Cabinet Approves Green paper for 2027-2029 MTBP
CABINET has approved the Green Paper on the 2027 to 2029 Medium Term Budget Plan.
The paper sets out the macro-economic objectives, fiscal policies and strategies to guide the 2027 National Budget.
The Green Paper was approved during the second Cabinet Meeting of President HAKAINDE HICHILEMA’s second term, held at State House on Tuesday.
Cabinet says Zambia’s economic outlook for 2027 and the medium term remains positive, with economic growth projected to average six percent.
The growth is expected to be driven mainly by agriculture, mining, construction, wholesale and retail trade, information and communication technology, as well as financial and insurance services.
The projected growth will be supported by a strong macro-economic and fiscal policy framework aimed at strengthening investor confidence, private sector participation and economic transformation.
Cabinet has however raised concern over risks to the medium-term outlook, particularly the potential impact of the El Niño-induced drought during the 2026/2027 agricultural season.
The Government says the anticipated drought could constrain fiscal space and affect the implementation of programmes and projects under the Grow Zambia Agenda.
Cabinet has consequently agreed to strengthen fiscal buffers and proactively implement measures to mitigate risks that could affect the country’s growth agenda.
On revenue mobilisation, Government will begin implementing the 2027 to 2031 Medium-Term Revenue Strategy, which seeks to increase and sustain domestic revenue while improving the efficiency of the tax system.
The strategy will include strengthening tax administration, broadening the tax base and rationalising tax incentives and exemptions.
It will also provide for the rollout of the digital National Registration Card system and the integration of Government systems and public service payments through the Government Service Bus.
On financing, Government will continue mobilising domestic and external resources in line with the Medium-Term Debt Strategy.
Cabinet says priority will be given to concessional financing, while liability management operations will be undertaken to reduce refinancing pressures and manage debt-related risks.
Government will also strictly implement Annual Borrowing Plans to enhance transparency and predictability in public financing.
On expenditure, Cabinet says resources will be prioritised towards investments and reforms that support private sector-led growth, productivity, economic diversification, value addition and job creation.
The measures will be implemented in line with the Grow Zambia Agenda, the Ninth National Development Plan and Vision 203
Cabinet has further reiterated Government’s commitment to ensuring national food security in view of the forecast El Niño conditions, which could affect the 2026/2027 farming season.
Following approval of the Green Paper, citizens and stakeholders have been invited to submit comments and reactions on its content and strategic direction.
The Ministry of Finance and National Planning is expected to issue the Green Paper on 26th September, 2026.
This according to a statement issued to ZNBC News by Cabinet Office.