Zambia

Zambia, a landlocked country situated in the heart of Southern Africa, operates as a representative multiparty democracy. The nation's governance is spearheaded by a president, and its administrative framework is organised into ten provinces, further subdivided into over 116 districts. Lusaka, the capital, serves as the political and economic hub of the country. English is the official language, facilitating both domestic and international communication, while the Zambian kwacha (ZMW) is the legal tender, underpinning the nation's monetary system.

Economic Landscape

Zambia's robust mining sector forms the cornerstone of its economy, with copper mining and processing serving as the most significant contributors. The economy extends beyond this single sector; agriculture, manufacturing, and tourism also play pivotal roles in the nation's economic structure, contributing to both employment and GDP. 

Growth Projections and Economic Performance 

Zambia's economy stands poised for robust growth over the 2025–2026 period, supported by a diversifying economic base and strengthened fiscal fundamentals. Following a period of recovery from drought-related challenges, the country maintains a growth trajectory. Analysts project GDP growth to reach 5.8% in 2025, with forecasts averaging 6.5% for 2026–2027. 

Zambia's fiscal position is on a positive trajectory, with public debt forecasted to decline substantially from 133% of GDP in 2023 to 90.7% in 2025, following agreements to restructure approximately 94% of the country's external debt. In Q4 2025, total government revenues and grants exceeded quarterly targets by 7.5%, while tax revenue collections outperformed expectations by 8.4%, largely driven by higher than projected income tax collections. 

Macroeconomic Indicators 

Inflationary pressures are moderating, with annual inflation declining to an average of 11.3% in Q4 2025 from 12.6% in Q3 2025 and 16.3% in the corresponding period of 2024. The Zambian Kwacha continues to demonstrate resilience, appreciating by 2.8% against the US dollar in Q4 2025, trading at an average of ZMW22.81/USD. Commercial lending rates have also showed improvement, declining to an average of 28.6% in Q4 2025, which supports enhanced access to finance for businesses. 

Sectoral Expansion and Fiscal Outlook 

Mining, agriculture, and tourism continue to drive growth. The information and communication sector and the transportation and storage sector demonstrated particularly strong performance in Q3 2025, achieving growth rates of 21.6% and 20.3%, respectively. The mining sector remains central to Zambia's economic fortunes; copper production increased by 7.7% in Q4 2025. 

Whilst challenges such as climate risks, hydroelectric power shortages, and reliance on the mining sector warrant ongoing attention, Zambia's economic fundamentals continue to strengthen, and macro-economic performance remains broadly positive. 

International Engagement 

Zambia's engagement on the international stage is multifaceted, with active participation in several international organisations. These include the United Nations (UN), the African Union, the South African Development Community (SADC), the Common Market for Eastern and Southern Africa (COMESA), and the Commonwealth of Nations. Such involvement underscores Zambia's commitment to collaborative efforts in addressing regional and global

PwC Zambia

PwC Zambia is a testament to professional excellence, boasting a team of over 180 dedicated staff members. The firm offers a comprehensive suite of services, including assurance, advisory, and tax services. The tax practice is particularly noteworthy, encompassing all facets of Zambian taxation with a focus on inbound investment. PwC Zambia's expertise spans several key sectors, including mining, financial services, consumer and industrial products, and services sectors, positioning the firm as a leader in professional services within the country.