Ritam Holdings Plans $500m Investment
Zambia Daily Mail, July 12, 2022
RITAM Holdings, a South African holding company, will in the next three years invest US$500 million in various sectors of the economy, with a targeted 2,000 jobs for the local people.
This follows the good policies of the New Dawn government, particularly the ones encoded by President Hakainde Hichilema during the mining indaba in South Africa recently.
Mr Hichilema pledged Zambia’s active participation in Africa’s economic agenda through unlocking investment potential in the extractive industry.
He said to this effect, Zambia has started reforming its mining sector in order for the country to maximize its potential for economic development.
Key sectors covered up by the company include health, agriculture, mining, finance and energy.
The company has set up base in Lusaka and plans to acquire land and start building a multi-storey head office within 90 days.
Ritam Holdings chairman Mcebisi Mlonzi said: “As a South African diversified holdings company, we found it befitting to work in partnership with Zambia, given our southern African ties to strive to become Africa’s leading diversified industrial group, applying innovation, technology and resources to enhance the sustainability and development of human life.
“We will be launching a multi-sector investment in Zambia, this is off the successful partnership with Government on a hospital infrastructure project through one of Ritam Holdings subsidiaries, TFM. The success of the hospital has paved way for Ritam Holdings to strengthen its ties with Zambia by launching a multi-sector group of companies supported by investments that will exceed US$500 million over the next three years.”
Mr Mlonzi said in a statement yesterday that the broader vision for Zambia is to make a positive contribution to the economy by creating value, wealth, jobs and transferring skills.
Meanwhile, Ritam Ecomed Zambia chief executive officer Marius Smith said the goal of the firm is to be the first choice for medical equipment solutions, supported by innovative technology, quality and comprehensive range of products, among others.
Ritam Ecomed, a subsidiary of Ritam Holdings, is a flagship medical equipment supply, installation, commissioning, servicing, maintenance and training company that has partnered with Zambian-based healthcare company Kano Healthcare Solutions.
Under the partnership, Ritam Ecomed will provide solutions in the areas of intensive care units, theatres, maternity wards, general wards, trauma units, radiology, emergency medical services, homecare and pain management.
The Zambian Government Makes Historic Commitment to Protect Kafue National Park
African Parks, July 2, 2022
Lusaka, Zambia: On the 1st of July 2022, the Government of Zambia and conservation non-profit organisation, African Parks, announced the signing of a 20- year-agreement for the Kafue National Park in a landmark commitment to secure the protection and effective management of one of Africa’s ten largest national parks. This significant new partnership will deliver greater investment in all aspects of Kafue’s park management, to realise its exceptional value to biodiversity, socio-economic development and the people of Zambia.
The agreement follows the successful conclusion of a 16-month Priority Support Plan (PSP), initiated in February 2021 by the Department of National Parks and Wildlife (DNPW) and African Parks, to provide technical and financial support for Kafue. Funded by the Dutch Postcode Lottery’s Dream Fund grant, and supported by The Nature Conservancy and the Elephant Crisis Fund, the PSP has been central to concluding this momentous full-term mandate.
Speaking during the event in Lusaka, Zambia Ministry of Tourism Permanent Secretary Evans Muhanga stated, “Following nearly two decades of collaborating with African Parks, the Government of Zambia is confident that this partnership will protect Kafue’s valuable landscape for the benefit of the country. This is a new and exciting chapter for Kafue National Park and we look forward to the socio-economic development and other opportunities that come from expanding sustainable tourism through effective park and wildlife management. We also greatly appreciate the support provided by the Dutch Postcode Lottery for this project.”
Through the PSP, African Parks has laid the foundation for the ongoing development and management of Kafue. During this period US$3.6 million was invested into park infrastructure and operations, including: the construction of a new law enforcement centre; rehabilitation of existing infrastructure at Chunga and Ngoma; grading of 2000 km of roads; aerial support to law enforcement operations with both helicopter and fixed wing; completion of an aerial census for the entire landscape; and the creation of 150 permanent jobs. It also included US$800 000 in law enforcement salaries, which were reimbursed to the Government of Zambia.
The new agreement provides a full mandate to implement a holistic management plan, including a continuation of the work set out in the PSP. Priorities for 2022 include further upgrades of roads to improve visitor access, development of community facilities and projects, an upgraded communications network and the operationalisation of the state-of-the-art law enforcement centre.
African Parks’ CEO, Peter Fearnhead said: “Through the conclusion of this management partnership, the Zambian Government sets in motion the process to fully restore Kafue as one of Africa’s greatest conservation areas. In addition to investing in Kafue’s exceptional landscape and the conservation of its biodiversity, it also enhances Kafue’s value for communities and its economic contribution to the country.”
Spanning 22,400 km2, Kafue National Park is situated in the world’s largest transfrontier conservation area, the Kavango Zambezi (KAZA TFCA), which straddles five countries - Angola, Botswana, Namibia, Zambia and Zimbabwe. The park is amongst the world’s most important natural heritage sites and an essential water source for the region. One of the last vast expanses of the iconic Zambezian ecoregion, and home to elephant, large predators, 21 species of antelope and 515 bird species, Kafue holds potential to become one of Africa’s most exceptional tourist destinations.
The Government of Zambia first partnered with African Parks in 2003 in Liuwa Plain National Park and subsequently in 2008 in Bangweulu Wetlands. Kafue National Park is the 20th park to join African Parks’ portfolio.
This is made possible by the Dutch Postcode Lottery’s Dream Fund grant, a 16.9 million Euro contribution awarded to the World Wildlife Fund for Nature (WWF), Peace Parks Foundation and African Parks to assist KAZA partner states in securing the TFCA through integrated initiatives. The long-term mandate will continue to be supported by the Dutch Postcode Lottery’s Dream Fund.
