business Forum generates US$800 million deals
The Israel-Zambia Business Forum, organized by the Zambia Development Agency and the Israel Ministry of Foreign Affairs in Jerusalem, resulted in deals worth over US$800 million.
The forum took place during the State visit of His Excellency Mr. Hakainde Hichilema, President of Zambia.
Over 100 Israeli companies from sectors like innovation, energy, financial services, and agritech participated, collaborating with Zambian counterparts.
Key deals included:
USD 5 Million for a Technology Incubator in Zambia.
USD 50 Million for a deposit-taking financial institution in Zambia.
USD 645 Million for trade credit insurance and project guarantees.
USD 100 Million for a 71 Mega Watt Solar and wind energy plant.
President Hichilema announced a visa waiver for Israeli nationals to promote investments from Israel into Zambia.
The business forum took place on 02nd August 2023 in Jerusalem, Israel.
“We’re fixing the economy“
Minister of Finance and National Planning, Situmbeko Musokotwane, stated that the New Dawn administration is fulfilling its promises.
The government released K11.8 billion last month for public service delivery, with K2.9 billion directed towards domestic and external debt payments.
Dr. Musokotwane highlighted the economic improvements, including growth rebound, restored budget credibility, decreasing inflation, and efforts towards exchange rate stability.
The government is committed to promoting universal access to education, ensuring it’s not just for the affluent but available to all citizens.
10th august, 2023
“50% of Lsk-Ndola road project must be sub-contracted to Zambians” – EIZ
The Engineering Institute of Zambia (EIZ) has stated that 50% of the Lusaka-Ndola road project should be sub-contracted to Zambian companies. This is to ensure that local companies benefit from the project and deliver quality works.
“We’re considering early maize production to address mealie meal prices” – Govt
The Zambian government is contemplating early maize production as a strategy to address the rising mealie meal prices. The initiative aims to stabilize the prices and ensure food security.
Israel to power Zambia with $100m. solar-wind energy project
Israel has announced a $100 million solar-wind energy project in Zambia. This initiative is part of the efforts to boost renewable energy sources in the country and promote sustainable energy solutions.
8th august, 2023
Fast track KCM/Mopani takeover – Dodia
Economist Yusuf Dodia has urged the Zambian government to expedite the announcement of investors that will take over the mining giants Konkola Copper Mines (KCM) and Mopani Copper Mines (MCM). This move is expected to spur economic growth in the country.
UK pledges £3 billion to support green growth in Zambia
The UK government, in collaboration with Zambia, has unveiled the UK-Zambia Green Growth Compact. This strategic initiative aims to bolster green investment in Zambia’s economy, combat climate change, create job opportunities, and stimulate business growth in both nations. The UK commits to generating up to £2.5 billion in private-sector funding for Zambia’s mining, minerals, and renewable energy sectors.
Mutati hails Huawei for helping to bridge the digital divide in Zambia
Huawei has launched its 2023 “Seeds for the Future” program in Zambia, targeting 50 students from various universities and colleges. Science and Technology Minister Felix Mutati praised the program, stating that it significantly contributes to bridging the digital divide in Zambia. The program aligns with Zambia’s digital agenda and is expected to accelerate the country’s digital transformation.
6th august, 2023
Britain agrees deals on clean energy, critical minerals with Zambia
Britain has agreed on deals with Zambia focusing on clean energy and critical minerals, marking the end of a four-day visit to Africa by Foreign Minister James Cleverly. The aim of the visit was to strengthen ties between the two nations.
The foreign ministry announced that Cleverly would agree on a UK-Zambia Green Growth Compact, which is expected to generate £2.5 billion ($3.17 billion) of British private sector investment in Zambia’s mining, minerals, and renewable energy sectors. This will be accompanied by £500 million of government-backed investments.
Zambia is a significant copper producer and also has deposits of critical minerals such as cobalt, manganese, and nickel. The agreement on critical minerals will support the responsible mining of copper, cobalt, and other metals essential to the global clean energy transition.
Cleverly stated that the UK-Zambia Green Growth Compact and the agreement on critical minerals would support investment between UK and Zambian businesses, creating jobs in both countries. Britain has also agreed to deepen collaboration on critical minerals with other countries such as the United States, Japan, Australia, Kazakhstan, and Saudi Arabia.
