Government Targets 6% Growth by 2027

The government has introduced a green paper for the 2025-2027 Medium Term Budget Plan (MTBP) aiming to create a resilient and inclusive economy.

This plan details revenue and expenditure goals over three years, aligning with the Eighth National Development Plan's aspirations.

In the introduction to the Green Paper, Nsandi Manza, the acting Secretary to the Treasury says, “the Government’s medium-term policy will focus on enhancing private sector investment, particularly in agriculture, tourism, manufacturing, mining and energy. Additionally, the Government will leverage on modern technology and prioritise social protection interventions to safeguard the most vulnerable and drive economic growth and build resilience.”

The stakeholders are encouraged to submit any comments on the MTBP Green Paper before 2 August.

The paper makes several estimates, such as the economic growth trajectory averaging at 6% annually. The increase in growth rate is expected to be enhanced by a recovery in the mining and agricultural sectors. The growth in a range of sectors will generate jobs for citizens across the country and improve the cost of living.

Examples of the paper’s objectives include:

·      Attaining an annual GDP growth rate of at least 6% by 2027

·      Maintain inflation within a target range of 6-8%

·      Increase domestic revenue to no less than 21.2% of GDP by 2027

·      Limit net domestic borrowing to no more than 2% of GDP by 2027

The MTBP stands as an important opportunity for all stakeholders to fully participate in refining Government economic policy in order to materialise Zambia’s vision of becoming a prosperous middle-income country by 2030.