Zambia’s Economic Report Card: A Tale of Two Realities
President Hichilema’s yesterday’s address painted a picture of a nation on the rise, citing impressive statistics on economic growth, inflation, and the Kwacha’s stability. However, for many Zambians, this rosy official narrative feels disconnected from their daily reality.
While the government’s report card looks good on paper, a closer look at the lived experiences of ordinary citizens reveals a different story. one of persistent struggles with the high cost of living, inadequate power supply, and a deep-seated battle with corruption.
The President’s address proudly announced that the Kwacha has “stabilized” and that inflation has dropped from 23.1% to 12.6%. Yet, for the average Zambian household, these figures are just abstract numbers. The cost of living remains stubbornly high. Reports from organizations like the Jesuit Centre for Theological Reflection (JCTR) consistently show that the Basic Needs and Nutrition Basket (BNNB) is far beyond the reach of most families.
A small drop in the cost of a few items is a minor relief in the face of skyrocketing prices for essentials like cooking oil, charcoal, and transport. The Kwacha’s “stability” means little when its purchasing power is so weak. It’s a classic case of statistical success not translating into tangible relief for citizens.
The government touts an average economic growth of 5.2% and the creation of 48,000 jobs in Special Economic Zones. But the critical question is, who is benefiting from this growth? The majority of the population, especially the youth, are still struggling with unemployment.
The focus on large-scale mining projects, while bringing in foreign investment, often doesn’t create widespread employment opportunities for local communities.
Instead, a large number of Zambians are still in the informal sector, where incomes are low and precarious. The reported growth is a national average that masks a deeper inequality. The economic success stories are often isolated to a few sectors, while the broader population feels left behind.
The President’s address celebrated a record maize harvest of 3.7 million metric tonnes. While this is a welcome development, it’s a misleading portrayal of a fundamentally resilient agricultural system. The record harvest is primarily a rebound from the catastrophic drought of 2023/24, not a sign of lasting strength.
Zambia remains heavily dependent on rainfall, and the government’s stated goal of irrigating 500,000 hectares by 2027 is a long-term target, not an immediate solution. The slow pace of progress on irrigation means that any future drought could once again devastate the country’s food security. The focus should be on building lasting resilience, not celebrating a temporary recovery.
President Hichilema’s address failed to provide a concrete, immediate-term solution for the ongoing power loadshedding. Instead of addressing the core issue of insufficient generation capacity, the government appears to be engaged in a calculated political maneuver.
The problem of loadshedding, which once disproportionately affected high-density areas, has now been shifted to low and medium-density areas. This move, which reduces the number of hours of loadshedding in the most populous urban areas, is widely seen as an election ploy to secure votes in the 2026 general elections.
There is a glaring lack of strategic reasoning for this shift, especially when the government could have explored reducing the export component of electricity to meet domestic demand. By prioritizing certain areas for political gain, the government is essentially moving the problem from one group of citizens to another, rather than solving it for everyone. This lack of a genuine, sustainable solution highlights a worrying trend of prioritizing short-term political gains over long-term national stability.
The official report highlights an improvement in the Corruption Perception Index, raising Zambia’s ranking. This is a positive development, but it exists in stark contrast with the findings of the Financial Intelligence Centre (FIC).
The 2024 FIC report uncovered 3.5 billions of dollars in illicit financial flows, with a significant number of cases involving shell companies and smuggling of high value minerals like gold. The report suggests that despite the improved index, corruption, particularly in the form of tax evasion and money laundering, remains a pervasive problem.
Many citizens feel that while the government has been vocal about fighting corruption, the focus has been on former officials, and not enough has been done to address new forms of corruption.in UPND government. The improved index may reflect international perception, but it does not fully capture the complex reality of corruption on the ground, which has continued under the new administration.
President Hichilema’s address paints a picture of a nation on the path to recovery and prosperity. The numbers presented are impressive and, on the surface, signal a bright future. However, a closer look at the reality on the ground reveals a different story. The government’s statistics on economic growth and inflation often clash with the daily struggles of ordinary Zambians.
The agricultural rebound is presented as a long-term win, while the real issue of climate resilience is left unaddressed. The fight against corruption, while celebrated in international reports, is undermined by the ongoing revelations from the FIC and a sense of selective justice. And perhaps most worryingly, the government’s approach to the power crisis seems to be a politically motivated gamble, not a sincere effort to fix a critical national problem.
It seems that more often than not, the statistics generated by government agencies under the UPND administration are different from the lived reality of many Zambians.
This creates a tale of two Zambias: one that exists in official reports and international headlines, and another that is experienced in the form of rising prices, power cuts, and persistent insecurity.
The challenge for the government is to bridge this gap and ensure that its statistical successes are translated into meaningful improvements in the lives of all citizens, not just a select few.
The Struggle Continues
Sensio Banda
Former Member of Parliament
Kasenengwa Constituency
Eastern Province
Disgruntled, untruthful
Reading this narrative, you get the impression the write is a staunch believer in instant gratification. He wants all our challenges to disappear overnight.
In our situation, it is important to have patience and build a strong foundation which will support sustainable growth. The damage done by the PF was and is deep. Correcting this will take time and resilience, patience.
While we are at it, let us celebrate the little victories that come our way. It is what will sustain us through the hard times of reconstruction. If we focus on the negative, we might as well lie down and die.
I believe we are on the right path. Yes, mistakes will be made but that is part of the growth curve.