USAID Commits $60 Million Towards Addressing Zambia’s Economic Challenges
Lusaka Times, June 30, 2022
The United States government has committed to contribute over 60 million United Stated dollars to Zambia to help address some of the economic challenges the country is facing.
USAID Administrator, Samantha Power said 9 million United States Dollars will go towards addressing the immediate effects of high fuel prices and food insecurity in the country.
Ms Power noted that the 30 million United States Dollars will go towards boosting trade and investment in the country to attract foreign markets and the other 20 million United States Dollars will go towards Small and Medium Enterprise (SMEs).
She added that the other 4 million United States Dollars will go towards addressing some of the legal reforms arising from integrity and corruption among other things.
The Administrator announced this investment yesterday when she paid a courtesy call on President Hakainde Hichilema at State House yesterday.
Ms Power added that the US government is committed to supporting Zambia’s democratic advances by addressing issues of economic humanitarian and geopolitical issues.
She however commended government for the excellent reform agenda of the country adding that the US government will continue to support Zambia so that the country can be reformed to become a better country.
Ms Power said 10 months ago, Zambia was filled with things to deal with corruption and high inflation rates adding that the world can see the commitment that the new government is doing to change the picture.
And President Hakainde Hichilema has thanked the United States government for the unwavering support that they have continued to give Zambia.
Mr Hichilema noted that the United States government has supported Zambia in almost all the sectors of the economy starting from education, health and water reticulation among others.
He said the funds that the US government has committed to give Zambia will go a long way in addresses some economic challenges.
The Head of State noted that the funds will help balance the economy and in turn market Zambia internationally.
Zambia’s Implementation of Economic Program is Impressive, IMF Says
Zambia Invest, June 20, 2022
Ms. Antoinette M. Sayeh, Deputy Managing Director of the International Monetary Fund (IMF), recently visit Zambia and issued a statement at its conclusion in which she praises the authorities’ efforts in restoring macroeconomic stability.
In her statement, she thanked Zambia’s President Hichilema, the Minister of Finance and National Planning Musokotwane, and other senior officials for their hospitality, and civil society organizations, parliamentarians, and the donor community for their engagement.
“I was happy to have the opportunity to hear about recent economic developments, including the impact of rising global commodity prices, and their implications for the economic outlook. I welcomed the sustained commitment of the authorities to the reform plans outlined in the context of the December 2021 staff-level agreement on an IMF-supported program. Zambia’s implementation to date of its homegrown economic program is impressive. This is a robust program that can achieve the authorities’ goals of restoring macroeconomic stability and laying the foundations for more resilient and inclusive growth,” she noted.
She also praised the authorities’ focus on greater investment in education and health and was pleased to hear that the execution of this spending is on track.
The statement concludes: “We (the IMF) are encouraged by the news that the official creditor committee will meet today to begin deliberations on Zambia’s request for a debt treatment under the G20 Common Framework. We urge creditors to provide financing assurances as soon as possible, as they are needed before staff can put forward Zambia’s program for consideration by the IMF Executive Board. This will allow Zambia to access Fund resources, and also unlock access to critical financing from other partners, to help boost its economic recovery.”
Read more at: https://www.zambiainvest.com/economy/implementation-of-economic-program-impressive-imf/ and follow us on www.twitter.com/zambia_invest
Zambia Investment Agency Signs MoU with Kenya Investment Authority
Zambia Invest, June 22, 2022
On 21st June 202, the Zambia Development Agency (ZDA) and the Kenya Investment Authority (KenInvest) signed a five-year Memorandum of Understanding (MoU) aimed at enhancing the cooperation of the two institutions in investment promotion and exchange of investment-related information.
The MoD wth signed in Nairobi by ZDA Acting Director-General Albert Halwampa and by KenInvest Managing Director Olivia Rachier.
Through the MoU the two institutions have established a practical framework for the development of stronger business relations and strengthening of institutional relations and capacity building through mutual cooperation.
The objectives of the MoU include leveraging on parties resources in promoting Foreign Direct Investments (FDIs) consistent with the underlying institutional mandate and legal framework of the two institutions.
In addition, the two institutions hope to jointly execute activities that will enhance the investment relations between Zambia and Kenya, and strengthen and maintain technical cooperation in areas identified in the agreement.
The identified areas of collaboration include investment promotion and business facilitation, information exchange, collaboration and exchange programs, organization of events and aftercare facilitation.
In the area of investment promotion, the two parties agreed to facilitate and aid investors from the country of one party desiring to invest in the country of the other party.
Further, the parties will focus on both outward and inward foreign direct investment between both countries while collaborating and assisting each other in establishing, developing and packaging investment projects in both jurisdictions.
In terms of collaboration and exchange programs, the two institutions will encourage and support the exchange of technical expertise, knowledge, and training opportunities in investment promotion, investment facilitation, investor aftercare, and policy advocacy.
The two parties will also promote the transfer of technology between the two countries in priority sectors of their economies and encourage linkages and partnerships between Small and Medium Enterprises (SMEs) from both countries. Meanwhile, in the area of organization or business missions, the two parties will organize delegations related to investment in the country of either party and participate in exhibitions, meetings and conferences organized by either party.
Zambeef to Invest USD $100 Million to Double Crop Production
Zambia Invest, June 21, 2022
Zambeef Products Plc (AIM:ZAM, LUSE:ZAMBF), the largest food products and agribusiness company in Zambia, has recently announced a USD 100 million expansion plan that will double its crop production while adding associated value and capacity to the company’s stockfeed, meat production and processing facilities and retailing operations.
Zambeef is involved in the primary production, processing, distribution and retailing of beef, chicken, pork, eggs, dairy, fish, flour, stock feed and day-old chicks throughout Zambia and the surrounding region. It operates 236 retail outlets in Zambia, Nigeria and Ghana.
