• The mining sector recorded a decline in production of almost over 20 percent.
• This drew back the country’s capacity to drive growth this year.
• Recovery of the mining sector is expected in 2024 and full potential might only come in 2025.

A Financial Analyst says the country is not likely to attain the projected 4.3 percent growth rate in 2023 due to the poor performance of the mining sector.
Speaking in an interview with Money FM News, Trevor Hambayi noted that the country had earlier projected its 2023 Gross Domestic Product (GDP) growth to be between 4.6 and 4.7 percent which was however pulled back because of the poor performance of the mining sector.
Mr. Hambayi said the sector recorded a decline in production of almost over 20 percent and this drew back the country’s capacity to drive growth this year.
“The first one which is speaking to 2023, remember we had this 4.6/ 4.7 percent GDP projection but this was pulled back because of the poor performance of the mining sector. We had almost more than 20 percent reduction in the production of mining sector and this obviously drew back our capacity to be able to drive growth in 2023.”
“So I do not think that we will get to the 4.3 percent based on the fact that the mining sector has not performed well,” Mr. Hambayi stated.
He added that with the steps government has taken to find potential investors for Mopani and Konkola Copper Mines (KCM), recovery of the mining sector is expected in 2024.
“But I think the mines will also struggle to come back on line because obviously with the maintenance in the mines most of them might not be able to achieve expected targets. Full potential might only come in 2025.”
“So I think there is marginal increase that we will have in 2023 but I only expect us to be able to get the 4.3 percent, 4.7 or 4.8 growth rate in 2025,” he added.
According to Bank of Zambia, the economy is projected to grow faster at 4.3 percent in 2023 than the previous forecast of 2.7 percent.
The Bank further projects expansion of the economy by 4.7 percent in both 2024 and 2025 supported by the expected recovery in mining and agriculture sectors.