Economy Of Zambia

Economy overview Despite progress in privatization and budgetary reform, Zambia's economic growth remains below the 5% to 7% necessary to reduce poverty significantly. Privatization of government-owned copper mines relieved the government from covering mammoth losses generated by the industry and greatly improved the chances for copper mining to return to profitability and spur economic growth. Copper output increased in 2003 and is expected to increase again in 2004, due to higher copper prices. The maize harvest doubled in 2003, helping boost GDP by 4.0%. Cooperation continues with international bodies on programs to reduce poverty, including a new lending arrangement with the IMF expected in the second quarter, 2004. A tighter monetary policy will help cut inflation, but Zambia still has a serious problem with fiscal discipline.
 
GDP purchasing power parity - $8.596 billion (2004 est.)
 
GDP - real growth rate 4% (2004 est.)
 
GDP - per capita purchasing power parity - $800 (2004 est.)
 
GDP - composition by sector
agriculture: 15.3%
industry: 27.9%
services: 56.9% (2004 est.)
 
Investment gross fixed 45.2% of GDP (2004 est.)
 
Population below poverty line 86% (1993)
 
Household income or consumption by percentage share
lowest 10%: 1.1%
highest 10%: 41% (1998)
 
Distribution of family income - Gini index 52.6 (1998)
 
Inflation rate consumer prices 21.4% (2004 est.)
 
Labor force 4.59 million (2004 est.)
 
Labor force by occupation agriculture 85%, industry 6%, services 9%
 
Unemployment rate 50% (2000 est.)
 
Budget
revenues: $896.7 million
expenditures: $1.142 billion, including capital expenditures of NA (2004 est.)
 
Public debt 133.6% of GDP (2004 est.)
 
Agriculture products corn, sorghum, rice, peanuts, sunflower seed, vegetables, flowers, tobacco, cotton, sugarcane, cassava (tapioca); cattle, goats, pigs, poultry, milk, eggs, hides; coffee
 
Industries copper mining and processing, construction, foodstuffs, beverages, chemicals, textiles, fertilizer, horticulture
 
Industrial production growth rate 4% (2004 est.)
 
Electricity production 7.751 billion kWh (2001)
 
Electricity production by source
fossil fuel: 0.5%
hydro: 99.5%
other: 0% (2001)
nuclear: 0%
 
Electricity consumption 5.458 billion kWh (2001)
 
Electricity exports 1.75 billion kWh (2001)
 
Electricity imports 0 kWh (2001)
 
Oil production 0 bbl/day (2001 est.)
 
Oil consumption 11,000 bbl/day (2001 est.)
 
Oil exports NA (2001)
 
Oil imports NA (2001)
 
Oil proved reserves  
Natural gas production  
Natural gas consumption  
Natural gas exports  
Natural gas imports  
Natural gas proved reserves  
Current account balance $-340 million (2004 est.)
 
Exports $1.039 billion f.o.b. (2004 est.)
 
Exports commodities copper 55%, cobalt, electricity, tobacco, flowers, cotton
 
Exports partners UK 26.7%, South Africa 21.6%, Tanzania 13.9%, Switzerland 8.1% (2003)
 
Imports $1.128 billion f.o.b. (2003 est.)
 
Imports commodities machinery, transportation equipment, petroleum products, electricity, fertilizer; foodstuffs, clothing
 
Imports partners South Africa 48.3%, Zimbabwe 12.8%, UK 5.9%, UAE 4.3% (2003)
 
Reserves of foreign exchange gold $247.7 million (2004 est.)
 
Debt external $5.281 billion (2004 est.)
 
Economic aid recipient $651 million (2000 est.)
 
Currency Zambian kwacha (ZMK)
 
Currency code ZMK
 
Exchange rates Zambian kwacha per US dollar - 4,733.77 (2003), 4,398.59 (2002), 3,610.93 (2001), 3,110.84 (2000), 2,388.02 (1999)
 
Fiscal year calendar year

 

 

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This information was reproduced in part from the CIA World Fact book.

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