AGP Executive Report

Copper Investment: ZCCM-IH approved KCM’s US$498 million Nchanga tailings plant. The facility is expected to recover copper from historical waste and produce about 70,000 tonnes of cathode a year once operational. Power Expansion: Zambia’s installed capacity has reached 4,722MW, including 1,027MW of solar, surpassing its 2026 solar target. President Hichilema says transmission and distribution must catch up as the country works toward 10,000MW by 2031. Investment Drive: Hichilema invited UAE and Gulf businesses to invest in mining, energy, agriculture, manufacturing and infrastructure under the Grow Zambia agenda. Copper Portfolio: Jubilee Metals has completed legal due diligence for the proposed US$35 million sale of its Large Waste Project, with proceeds intended to support its Zambian copper operations; further technical checks and final documents remain. Regional Energy: A planned Zambia-DRC power link could deliver up to 550MW to the mining region, which faces a deficit exceeding 1GW.

Supply Chains: Zambia hosted the inaugural African Supply Chain Confederation awards in Livingstone, recognising work in procurement, trade integration and supply-chain skills. Mining: ZCCM-IH approved a $498 million KCM tailings plant at Nchanga, designed to recover about 70,000 tonnes of copper cathode a year from old waste. The plan comes as authorities investigate a chemical spill linked to KCM that discoloured the Kafue River and was followed by fish deaths in Chingola. Power: Zambia’s installed generation capacity has risen to 4,722.3 MW, including 1,027.5 MW of solar, but President Hichilema says transmission and distribution need more investment. A separate $300 million Zambia-DRC interconnector is planned to carry up to 550 MW to the DRC’s Copperbelt and create export opportunities for Zambian producers. Trade Corridors: Malawi, Mozambique and Zambia are under pressure to turn Nacala Corridor plans into funded projects, including the Chipata-Serenje railway link, with implementation deadlines set for next June. Dar es Salaam handled 3.41 million tonnes of Zambia-bound cargo in 2025/26, down 5% even as total transit cargo grew. Economic Outlook: The World Bank raised its 2026 Sub-Saharan Africa growth forecast to 4.3% and upgraded Zambia’s prospects, while warning that growth must deliver more jobs and income.

Power Links: A $300 million agreement will advance a 200-kilometre, 700MW transmission line between Kalumbila and Kolwezi, opening new electricity export routes for Zambia and supplying the DRC’s mining and industrial sector. Copper Investment: ZCCM-IH has approved a $498 million tailings plant at KCM’s Nchanga site, designed to recover copper from old deposits and produce about 70,000 tonnes of cathode a year at full capacity. Food Security: The Food Reserve Agency is scaling up strategic maize stocks to more than one million tonnes as El Niño threatens harvests; officials are also urging institutions to get water and essential supplies to vulnerable communities before the rains. Economic Outlook: The World Bank raised its 2026 Sub-Saharan African growth forecast to 4.3% and included Zambia among countries with improved prospects, while warning growth must translate into more jobs and better living standards. Farm Inputs: A Lusaka-area organic farmer’s homemade bokashi compost offers one way to limit exposure to steep fertiliser prices and supply disruptions.

World Bank Update: Zambia is among four African countries praised for improved economic management, with the World Bank lifting Sub-Saharan Africa’s 2026 growth forecast to 4.3% and upgrading Zambia’s outlook as reforms under the Grow Zambia agenda start to pay off. Energy & Power Investment: Zambia is set to attract fresh private capital, with Mercuria and Exergy signing a US$250m financing deal to back power generation and transmission projects, supporting wider industrial growth. Health Funding Deal: Zambia will sign a US$1.5bn US health pact after resolving data-sharing concerns, with the agreement focused on HIV/AIDS, malaria, maternal and child health, and outbreak preparedness. Manufacturing & Industry Support: Multotec Zambia opens a new facility as its Central Africa regional head office, aiming to improve local manufacturing, spare parts availability, and engineering support for the mining sector. Digital Payments Competition: Airtel Money plans to add a Mastercard virtual card in Kenya, expanding international e-commerce payments and intensifying competition with M-Pesa GlobalPay. Trade & Supply Chains: ASCON Awards in Livingstone, Zambia, spotlighted supply chain leaders across Africa, including an award for Eswatini’s procurement chief. Wildlife Conservation: Cheetahs have returned to Zambia’s Greater Luangwa ecosystem after nearly 30 years, marking a major reintroduction effort.