Zambeef also has one of the largest row cropping operations in Zambia, growing maize, soybeans and wheat. Zambeef plants nearly 23,000 hectares annually, with most of the resulting crops being used in the Zambeef animal feed and flour milling businesses.
In its press release, the company explains that it will not only expand its various value chain production capacities but will also deliver developmental impact to the Zambian economy through job creation, increased tax revenue and supporting ancillary businesses such as small-scale farmers and small to medium-sized businesses.
Zambeef currently secures the produce of 1,700 small-scale farmers and post the expansion of the number of small-scale farmers it supports by buying their produce, and is targeted to grow this number to 6,760, thereby creating more jobs and contributing to the alleviation of poverty.
The investment will double the company’s Mpongwe farm’s row cropping capacity of grains to 150,000 tons per annum, consisting primarily of wheat and soya beans.
The envisaged expanded wheat production capacity will position Zambeef to be contributing approximately 20% of Zambia’s total annual production.
In response to the news, Zambia’s Minister of Finance Hon. Situmbeko Musokotwane said: “This investment is extremely pleasing as it is in direct response to the government’s support of the private sector in undertaking development projects and demonstrates the confidence Zambeef has in the seriousness of the government in its pledge to support the growth of home-grown businesses. The Government is further gratified that the investment comes at the right time, when the world is grappling with an imminent food crisis. The investment will not only ensure national food security, but will boost the Zambian economy and improve livelihoods. It will propel Zambia on its path to attaining the goal of being the food basket of the region”.
Zambia GDP to Grow 3.1% and 3.6% in 2022 and 2023, IMF Projects
Zambia Invest, June 20, 2022
The International Monetary Fund (IMF) has recently released its World Economic Outlook Report (WEO) 2022, projecting a Gross Domestic Product (GDP) growth of +3.1% and +3.6% for Zambia in 2022 and 2023.
Global Economic Growth in 2022 and 2023
Global economic prospects have worsened significantly since the IMF’s last World Economic Outlook forecast in January 2022, the report explains.
At the time, the IMF had projected the global recovery to strengthen from the second quarter of 2022 after a short-lived impact of the Omicron variant.
Since then, the outlook has deteriorated largely because of Russia’s invasion of Ukraine—causing a tragic humanitarian crisis in Eastern Europe—and the sanctions aimed at pressuring Russia to end hostilities.
This crisis unfolds while the global economy was on a mending path but had not yet fully recovered from the COVID-19 pandemic, with a significant divergence between the economic recoveries of advanced economies and emerging markets and developing ones.
In addition to the war, frequent and wider-ranging lockdowns in China—including in key manufacturing hubs—have also slowed activity there and could cause new bottlenecks in global supply chains.
Higher, broader, and more persistent price pressures also led to a tightening of monetary policy in many countries.
Overall risks to economic prospects have risen sharply and policy trade-offs have become ever more challenging.
Beyond the immediate humanitarian impacts, the war will severely set back the global recovery, slowing growth and increasing inflation even further.
The report projects global growth at 3.6% in 2022 and 2023 from an estimated 6.1% in 2021.
The downgrade largely reflects the war’s direct impacts on Russia and Ukraine and global spillovers.
Beyond 2023, global growth is forecast to decline to about 3.3% over the medium term.
Because Russia is a major supplier of oil, gas, and metals, and, together with Ukraine, of wheat and corn, the current and anticipated decline in the supply of these commodities has already driven their prices up sharply.
Europe, Caucasus and Central Asia, Middle East and North Africa, and sub-Saharan Africa are most affected. The food and fuel price increases will hurt lower-income households globally.
Moreover, many countries have limited fiscal policy space to cushion the impact of the war on their economies.
In this difficult and uncertain environment, effective national-level policies and multilateral efforts have an ever more important role in shaping economic outcomes. Central banks will need to adjust their monetary stances even more aggressively should medium- or long-term inflation expectations start drifting from central bank targets or core inflation remains persistently elevated.
Copperbelt Business Groups Praise President HH’s Commitment To Mining Sector
Zambian Observer, June 14, 2022
Business groups and other stakeholders on the Copperbelt have praised President Hichilema for his commitment to the mining sector; in particular his pledge to unlock opportunities for local suppliers and contractors.
On Saturday, the President addressed a large crowd of residents at the Chaganamai grounds in Kitwe. During his speech, he reiterated the government’s commitment to unlocking opportunities at Konkola and Mopani Copper Mines in order to create local jobs.
The Zambia Association of Manufacturers (ZAM) described the news as “welcome”, saying that it was something local small and medium-sized enterprises had been looking forward to for some time.
ZAM President Ashu Sagar said the priority for the government should be to allow local contractors and suppliers to participate in mineral resource value chains. He observed that President Hichilema’s plans to resuscitate the Zambian economy chimed well with this.
In recent weeks the government has been working to unlock operations at the previously gridlocked Konkola Copper Mines and Mopani Mines. Last week, KCM’s provisional liquidator Celine Nair announced the mine would be appointing an adviser to held find a new equity investor willing to fund the mine’s expansion. She also announced the resumption of operations at KCM’s open pit mine.
At Mopani Mines, meanwhile, the government recently announced plans to resume cobalt production after it was halted more than a decade ago. The move will help Zambia capitalise on the accelerating market for electric vehicle batteries, in which cobalt is a vital resource.
In Saturday’s speech, President Hichilema also announced that the government was prioritising works on the Ndola-Mufulira and Chingola-Chililabombwe-Kasumbalesa roads. Mr Sagar similarly described this as a positive step, with the roads providing key infrastructure to enhance trade between Zambia and the Democratic Republic of Congo.
