Research and consulting in Zambia
IOA has developed a wide-ranged understanding of Zambia through research and consulting on the country. Our political analysts note the pervasive continuation of government corruption, and our economic researchers have pointed to a lack of worker productivity as hindrances to economic growth. The landlocked country is rich in mineral wealth and enjoys other natural resources to sustain an economy. The education and health systems are under-financed and thus underdeveloped, with the latter facing a persistent problem with malaria in all Zambian provinces. A lack of rural employment is leading Zambia to becoming the world’s most industrialised country, despite high joblessness in towns.
IOA economists note the need for value-added industry to make mineral extraction more profitable. Currently, copper and other minerals are shipped out raw and unprocessed, while the industrial sector is so undeveloped it contributes less than 10% to GDP.
Key opportunities in Zambia:
- Copper leads the export-driven mining industry, which leads the economy
- IOA analysts have noted that tourism potential in the country that popularised the “walking safari” justifies investment in resorts and attractions
- Precious stones production has a long-term future, with Zambian emeralds and diamonds in demand overseas
Key concerns/risks in Zambia:
- Environmental problems – both manmade like deforestation and those related to climate change – are growing threats to national development
- Dependence on the export of raw commodities has resulted in flat economic growth for years
- Education, energy, healthcare and transportation infrastructures are outdated and inadequate