2.5 billion pounds UK investment in Zambian mining sector
Zambia is set to benefit from a 2.5 billion pounds investment from the United Kingdom. The funds, generated from the British private sector, are to be invested in Zambia’s mining sector. In addition to this, the UK will also inject five hundred million pounds in government-backed investments.
Furthermore, the UK will mobilize one hundred and fifty million pounds to be invested into small to medium-sized enterprises. The investment is expected to benefit firms in both the UK and Zambia, contributing to the growth of both economies.
The new targets were announced during the Foreign Secretary’s visit to Africa, with the aim of prioritizing future-focused, mutually beneficial partnerships. The targets include generating up to £2.5 billion of British private sector investment in Zambia’s mining, minerals, and renewable energy sectors, delivering up to £500 million of UK Government-backed investments, and mobilizing up to £150 million of private sector investment into small to medium-sized enterprises (SMEs).
President Hichilema asks World Bank’s help to restructure debt owed to private creditors
President Hakainde Hichilema of Zambia has requested the World Bank Group’s assistance in concluding Zambia’s debt restructuring negotiations with its private creditors. He emphasized the difficulty of the debt deal process, particularly its impact on citizens, and expressed the need for solutions.
President Hichilema expressed his desire for a swift conclusion with creditors so that the benefits can start to show and trickle down to ordinary citizens. He expressed these sentiments during a meeting with World Bank Director for Malawi, Tanzania, Zambia, and Zimbabwe, Natahn Belete, and newly appointed World Bank Country Manager for Zambia, Achim Fock.
The President expressed appreciation for the World Bank Group’s support, particularly during Zambia’s debt restructuring project. He acknowledged the significant support received through consultations and technical assistance, leading to the achievement of the G20 framework.
Looking forward, President Hichilema anticipates discussing more important matters with the World Bank, especially issues around the government’s agenda of economic transformation. He also urged citizens to have faith in the government’s capability and strategic process to get things done.
World Bank Country Director, Nathan Belete, introduced the newly appointed Country Manager, Dr. Fock, who brings 25 years of experience in the World Bank. Belete highlighted that the World Bank has prioritized tourism, regional connectivity, and capital among key areas of focus.
1st August, 2023
Default notice for failure to submit pegging certificate in relation to large scale exploration licenses
Certain companies holding Large-Scale Exploration Licenses have failed to comply with the terms and conditions of their licenses, specifically the requirement to submit a Pegging Certificate for approval within 180 days of the grant of the license. This non-compliance contravenes Sections 18(2), 25(1)(b), and 35(1)(a) of the Mines and Minerals Development Act No.11 of 2015 and the Mines and Minerals Development (General Regulations) of 2016.
As a result, these companies have been fined 300,000 penalty units, equivalent to ZMW 90,000 per license, in accordance with Section 18 (3) of the Mines and Minerals Development Act No. 11 of 2015. The companies have 30 days from the date of the notice to deposit the fine into the provided account and make a formal request to have their area demarcated and make payment based on the issued quotation. Failure to comply with this notice may result in the revocation of their mining rights.
The companies have the right to admit or dispute this fine under Section 115 (2) of the Mines and Minerals Act No.11 of 2015. If they are aggrieved by this decision, they can appeal to the Director of Mines within 30 days of receipt of this notice.
Zambia and Israel inks agreement on general framework of cooperation
Zambia and Israel have signed a General Framework Agreement of cooperation under the Ministry of Foreign Affairs and International Cooperation. The agreement was signed by Zambia’s Foreign Affairs and International Cooperation Minister, Stanley Kakubo, and Eli Cohen, on behalf of the State of Israel.
The agreement aims to provide a framework for cooperation between the Republic of Zambia and the State of Israel on the basis of equality and reciprocity in fields of mutual interest. It also aims to strengthen bilateral relations between the two countries and reaffirm the importance of economic and social cooperation for the betterment of the two countries.
The areas of the signed agreement shall be in Education and Culture, Agriculture, Water, Green Economy and Environment, Information, Communication and Technology, Economic Cooperation and other areas of mutual interest to be agreed upon by both parties.