“As a manufacturing sector, we rely on these border posts to take our goods to Congo which is one of the major markets, I think this is a very welcome move by the President that we have the roads worked on, as soon as possible,” he said.
EU-Zambia Forum Great Initiative
Zambia Daily Mail, May 19, 2022
Indeed there is no grain of doubt that Zambia is back on an impressive economic growth trajectory. From launching the Public Private Dialogue Forum (PPDF) three weeks ago, to addressing the Investing in African Mining Indaba in South Africa just over a week ago, President Hakainde Hichilema yesterday graced the European Union (EU)-Zambia Economic Forum.
While his attendance of the mining indaba triggered interest among conglomerates like First Quantum Minerals to invest US$1.4 billion in Kansanshi Mine, the PPDF and EU-Zambia Economic Forum will generate private sector investments and business opportunities that foster economic growth and job creation. These are significant milestones in the new dawn government’s efforts in resuscitating an economy which has been beleaguered over many years of maladministration. The EU-Zambia Economic Forum is the first of its kind launched on April 5 this year by Minister of Commerce, Trade and Industry Chipoka Mulenga under the theme ‘Economic transformation through green growth’.
Image: Christian Lue via Unsplash
Yesterday, this high-level event brought together entrepreneurs, experts, financial institutions, innovators, and policy decision-makers from Zambia, the EU and representatives of its 27 member states. It has created a rare platform for EU and Zambian business people to work together and create economic synergies to promote employment and wealth creation. We therefore urge Zambian business leaders to take advantage of the opportunity created by this economic forum to collaborate with their European counterparts in exploring new avenues of making their enterprises buoyant and grow. The foreign investments President Hichilema is attracting into Zambia should not be misconstrued in any possible way just because some of the investors are from the West. We do not agree with such a misplaced perception because the focus of the head of State is to attract investors from strong economies such as those in Europe. Pessimists should therefore not divert Zambians’ attention to petty talk because citizens are interested in seeing an economic turnaround of the country. About a fortnight ago, President Hichilema met new Chinese Ambassador to Zambia Du Xiaohui at State House where he stressed the need for continued close ties of interest and fruitful cooperation in economic affairs, culture and security between Zambia and China. So, rather than dwelling on destructive talk, doomsayers should give Mr Hichilema chance to continue focusing on driving his government’s economic diplomacy agenda, which is pivotal in job creation, attracting investments, and improving people’s welfare. By spearheading the EU-Zambia Economic Forum, the President is aware of the immense benefits Zambia will derive from this initiative because Europe has some of the strongest businesses in the world. Like he correctly pointed out, the €1.6 billion current EU investments in Zambia are inadequate, and through the economic forum, European companies’ level of investment will certainly rise. “Honestly speaking, €1.6 billion, Europe is a giant, I am not convinced that €1.6 billion is something to be proud of. We should work to triple this figure to at least €5 billion,” President Hichilema said. The EU-Zambia Economic Forum alongside the PPDF will be institutionalising private sector investment locally and internationally because both forums are anchored on fostering private sector participation in economic affairs of Zambia. That is why we applaud every effort President Hichilema and his government are making in attracting investments into Zambia because that is the surest avenue to transforming the country’s ailing economy.
Anglo American to Return to Zambia with Arc Minerals Copper Deal
Reuters, May 12, 2022
Anglo American returns to Zambia with copper deal
CAPE TOWN, May 12 (Reuters) - Arc Minerals (ARCMA.L)shares jumped 6.7% on Thursday after it announced an agreement under which Anglo American (AAL.L) would take majority control of the junior exploration firm's Zambia copper-cobalt licences.
Under the deal, which was first reported by Reuters, Anglo will take 70% of a joint venture with Arc that will own licenses to explore Zambia's copper-rich North-Western province, an area Anglo previously explored in the late 1990s. It would mark the first new investment by Anglo in Zambia in 20 years.
Major mining firms are searching for new sources of the battery metals copper and cobalt, especially following the war in Ukraine and sanctions on Russia which have sent metal prices soaring.
Anglo American will pay $3.5 million into Arc upon signing. It will be able to retain its stake by spending $74 million on exploration within seven years of signing and making cash payments of $11 million to Arc, according to terms of the deal.
Arc Minerals previously had an exclusivity agreement with Anglo from July 2020 to July 2021, and when that lapsed Arc Minerals said it would start talks with other major miners which had approached it.
Zambia, Africa's second-largest copper producer, has become a more attractive investment proposition for mining companies since the election last August of business-friendly President Hakainde Hichilema and a subsequent mining tax reform.
The country aims to more than triple its annual copper output within the next decade to 3 million tonnes a year.
First Quantum Minerals last Sunday said its board had approved plans for a $1.25 billion expansion of its Kansanshi mine in Zambia, a decision it said was prompted by renewed confidence in Zambia's investment climate.
Image via Reuters
DRC/Zambia: An Agreement to Manufacture Batteries for Electric Vehicles
Afrik 21, May 9, 2022
Zambia and the Democratic Republic of Congo (DRC) want to use the 70% of the world's cobalt reserves in their subsoil for the local manufacture of batteries for electric vehicles. The two border states have signed a memorandum of understanding to create a joint value chain for the electric mobility and clean energy sectors.
The positioning of Africa as a world leader in the manufacture of electric batteries will undoubtedly involve the Democratic Republic of Congo (DRC) and Zambia. Lusaka and Kinshasa have just signed a cooperation agreement to develop their cobalt reserves, a metal that is essential to the energy transition and electric mobility because of its high energy storage capacity.
The project, called the “Republic of Zambia and DRC Battery Council”, will be implemented on two sites, one in the Congolese province of Haut-Katanga and the second in Copperbelt, a border region (Zambia) particularly rich in mineral deposits, including copper. This body, placed under the aegis of the United Nations Economic Commission for Africa (ECA), will benefit from financial mobilization entrusted to the African Export-Import Bank (AFREXIM Bank) for its implementation.
