AfDB report projects Zambia as one of five top performers in Africa

Zambia has been projected to be among the top five performer countries in Africa over 2023-2024 following its improved macroeconomic environment, according to the 2023 Southern Africa Economic Outlook.

The Outlook, launched last week by the African Development Bank (AfDB) named other projected top performer countries as Mozambique, Madagascar, Mauritius and Eswatini.

In Zambia, the outlook pointed out an improved macroeconomic environment as one of the primary drivers of real Gross Domestic Product (GDP) growth.

It stated that as outlined in the 2023-2025 medium term budget plan coupled with strengthened mining policy and improved electricity supply would also be the primary drivers of real GDP growth.

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According to the report, this would be supported by new generation capacity at Kafue Gorge.

“Projected growth differs across countries in the region, reflecting in part a contrasted evolution of the terms of trade and domestic structural issues.

“Top performers over 2023-2024 will be Mozambique, Madagascar, Mauritius, Eswatini and Zambia,” according to the report.

In Mozambique, the outlook stated that growth was expected to accelerate to 8.3 percent from 4.8 percent.

Growth would be mainly lifted by an increased demand for liquified natural gas as Totalenergies-led LNG project should fully resume from 2023 while growth in the agriculture, manufacturing and service sectors should in parallel be boosted by continued demand recovery.

“In Madagascar, real GDP growth pick-up will be underpinned by a recovery of the mining sector buoyed by higher price of nickel.

“Mauritius growth should remain strong in 2023 as tourism activities continue to rebound then growth is projected to progressively decelerate to its long-term trend over the medium run,” the outlook stated.

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