Power & Industry Finance: Electricity minister Kgosientsho Ramokgopa called power curtailment a “financial risk” as Zambia seeks more reliable supply. Solar Investment: Orb Energy secured $2m from KawiSafi Ventures to expand commercial and industrial solar across East Africa. Mining & Uranium: Atomic Eagle reported 81–86% uranium recoveries from Muntanga East metallurgical tests, supporting heap-leach development. Gold Supply Finance: SigraFi won a $35m credit facility to fund gold offtake from ASGM cooperatives in DRC, Zambia and beyond. Manufacturing & Local Content: Multotec Zambia opened a new Central Africa regional head office and manufacturing hub in Chingola to cut lead times and boost in-country support. Health Funding Deal: Zambia will sign a $1.5bn US health pact after resolving medical data access concerns, with data-sharing limited to programme monitoring. Governance & Accountability: TI-Z flagged 467 unresolved audit issues worth about K18.1bn across ministries, provinces and agencies. Energy Infrastructure Push: Mercuria and Exergy signed a $250m financing agreement for Zambia power generation and transmission projects. Trade & Agriculture Risk: EU suspended Namibian beef imports over foot-and-mouth disease, a reminder of how quickly market access can tighten for southern Africa.

Public Finance & Accountability: Transparency International Zambia says it found 467 unresolved audit issues across 23 ministries, provinces and agencies in the 2024 Auditor General’s report, tied to about K18.1bn (10.2% of the national budget), with Health, Education and Agriculture most affected. Anti-Corruption Push: Alliance Against Corruption warns corruption is blocking the Grow Zambia Agenda and calls for real-time, ring-fenced funding for oversight bodies like the ACC and DEC, including for forensics and asset tracing. Forestry & Timber Investment: The Green Economy ministry says Zambia is opening up the forest economy for forestry investment, targeting wood-processing along the Lobito Corridor and TAZARA corridor to boost jobs and exports. Education Sector Support: ZANEC urges better teacher welfare, motivation and working conditions as Free Education expands enrolment; ZUPED also credits the policy with millions returning to school. Energy & Power Reliability: The World Bank says Zambia is emerging from its electricity crisis and could become a regional power-trading hub as generation and transmission investment grows, including solar PPAs and constituency solar initiatives. Regional Trade & Industry: President Hichilema and Finance Minister Musokotwane frame the Lobito Corridor as an export-led industrialisation engine for AfCFTA, calling for joint ventures and stronger rail/feeder links. Agriculture & Water Security: A climate-smart agriculture expert cautions that solar irrigation without groundwater conservation education could trigger a new water crisis, urging efficient irrigation and protection of recharge areas. Tobacco Illicit Trade: TCDI data shows illicit cigarette prevalence at 12.2% in Zambia, with imported cigarettes far more likely to be illicit than locally made ones.

Grow Zambia Push: President Hakainde Hichilema urged chiefs and local leaders to turn the Grow Zambia agenda into a production drive, calling for more output in agriculture, mining, tourism and energy, while warning households to keep enough maize ahead of El Niño drought fears. Electricity Outlook: The World Bank says Zambia is emerging from its electricity crisis and could become a regional power-trading hub, citing new solar projects, transmission investment and a push toward 10,000MW by 2030. Energy for Industry: ZESCO and EnerSynk signed a 25-year PPA for a 500MW Copperbelt solar project, with early commercial operation targeted within 16 months, alongside a constituency solar rollout. Maize Marketing Debate: Opposition and government messaging clashed over maize marketing and the 10-million-tonne target, with UPND disowning George Mtonga’s comments and pointing farmers to the Food Reserve Agency for official updates. Telecom Consumer Focus: MTN Zambia appointed Joshua Sichinga as Chief Consumer Officer, effective 1 October 2026, as the operator continues customer-experience reforms. Commercial Transport Upgrade: Imperial Motors Zambia launched UD Trucks in Zambia, bringing Quester, Croner and Kuzer models aimed at improved uptime and lower total cost of ownership. Industry Productivity Warning: Government said over 70% of industries are unproductive, putting Zambia’s industrial productivity at 26.3%, and stressing the need for the right skills and mindset to meet Grow Zambia goals. Court Watch: In Ndola Central election petition proceedings, petitioner Frank Tayali’s witness, ECZ presiding officer Carol Namushi, faced cross-examination over conflicting accounts of a polling-station disturbance and ballot handling.