“Africa has long been considered a source of raw materials. This project should contribute to the diversification of the economy and the creation of green jobs for the reduction of poverty in our two countries,” says Zambian President Hakainde Hichilema.
Image via Afrik 21
Government to launch Public-Private Dialogue Forum
Lusaka Times, April 26, 2022
The government will officially launch the Public-Private Dialogue (PPD) Forum tomorrow.
The dialogue aims at strengthening private sector engagement in Zambia’s economic development agenda and facilitate collaboration among relevant stakeholders to address critical sector specific constraints.
Acting Secretary to Cabinet, Patrick Kangwa says government recognises that private sector is the engine of economic growth and the best tool for job creation.
Mr. Kangwa said it is therefore crucial to understand better how government can effectively work together with the private sector to reach the country’s full potential.
He explained that the forum will be used as an opportunity to identify the market failure and develop strategies to address them.
Mr. Kangwa further added that the event is expected to bring together key stakeholders from the public and private sector and cooperating partners to engage in discussion in order to support enablers for sustainable growth in sectors that will yield developmental dividends for the country.
The dialogue will be held under the theme “Fostering Private Sector Growth and Economic Development.
Yesterday, during the press conference, President Hichilema said government considers the private sector as an engine for economic development, this is why government wants to hold the Public-Private Dialogue Forum for Development aimed at unlocking all challenges that impede the growth of the sector.
This is according to a statement availed to the media in Lusaka today, by Acting Secretary to Cabinet, Patrick Kangwa.
Landmark €6.5m Youth Skills Deal
Zambia Daily Mail, May 23, 2022
THAT the European Union (EU) and United Nations (UN) have signed a €6.5 million youth skills development contract for Zambia is good news indeed. These are some of the fruits of last week’s EU-Zambia Economic Forum, for which some naysayers in their typical unconstructive talk accused President Hakainde Hichilema of being pro-West investment. The forum was attended by representatives of 27 EU member countries, African Union Commission, and Bankers Association of Zambia, among others. This historic signing of the €6.5 million contract for skills development among Zambian youths could not have come at a better time than now when there are so many young university and college graduates still looking for employment.
Barely four days after the forum, President Hichilema announced in a message posted on his Facebook page that the €6.5 million contract is for supporting skills development among Zambian youths. With this development, the President is right when he says our young people should take advantage of this opportunity to contribute to Zambia’s development trajectory.
President Hichilema at the EU meeting
“When opportunity knocks, our youth have to be ready. We are happy to inform the nation that the European Union and United Nations have signed a contract for €6.5 million for skills development for increased employability programme in Zambia,” Mr Hichilema said. This is aimed at enabling the country’s institutions to train youths in various skills so that they could create employment for themselves and other Zambians. The new dawn administration has always been talking about creating jobs for youths, especially that they form the major segment of the country’s voting population. Inasmuch as this administration has placed job creation top of its agenda, young people should always bear in mind that Government is only there to create a conducive environment for investment in various sectors. It is through investments such as the EU and UN one that jobs are created, mainly by the private sector, of course in collaboration with Government. We therefore urge the youth to take advantage of the €6.5 million skills development contract to enrol in various institutions that will be responsible for skills training under this project. With the EU and UN financed contract, the focus for Zambian youths should not just be on white-collar jobs, but also to delve into various entrepreneurial endeavours to create their own job opportunities.
For any country to develop, it requires home-grown economic growth through engagement in a variety of small and medium businesses by citizens themselves. That is why we urge all well-meaning citizens to support every effort the new dawn government is making to promote investment from within and beyond the borders of Zambia. This is because the just-ended EU-Zambia Economic Forum is already bearing fruit, and hopefully more investments will unfold soon. The €6.5 million skills development contract for Zambian youths is just the beginning of better things to come under the current administration because its leaders do not just talk, but they also walk the talk. Therefore, it is entirely up to youths to get empowered with life skills for them to employ themselves and create jobs for others. We applaud the move by EU and UN to sign the €6.5 million skills development contract for our young people. This is how it should be.
Image: Christian Lue via Unsplash
UK BII To Scale Up Investment In Zambia For Sustainable Development
Zambia Invest, April 22, 2022
On 5th April 2022, the UK’s Minister for Africa, Vicky Ford, and UK’s development finance institution CEO Nick O’Donohoe celebrated in Lusaka the launch of the institution’s new name, British International Investment (BII), formerly the CDC Group.
The event, which was attended by Ministers and business leaders, marked the first official launch of the BII brand in Africa, demonstrating the UK’s commitment to working with the Government of Zambia on productive, sustainable, and inclusive growth.
After 74-year of history across Africa and a track record of investing to support private-sector growth and accelerate impact, BII will scale its commitment to Africa and set new ambitions to usher in a new wave of investment in clean and green infrastructure and digital transformation.
BII investment already supports over 6,000 jobs across 20 companies within a range of sectors, and its recent allocation of a USD 20 million trade finance facility to five banks in Zambia, provides fresh capital that helps keep trade flowing through the economy.
Then Foreign Secretary Lizz Truss Talking at a BII Event in 2021
BII will continue to make investments that bolster financial institutions and businesses, create jobs, and boost trade in Zambia.
Moreover, the strategy to scale climate finance in Africa will help deliver on the Green Growth Compac, a framework signed by the UK and the Government of Zambia outlining their joint objective to build a stronger, more diversified, and inclusive Zambian economy.
