Zambian Entrepreneurs Cry Foul Over Hostile Business Climate
A growing number of Zambian entrepreneurs are raising serious concerns about what they describe as a hostile business environment that disproportionately targets local businesses while favouring foreign-owned enterprises.
Despite ongoing government rhetoric about supporting local Small and Medium Enterprises (SMEs), indigenous business owners argue that they face harsh regulatory pressure, political intimidation, and systemic neglect. Several local firms have reported being subjected to excessive scrutiny by government institutions once they start gaining financial ground.
“When a Zambian-owned business begins to succeed, it becomes a target rather than a success story,” said one local business owner, who requested anonymity for fear of reprisal. “You are first branded as being politically aligned with the opposition, then institutions like the DEC, ACC, and ZRA descend on you with investigations and compliance demands, often without prior notice or just cause.”
These concerns come amid broader discussions about Zambia’s economic resilience and the role of private enterprise in driving sustainable growth. Many industry players are calling for clear and predictable policies that foster trust between the government and business community.
Veteran governance activist Brebner Changala added his voice to the debate, warning that political interference is strangling local innovation and investment. “The greatest danger to Zambian enterprise is not foreign competition, but local political interference masked as governance,” Changala stated.
Observers note that while foreign companies benefit from tax incentives, special economic zones, and diplomatic protection, local businesses remain overregulated and under-supported.
“We want an enabling environment that rewards hard work and innovation not one that punishes success,” said Sarah M., a Lusaka-based entrepreneur. “It’s not just about survival anymore; it’s about dignity.”
Calls are now growing for the government to enact legislative reforms aimed at safeguarding Zambian businesses from arbitrary shutdowns and politically motivated investigations. Business associations have also urged the Ministry of Commerce to launch an independent inquiry into claims of harassment and institutional bias.
As Zambia seeks to diversify its economy and reduce dependency on foreign investment, the treatment of local entrepreneurs could become a defining factor in shaping the country’s long-term economic future.
May 05, 2025
KUMWESU