Finance Minister clarifies errors in CDF supplementary budget
Minister of Finance and National Planning, Situmbeko Musokotwane, has clarified the recent events surrounding the alleged errors in the 11.3 billion kwacha supplementary budget, which was unanimously passed by Parliament last week. He explained that the K298 million supplementary budget was a provision for only one component of the Constituency Development Fund (CDF), specifically Community Projects, and not the entire CDF projects.
A total sum of about K4.4 billion was allocated to CDF, for all its three components, which are Community Projects, Youth, Women and Community Empowerment, and Secondary Boarding School and Skills Development Bursaries. The Community Projects components had a provision of about 2.7 billion kwacha, of which the 298 million kwacha was added. This was out of the remaining funds from the provision for community projects for last year which was not utilized, attributed to slowness in the absorption of CDF.
28th July, 2023
FQM commences nickel mine operations
Trident Limited, a subsidiary of First Quantum Minerals (FQM), has started production at its Enterprise Nickel mine in Kalumbila district, North-western province, Zambia. The mine is set to become Africa’s largest Nickel mine, with an expected annual production ramp-up to 32,000 tonnes of Nickel. The mining operations are expected to reach full plant throughput in 2024. The project, which was restarted last year, involved the construction of required infrastructures and the completion and refurbishment of the process plant at a cost of $100 Million.
First Quantum Minerals (FQM) hands over Bwana Mkubwa Mine land in Ndola
First Quantum Minerals Limited (FQM) has handed over approximately 517 hectares of land to various recipients, including the government, Chief Chiwala, the community, and its employees. This is part of FQM’s exit plan following the closure of its Bwana Mkubwa mine site. The land distribution also included allocations of 116 hectares to ex-servicemen, 10 hectares to the NGO called ZAPA, and 36 hectares to Kafubu Water. The handover has been met with enthusiasm and appreciation from the community and local representatives.
Road Development Agency Nears Contractor Selection for Lusaka-Mongu Road Repair
The Road Development Agency (RDA) of Zambia is nearing the selection of a contractor for the rehabilitation of the damaged portion of the Lusaka-Mongu road. The RDA will continue carrying out intervention works on the deplorable section of the road while they await the full rehabilitation by the selected contractor.
26th July, 2023
Govt welcomes US$50 million Airtel 5-G internet investment
The Zambian government has welcomed a $50 million investment by Airtel Networks Zambia Plc to upgrade its network to 5G. The upgrade is expected to improve the quality of internet services and promote digital transformation in the country.
Chingola-Solwezi road to be upgraded into dual carriage way
The Zambian government has announced plans to upgrade the Chingola-Solwezi road into a dual carriageway. The project, which is expected to start soon, will help to reduce traffic congestion and improve road safety.
Govt. partners with DRC investment in internet connectivity
The Zambian government has partnered with the Democratic Republic of Congo (DRC) to invest in internet connectivity along the Lobito Corridor. The project will involve laying fiber internet along the corridor to enhance internet penetration among the countries sharing the corridor.
ERB grants seven power purchase agreements to seven power utilities
The Energy Regulation Board (ERB) of Zambia has granted seven power purchase agreements to seven power utilities to improve power supply to consumers. The agreements include partnerships with ZESCO, Maamba Collieries, Botswana Power Corporation, and others.
Saudi Arabia gives 2 million to COMESA for construction of headquarters
The Kingdom of Saudi Arabia has donated $2 million to the Common Market for Eastern and Southern Africa (COMESA) for the construction of its headquarters in Lusaka, Zambia. The donation is part of Saudi Arabia’s support for COMESA’s efforts to enhance regional integration. congestion and improve road safety.
Mansa District receives livestock empowerment package
The Zambian government has handed over a small livestock empowerment package to two Community Welfare Assistance Committees in Mansa District. The package includes 400 improved village chickens and 80 bags of feed, and it is expected to benefit 80 identified beneficiaries.
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Our Innovation Lead, Celia sekani Nyirenda, shared insights on ‘Beyond Chat: Revolutionising Business with AI’ which was hosted by BongoHive Technology and Innovation Hub
Moderated by Chinedu Koggu, it was a discerning discussion about the future of AI in Zambia.
Celia offered valuable insights into the intersection of AI and business, drawing from her experience with the MAYbot.