Commenting on the launch, Nick O’Donohoe, CEO of BII, said: “I am pleased to be here with Minister Ford in Zambia, a country with whom BII has such a strong shared history. From our first investment in Zambia over 70 years ago, we have targeted a broad range of sectors where we saw opportunities to respond to the country’s growth needs and help mobilize greater investments to transform the economy. As we step into our new strategy under a new name, as a British institution at the heart of the UK Government’s international financing offering, we remain committed to scaling investment that will address the most pressing development needs across Africa. In Zambia, we will direct our capital toward supporting industries that will ensure Zambia’s green development pathway and help build economic prosperity for future generations.”
For her part, Minister for Africa Vicky Ford, MP said: “Launching the new British International Investment (BII) here in Zambia is a key moment for the UK financing of private sector growth and infrastructure across Africa. We are committed to support countries grow their own economies, bolster private sector investment and trade, and deliver the returns that will support wider socio-economic development.”
She also announced that GBP 4m of UK aid funding is being invested through InfraCoAfrica into projects in Zambia that will help boost electricity access for families and businesses.
Zambia to Export Additional Power to Namibia
CGTN, April 13, 2022
Zambia will start exporting an additional 80 MW of electricity to Namibia following an agreement signed by the utility companies of the two countries on Tuesday in Lusaka.
Zambia's Zesco Limited and Namibia's Nampower signed a power supply agreement for the export of an additional 80 MW in addition to 100 MW being exported after the first agreement was signed in 2020.
Victor Mapani, the Managing Director of Zesco Limited, said the signing of the agreement demonstrated the continued cooperation and trust between the two utilities.
According to him, being a member of the Southern African Power Pool has created opportunities for Zesco to play a major role in trade in the regional power blocks.
Kahenge Haulofu, the Managing Director of Nampower said the agreement demonstrated the relationship that exists between the two companies over the years.
He said such collaboration will make a meaningful contribution to the economies of the two countries.
Image via CFP
Ethereum Founder Is Backing Zambia’s Bid to be Africa’s Tech Hub
Bloomberg, 27 March, 2022
Zambia may be better known for mining copper than crypto, but a group of young entrepreneurs are looking to reinvent the country as an African technology hub -- with support from Ethereum co-creator Vitalik Buterin.
Startup founders from the southern African country and abroad are talking to the government about creating the regulatory and business environment that would attract more tech firms and capital. The group is in the process of organizing a conference in Lusaka, the capital, in May to draft detailed policy proposals that they believe will see Zambia succeed where previous African tech hubs have stuttered.
“Ultimately it comes down to being welcoming,” said Mwiya Musokotwane, an early champion of the project and the son of Finance Minister Situmbeko Musokotwane. “If the policy doesn’t really live up to people’s expectations, noone’s going to be there.”
Buterin, who helped create the world’s second largest cryptocurrency in 2013, expressed his support in a virtual meeting with Zambian President Hakainde Hichilema earlier this year. That followed a 2019 visit to the country as a guest of Mwiya, who wanted him to view a new charter city outside Lusaka that is also positioning itself to attract businesses.
“I was impressed by everyone I met’s willingness to go and do big things,” the crypto pioneer said in an interview.
The talks are a further sign of Africa’s recent and burgeoning role as a hotbed for startups, particularly in the fintech and e-commerce sectors. Businesses providing financial services to the continent’s millions of unbanked yet online people are attracting the attention of foreign investors particularly from the U.S., and African firms raised a record $5 billion in 2021.
Read More: U.S. Investors Revisit Africa, Helping Startups Cap Record Year
Companies including Nigerian payments firm Flutterwave Inc., whose latest $250 million fund-raising round valued it at more than $3 billion, are also interested in growing a presence in Zambia, Mwiya Musokotwane said.
Employment Drive
For Hichilema, attracting tech firms could be a means of delivering on one of his key election pledges -- boosting employment. More than one in four Zambians under the age of 24 have no income, according to data from the International Labour Organization, and the ratio has been worsening since 2013. The President’s commitment to resolving the issue played a major role in his August election victory after five previous failed attempts.
He has since created the Ministry of Technology and Science as part of a drive to support the sector and help ease dependence on copper, which accounts for 75% of export earnings. The government is eager to consult with entrepreneurs on attractive policies for the tech industry, including tax incentives, according to Jito Kayumba, Hichilema’s special assistant for economic and development affairs and a former director at Kukula Capital, which invests in young Zambian companies.
“We want to have a much more open-minded approach,” Kayumba said in an interview from Lusaka. “You can’t milk a cow that isn’t fully developed.”
Early Mover
Perseus Mlambo, originally from neighboring Zimbabwe, was one of the early movers. He started payments platform Zazu Africa Ltd. in Zambia five years ago, a firm that now accounts for half of Mastercard Inc. transactions in the country.
He went on to raise $3 million last year from investors led by U.S. fund Tiger Global LP for a new venture called Union54, a firm that allows companies to issue their own debit cards without going through a bank. Tiger, the investor firm of billionaire Chase Coleman, has also backed Flutterwave and been involved in talks on the Zambia hub.
“Copper is old and boring,” Mlambo said in an interview from Belluno, north of Venice, Italy. Governments “risk missing the proverbial boat by over-investing in extractives and under-investing in software. Tech uplifts multitudes of people and the barrier to entry is very, very low.”
But ultimately the success of the project will come down to legislation.
Zambia must improve the ease and cost of getting work permits, according to Malawi-born Wiza Jalakasi, vice-president of global developer relations at Chipper Cash, another Africa-focused fintech startup. And Mlambo said he’s been waiting for a residence permit to be approved since September.
Still, the nation that’s changed the ruling party three times in thirty years already has progressive financial services regulation, making it attractive, Jalakasi said.
“It’s not the biggest market in the region, but you can test things very easily,” he said. “That’s only going to get better with time as these policies are implemented.”
