World Bank to Fund Zambia with $275 million for the next Three Years

0
329

The Finance and National Development Minister, Situmbeko Musokotwane revealed that the World Bank will provide funding amounting to US$275 million to Zambia over the next three years after the IMF Supported Programme is approved by the IMF Board.

The Bank is providing sizeable positive net flows to Zambia with a commitment to provide approximately $959 million to Zambia’s recovery from the multiple debt and economic crises and help to institute reforms for inclusive growth and poverty reduction.

It was gathered that out of this, U$$294 million has already been committed for scaling up social cash transfers and projects to strengthen the COVID-19 response, including vaccination and emergency health financing to improve service delivery.

According to report, the remaining U$$665 million will be presented in three operations to the World Bank Board for approval within June 2022.

The statement issued by the Ministry of Finance and National Planning further states:

The program includes two results-based operations, the first to reinvigorate growth in agriculture and support reform of the agricultural subsidy regime and the second to strengthen decentralized public service delivery while enhancing public financial management.

The third operation will finance additional social protection spending in response to various shocks.

Meanwhile, upon agreement of the Country Assistance Strategy during the second half of 2022, financing is also expected from the Africa Development Bank (AfDB) over the next 3 years.