Industrial Productivity Push: Government says over 70% of Zambia’s industries are unproductive, with national industrial productivity at 26.3%, as officials urge skills and a mindset shift to deliver the Grow Zambia Agenda. Food Security & Maize Discipline: President Hichilema warns chiefs to ensure households keep enough maize ahead of an El Niño-linked drought, advising storage in granaries and stressing shared responsibility to prevent hunger. Grow Zambia Planning: Muchinga provincial heads of departments are told to budget and plan deliberately for 2027–2029, with a K124m indicative ceiling demanding tight prioritisation. Regulatory & Telecom Deal: MTN reports key regulatory approvals for its IHS tower acquisition, including South Africa Competition Commission conditions and Nigeria’s conditional go-ahead, aiming to expand service revenue. Medicines Supply Chain Reset: Government begins a ZAMMSA reset after a forensic audit flagged inflated procurement, missing records and alleged diversion, with all 150 staff separated while an interim team maintains supply. Investment Pipeline: ZDA targets over US$5bn in deals at the Invest-Zambia International Conference in December, aiming to unlock opportunities across sectors. Lobito Corridor Coordination: Zambia will host the Second Lobito Corridor Coordination Meeting in Lusaka (Oct 5–6) to link infrastructure with production, investment and regional value chains. Maize Marketing Politics: UPND disowns George Mtonga’s maize marketing comments, urging farmers to rely on FRA updates as debate continues over government’s ability to buy the full harvest.

Grow Zambia Agenda Push: President Hichilema urged unity, discipline and hard work to drive the newly unveiled Grow Zambia Agenda, linking it to power generation (10,000MW target) and beef exports, while Muchinga officials told heads of departments to plan and budget for 2027-2029 priorities. Local Content & Investment: Hichilema met UK Trade Commissioner Alastair Long, calling for British investment to translate into clean energy, agriculture and mining jobs; meanwhile, Zambia pressed Gulf investors to fully comply with local procurement rules as it targets higher copper output. ZAMMSA Reset: Government began a reset of ZAMMSA after a forensic audit flagged inflated procurement prices, missing records and alleged diversion of medicines; all 150 staff were separated, with interim management to keep supplies running. Maize Marketing Tensions: UPND disowned George Mtonga’s maize marketing comments, while Sunday Chanda said government can’t buy all maize if the 10-million-tonne target is met—raising the role of private buyers. Textiles Expansion: Fine Spinners Uganda invested US$5m in new textile machinery to boost capacity and target DRC, Zambia and Ethiopia. Aquaculture Growth: Government backed transformation of fisheries and aquaculture as Kamimbi Aqua Fish feed launched in Lusaka to support small and commercial fish farmers. Trade & Logistics: Dar es Salaam transit cargo rose 17% to 14.61m tonnes, with Zambia contributing 3.41m tonnes as corridor competition shifts.

Textiles & Manufacturing: Fine Spinners Uganda targets new African markets—DRC, Zambia and Ethiopia—after a US$5m investment in textile machinery expected to lift capacity by up to 40%. Agriculture & Food Security: UPND disowns George Mtonga’s maize marketing comments, reiterating FRA will keep buying and paying farmers under the 10-million-tonne target. Health Supply Chain Reform: Zambia begins a major ZAMMSA reset after a forensic audit flagged inflated procurement, missing stock records and alleged diversion; all 150 staff are separated while an interim team maintains medicine supply. Energy & Transport Costs: ERB says fuel pricing remains monthly and cost-reflective; it notes reinstated taxes after relief lapses and reports about 19 days diesel and 17 days petrol stocks. Investment Promotion: ZDA targets over US$5bn in deals at Invest-Zambia International Conference in December, aiming to attract thousands of delegates and exhibitors. Logistics & Trade: Dar es Salaam transit cargo rises 17% to 14.61m tonnes, with Zambia contributing 3.41m tonnes as corridor upgrades improve speed and reliability. E-Mobility Policy: Calls grow for special e-mobility tariffs to support fleet operators, highlighting uneven EV incentives across Southern Africa.