Image via Chet Strange/Bloomberg
First Quantum Looks to Long Term Renewable Wind and Solar Power for Zambia Mines in Project with TotalEren & Chariot Transitional Power
International Mining, March 23, 2022
First Quantum Minerals (FQM) is pioneering an ambitious solar and wind energy project that it hopes will provide stable power for its Zambia operations on a long-term sustainable basis. While the ambitious project is still in its early stages, the mining giant is confident the proposed development will be one of the most significant renewable energy projects in Africa. The 430 MW project is expected to consist of a 230 MWp solar photovoltaic (PV) plant and a 200 MW wind farm to supply power to FQM’s operations Kansanshi mine in Solwezi and Sentinel mine in Kalumbila. Construction is expected to start next year.
The circa $500 million project will be developed, financed, built and operated by Total Eren, a leading France-based renewable energy Independent Power Producer (IPP), and Chariot Transitional Power, the African focused transitional energy group. It will be funded leveraging non-recourse project finance debt.
FQM’s Kansanshi Mine General Manager Anthony Mukutuma said: “The project will offer significant benefits to Zambia, by unlocking some of its world-class renewable potential. It will help the country realise some of its untapped solar and wind resources by attracting large-scale foreign investment and adding significant renewable energy capacity. In line with Zambia’s Vision 2030, the project will further contribute to improving Zambia’s energy-mix, reducing expensive regional power imports and exposure to fuel prices.”
While the company’s operations are already powered by approximately 80% renewable energy through a longstanding and ongoing relationship with state electricity supplier ZESCO – and which is expected to remain an important partner for the future – First Quantum also delivers significant greenhouse gas emissions savings – around 100,000 t CO2e in 2020 – through the successful implementation of mining technology that leverages this renewable power.
The new project would complement and expand Zambia’s existing renewable energy capacity to provide First Quantum with competitive and sustainable power for its Zambian mining operations, while delivering on the company’s commitment to decarbonisation. However, increasing pressure on Zambia’s existing hydroelectric resources together with increased risk of supply disruption as a result of drought has highlighted the need to diversify Zambia’s power supply while maintaining the current low emissions.
Major projects such as this underline First Quantum’s responsible mining credentials and are a critical part of its plan to reduce its carbon footprint by 30% by 2025, added Mukutuma.
Total Eren’s EVP and Global Head of Business Development Fabienne Demol said: “Together with our partner Chariot, we are pleased to bring our global expertise in solar and wind generation to power FQM’s operations. The combined solar and wind capacity will offer strong complementarity and power generation around the clock, with solar produced during the day and wind mainly at night. The project also represents a natural fit with Zambia’s hydropower resource seasonality; the project’s energy mix reaches its production peak during the dry season when the country is most exposed to droughts. Increasing the share of renewables will improve the country’s carbon footprint and address current and future challenges related to climate change.”
Total Eren is affiliated to TotalEnergies, the major energy company. In Zambia, TotalEnergies has more than 71 years of operations. The company’s ambition is to provide affordable, reliable, and cleaner energy in order to meet the ever-growing Zambian demand.
Chariot Transitional Power Executive Director Laurent Coche said: “We are very excited to be partnering with FQM and Total Eren on this ground-breaking 430 MW project in Zambia. This project further demonstrates Chariot’s commitment to assisting mining companies in Africa transition to renewable energy sources for their operations, with Zambia having an abundance of wind and solar potential. We are delighted to get started on the project, ahead of construction commencing in 2023, and we look forward to providing further updates in due course.”
President of Zambia and President of Botswana to Attend Mining Indaba 2022
Global Mining Review, March 2, 2022
Investing in African Mining Indaba has announced that the President of the Republic of Zambia and the President of the Botswana, Dr Mokgweetsi Eric Keabetswe Masisi, have confirmed their attendance at Investing in African Mining Indaba, taking place in Cape Town from 9 – 12 May 2022.
Newly elected President Hichilema, who was inaugurated in August 2021, has been hailed as an inspiration after he reversed his fortunes – having been imprisoned for 127 days after the 2016 elections he went on to secure a landslide victory in the 2021 polls.
Now the seventh president of Zambia, President Hichilema has pledged to foster a better democracy through respect for the rule of law, restoring order and protecting human rights. He also hopes to restore confidence in the country as a mining investment destination.
Zambia’s mining investment climate deteriorated in recent years as the previous administration pursued resource nationalism, leading to damaged relationships with investors and lower levels of investment. According to the the Zambia Extractive Industries Transparency Initiative, mining accounted for 79.5% of Zambia's total exports and nearly 31.4% of government revenues in 2020.
President Hichilema is expected to share his vision of a new dawn for Zambia, in which macroeconomic stability is restored and sustainable, inclusive economic growth is promoted. Believing that the mining sector can be an important catalyst for national development, his government is looking to significantly increase the production of copper and other minerals so that Zambia can reclaim its place as a leading miner on the continent. To support these ambitions President Hichilema has already introduced a friendlier mining tax regime and made clear his intention to bring stability to the sector, as well as ensuring regulatory fairness and the elimination of obstacles that stand in the way of new investment.
The President believes that stronger relationships – between the government, miners and local communities – will improve equitable growth and help the country to deliver for its citizens.
Mining remains Botswana’s biggest revenue earner, accounting for approximately 85% of national foreign exchange earnings, one-third of government revenue, and one-fifth of GDP. In recent years the government has actively sought to diversify its economy from its reliance on mining, particularly diamonds.
While Botswana continues to be one of the world’s largest diamond producers by volume, President Masisi has been actively advocating for expansion and development of the country’s diamond, coal, copper, silver and gold resources. He is also encouraging greater investment in a knowledge-based economy and the adoption of innovation in mining.
