Resource information
From 2004 to 2012, Zambia experienced a
combination of good economic policies and high rates of
growth not seen since the early years after its
independence. While growth was mainly driven by rising
copper prices, other factors contributed to Zambia’s ability
to take advantage of this growth. The international debt
relief programs in 2004-2005 almost eliminated public debt
and provided the fiscal space for selective, high-priority
investments and expanded social programs. The privatization
of the copper mines brought new investment in rehabilitation
and expansion of production. The period also saw a
substantial expansion of primary education and progress in
dealing with the most pervasive public health problems.
These positive developments set the stage for Zambia to
tackle its pervasive poverty. In practice, however,
sustained growth over the period has led to little poverty
reduction, especially in rural areas of the country. The
Bank Group and other donors provided critical support at the
beginning of the evaluation period, when Zambia’s debt level
became unsustainable. The Bank provided substantial support
for capacity development and better functioning
institutions. The Bank’s efforts to strengthen public
administration and improve governance met with some partial
successes in enhanced audit and procurement capacity, and
the achievement of Extractive Industries Transparency
Initiative compliance. However, despite nearly a decade of
implementation, the Integrated Financial Management
Information Systems (IFMIS), is still only partially
operational. Further, the Zambian government has not
followed through on its positive discourse regarding
decentralization of government authority.