Medicines Supply Chain Reset: Zambia has started a “reset” of the Zambia Medicines and Medical Supplies Agency (ZAMMSA), with staff separated following a forensic audit citing inflated procurements, missing records and diversion of medicines; an interim team says medicine supply to facilities will continue. Fuel Pricing & Cost Pressures: The Energy Regulation Board says monthly fuel pricing remains the rule while quarterly talks continue; it also notes reinstated taxes after relief lapsed, with diesel and petrol stock levels cited as supply buffers. Grow Zambia Investment Push: Zambia’s Development Agency targets over US$5bn in deals at the Invest-Zambia International Conference in December, aiming to turn investment talks into projects across energy, agriculture, mining and trade. UK Partnership for Jobs: President Hichilema urged higher British investment tied to clean energy, agriculture and mining under the Grow Zambia Agenda, stressing a more project-based approach. Local Content in Mining: Hichilema told Gulf investors to fully comply with Zambia’s local procurement rules as copper output targets rise, signing UAE agreements on healthcare, renewables, logistics and technology. Agribusiness & Insurance: ZSIC urged farmers to insure crops against climate shocks, while government also backed aquaculture growth through feed investment. Regional Trade Logistics: Dar es Salaam transit cargo rose 17% in 2025/26, with Zambia accounting for 3.41m tonnes, as faster port operations and corridor upgrades improve supply reliability. AI Skills for Industry: A SADC-focused institute highlights practical AI and data training needs for sectors like mining, where systems are often vendor-run and operational teams need usable outputs.

Fuel Pricing & Energy Regulation: Zambia’s ERB says monthly fuel price reviews stay anchored on the statutory framework, with quarterly pricing talks ongoing; it also notes diesel and petrol stock levels and the return of surtax/excise after September 30, while VAT is expected back in December. Copper & Local Content: President Hichilema tells Gulf investors to fully comply with Zambia’s local procurement rules as the country pushes to triple copper output, while signing UAE deals spanning healthcare, renewables, logistics and technology. Energy Transition: ZEMA approves a 350MW wind project in Katete (Unika I & II), with traditional leadership holding a 10% stake, as Zambia diversifies away from hydropower. Banking & Finance: Zambia Industrial Commercial Bank (ZICB) maintains an ‘A’ credit rating, reinforcing confidence in financial stability. Agriculture & Risk Management: ZSIC urges farmers to insure crops against climate shocks, citing payouts under the Grain for Premium programme. Aquaculture Growth: Government backs efforts to transform fisheries and aquaculture, highlighting rising production and new investment in aqua feed. Trade & Logistics: Dar es Salaam transit cargo rises 17% in 2025/26, with Zambia accounting for 3.41 million tonnes as corridor upgrades and DP World investments improve speed and reliability. SME & Food Production (Regional): Mozambique’s growth focus is shifting toward SMEs, with examples from industrial milling and breadmaking expansion.

Fuel Pricing & Stocks: ERB says Zambia’s monthly fuel price reviews stay tied to the statutory cycle, with diesel stocks at about 19 days and petrol around 17 days, as surtax/excise relief ended Sept 30 and VAT is expected back in December. Energy & Environment: ZEMA approved a 350MW wind project in Katete (Unika I & II) to diversify power away from hydropower, with local community stake noted. Agriculture & Risk Management: ZSIC urged farmers to insure crops against drought, floods and pests, citing payouts under the Grain for Premium programme. Aquaculture Growth: Government says it will transform fisheries and aquaculture, highlighting rising aqua production and support for feed innovation like Kamimbi Aqua Fish Feed. Banking Stability: ZICB maintained an ‘A’ credit rating from Premier Rating Services, reinforcing confidence for investors and depositors. Telecom Consumer Focus: MTN Zambia appointed Joshua Sichinga as Chief Consumer Officer to strengthen customer strategy and digital services. Local Content & Mining: Hichilema told Gulf investors to comply with Zambia’s local procurement rules while pushing copper output targets. Irrigation in Schools: Chilanga disbursed over K800,000 for the Presidential Irrigation Initiative to turn schools into agricultural hubs. Regional Trade & Transport: Dar es Salaam port improved vessel handling and cargo throughput, boosting its role as an Indian Ocean gateway.