Building on the Mining Indaba 2022’s theme – Evolution of African Mining – the President is expected to share his insights on Botswana’s progress and his ambition to develop a vibrant and diversified mineral sector that contributes to the sustainable development of the Botswana economy in an inclusive manner that allows for the participation of local indigenous business. The government of Botswana wants to ensure that investments in its economy offer mutually beneficial upside to both the investor and local partners.
Facilitating greater local participation in the economy led to the launch of the government’s Middle Income Strategy in December 2021. The objective the strategy is to facilitate the middle class to effectively participate in the economy through the creation of globally competitive sustainable businesses and by boosting employment opportunities.
After the virtual event in 2021, the May 2022 Mining Indaba is back in person and is looking at the future, at moving forward. The programme content for 2022 is geared towards exploring the key drivers of investment decisions within the African mining market and forging the future direction of the African mining industry. A significant platform for over 27 years, the Indaba will this year expand its industry-leading content to include a Green Metals Day, a Host Buyer Programme and an Infrastructure & Supply Chain content stream. The investment battlefield has also been reimagined as the Innovation & Research Battlefield to encourage collaboration between the mining industry and academia.
The overarching theme: ‘Evolution of African Mining: Investing in the Energy Transition, ESG and the Economies’ is set to inspire new approaches, spark conversations and encourage partnerships that will truly transform mining on the continent.
Image: Sebastian Pichler via Unslpash
United Fertilizers Company Showcase Fertilization Practices and Benefits in Chisamba
Zambia Invests, February 20, 2022
On 20th April 2021, United Fertilizers Company Limited (UFCL) successfully conducted a field day for local farmers in Chisamba in the Central Province of Zambia.
Farmers were able to observe differences in crop performance among various fertilization practices. Particularly, the effect of additional potassium application in form of potassium chloride was demonstrated on maize and tomatoes.
Shortly prior the field part, attendees listened to a presentation about a balanced crop fertilization approach. Mr. Simunji Simunji, Chief Agronomist, commented: “We were happy to host this event and to share a piece of science with farmers as well as students. Participants have got first a general idea, theoretical background, and thereafter were able to see and understand, what processes are taking place in the field”. His colleague, Mr. Maksim Poltoradnev, added up on that, saying, that “establishing demonstration plots is very important for farmers as they work on the ground and used to trust only what they can see and touch with their own hands”.
Image Markus Winkler Via Unsplash
“The Beginning of a New Era for Travel from Lusaka!”
Airport Suppliers, February 10, 2022
National Aviation Services (NAS) and NAC2000 Corporation launched their Pearl Lounge at Kenneth Kaunda International Airport (KKIA) in Lusaka, Zambia on Tuesday. The lounge located at the new terminal is part of Zambia Airports Corporation Limited’s (ZACL) efforts to upgrade international airports in the country. Last June, ZACL awarded a five-year tender to NAS and NAC2000 to build and operate an exclusive departure lounge catering to passengers travelling out from Lusaka. The 588 square meter Pearl Lounge includes comfortable seating, food and beverages, free Wi-Fi access as well as a children’s play area among other facilities.
A number of dignitaries including Mr. Frederick Mwalusaka, Zambian Permanent Secretary of the Ministry of Transport and Logistics, Mr. Gabriel Lesa, Director General of Zambia Civil Aviation Authority and Ms. Maggie Banda, Acting MD of ZACL attended the launch event. In his speech at the opening, Mr. Mwalusaka said, “I would like to applaud this joint venture between NAS and NAC2000. This is a good example of local and foreign partnerships that create more quality products and services and employment opportunities in Zambia. It is the hope that such ventures within our new airport are the beginning of a new era for travel from Lusaka.”
All international flights out of Lusaka will fly from the new terminal at KKIA, which opened in August 2021. This includes leading international airlines including Air France – KLM in partnership with Kenya Airways, Airlink, Air Tanzania, Emirates, Ethiopian Airlines, Proflight Zambia, Qatar, Rwanda Air and South African Airlines. Zambia Airways, the recently relaunched national carrier is operating from this airport and other airlines are also expected to open routes into Zambia.
Guy Michel Yazbek, Group Director, Lounges & Meet and Assist Services at NAS highlighted “We are excited to be working with the ZACL and the Ministry of Transport and Logistics in Zambia. The launch of our new Pearl Lounge is significant. Not only because it is located at the largest airport in Zambia but also because we won this tender in the middle of a global pandemic when the aviation industry was on a downturn. The KKIA airport serves as a hub for domestic and international flights and the new lounge is the perfect space for passengers to relax and unwind or catch up on last minute work before they fly. We would like to take this opportunity to thank ZACL for the confidence and trust invested in the NAS and NAC2000 partnership. We also would like to emphasize on NAS’ commitment to Zambia and our willingness to expand our participation in the Zambian aviation industry.”
National Aviation Services (NAS), a leading airport services provider in emerging markets partners with NAC2000 Corporation, a key ground services company in Zambia to operate this Pearl Lounge. The new Pearl Lounge is one of over 50 lounges operated by NAS across its network in Africa, Europe, the Middle East and South Asia. NAS’s extended portfolio of services includes comprehensive ground handling, cargo management, technology solutions and training among others, currently serving over 100 airline customers across more than 60 airports.
Jonathan Lewis, Managing Director of NAC2000 Corporation added, “We as NAC2000 are honored to share participation in this joint venture with NAS and to work with ZACL to deliver world class lounge service and hospitality through the Pearl Lounge at the new terminal facility at Kenneth Kaunda International Airport.”
NAC2000 Corporation, a Zambian company serves all the international airports supporting airlines as well as ad hoc operators for the last 20 years. It is the only ISAGO registered and certified ground services provider in Zambia and offers warehousing, and cold storage while continuing to evolve and become an industry leader in the service of support logistics relating to the movement of cargo and passengers.