IMF impressed with Zambia

LUSAKA – Zambia’s economy is on track to grow by six per cent in the coming year as a result of a resurgence in mining and agriculture, according to the International Monetary Fund.

In a statement issued late Thursday after its delegation completed a visit to the country, the IMF said Zambia’s monetary expansion had been faster than previously projected. “Inflation, at eight per cent, is at its lowest point in three decades,” said the head of the IMF mission Francisco Caramazza.”The renaissance of the copper sector and extensive debt relief have remarkably strengthened the economy’s prospects,” he said.Under the terms of an IMF debt relief programme, Zambia earlier this year saw US$3,8 billion of the US$7,1 billion it owed international creditors cancelled.Zambia has attained positive real gross domestic product (GDP) of five per cent in the last three consecutive years, which the IMF said was very impressive for the country.”This is expected to rise to six per cent this year, mainly due to significant expansion in the mining and construction sectors and a strong recovery in agriculture,” the statement said.Zambia’s President Levy Mwanawasa, who was re-elected for the second and final term five weeks ago, has won praise from the international community for introducing fiscal discipline in government and reduced corruption.Nampa-AFP econ 4″Inflation, at eight per cent, is at its lowest point in three decades,” said the head of the IMF mission Francisco Caramazza.”The renaissance of the copper sector and extensive debt relief have remarkably strengthened the economy’s prospects,” he said.Under the terms of an IMF debt relief programme, Zambia earlier this year saw US$3,8 billion of the US$7,1 billion it owed international creditors cancelled.Zambia has attained positive real gross domestic product (GDP) of five per cent in the last three consecutive years, which the IMF said was very impressive for the country.”This is expected to rise to six per cent this year, mainly due to significant expansion in the mining and construction sectors and a strong recovery in agriculture,” the statement said.Zambia’s President Levy Mwanawasa, who was re-elected for the second and final term five weeks ago, has won praise from the international community for introducing fiscal discipline in government and reduced corruption.Nampa-AFP econ 4