Renewables & Power: ZEMA approved a 350MW wind project in Katete (Unika I & II) by Mphepo Power Limited, with 42 turbines and 330kV transmission, plus a 10% stake for the Chewa Development Trust. Agri-Food Systems: Chilanga schools received over K800,000 under the Presidential Irrigation Initiative to turn school gardens into irrigation-backed agricultural hubs for year-round food and skills. Banking Stability: ZICB retained an ‘A’ long-term and ‘1’ short-term credit rating, supporting investor confidence as the bank’s performance is assessed to Dec 2025. Fuel Costs: ERB raised October pump prices after six months of fuel tax relief ended—petrol to K31.46 and diesel to K33.27—driven by higher global prices, Kwacha depreciation and reinstated excise duty. Regional Trade & Logistics: Malawi unveiled plans for a new north-bound railway linking to the Tanzania–Zambia network to cut transport costs. Industry & Packaging: Guala Closures completed acquisition of Metal Crowns in Kenya, Tanzania and Burundi, expanding beverage packaging capacity across East Africa. Digital & Compute: AU and Zambia discussed Global Digital Compact implementation, including AI capability and regional compute infrastructure. Infrastructure Progress: Chinsali Access Road hit 60% completion (K238m) ahead of asphalt works.

Geopolitics & Industry: A new “scramble for Africa” narrative is emerging as wars across the continent intensify while the US and China compete for minerals, infrastructure and influence. Digital & Energy Infrastructure: The AU and Zambia discussed Global Digital Compact implementation, including compute infrastructure, AI capability, and data-centre siting tied to stable power and water. Power & Manufacturing: KP Group unveiled “KP 3.0” with targets for 10GW IPP, 10GW third-party EPC and 10GWh battery manufacturing, pushing deeper into clean-energy value chains. Cross-Border Trade & Logistics: Stanbic Bank Zimbabwe and partners reached financial close for the Chirundu One-Stop Border Post upgrade under a PPP, aimed at faster regional connectivity. Fuel Costs: Zambia’s ERB raised October pump prices—petrol to K31.46 and diesel to K33.27—as tax relief ends and the Kwacha weakens. Road Infrastructure: Chinsali Access Road (K238m) hit 60% completion, moving into asphalt paving ahead of a November target. Agribusiness & Fertiliser: United Capital Fertilizer Zambia plans to expand capacity to 600,000 tonnes urea and add ammonium nitrate production, with environmental safeguards flagged. Local Power Projects: Arc Power plans a 10MW solar plant in Chinsali after land handover and feasibility work. Health Financing: Government urged citizens and the private sector to protect health gains as donor funding shrinks, pushing sustainable financing and local production of essential commodities. Vocational Skills: Leaders called for scaled-up vocational training to supply industry-ready manpower for industrialisation.

Fuel Prices & Tax Policy: The Energy Regulation Board raised October pump prices after six months of tax relief ended, with petrol up to K31.46/litre and diesel to K33.27/litre (plus over K6 per litre), citing higher global oil prices, Kwacha depreciation and reinstated excise duty. Energy & Power Supply: Arc Power says it will build a 10MW solar plant in Chinsali, Muchinga, after securing land in the industrial park; feasibility runs for three months with ground-breaking targeted for early 2027. Fertilizer Expansion: United Capital Fertilizer plans a major ESIA-backed expansion in Chilanga estimated at US$1.5bn, doubling urea capacity to 600,000 tonnes/year and adding ammonium nitrate capacity of 400,000 tonnes/year. Agribusiness Finance: Indo Zambia Bank reports its agriculture portfolio at about K3.3bn, with nearly K400m disbursed to 3,600+ farmers, and plans more funding for maize, soybeans, wheat, livestock and value addition. Monetary Policy: Bank of Zambia cut the Monetary Policy Rate to 10.75%, pointing to lower inflation and a better outlook—aimed at easing borrowing costs and supporting growth. Trade & Investment: Zambia and the UK discussed boosting trade and investment aligned to the Grow Zambia Agenda, including mining, beef, sugar and forestry.