The IMF Executive Board, Wednesday, approved the 3rd review of Zambia’s 38-month Extended Credit Facility (ECF) Arrangement. The approval triggers an immediate disbursement of approximately US $569.6 million. The disbursement includes approval of a request made by the Zambian Government for an additional 30 percent of quota (SDR293.46 million or $385.7 million) to preserve macroeconomic stability & support Zambia’s response to external shocks, as well as the fourth tranche under the ECF arrangement amounting to about US $184 million. This brings Zambia’s total disbursement so far under the ECF-supported program to approximately US$1.1 billion.
Zambia’s ECF Arrangement was approved on August 31, 2022, for US$1.3 billion. The augmentation increases access to about US$1.7 billion to support Zambia’s home-grown Eighth National Development Plan, which seeks to entrench macroeconomic stability, attain debt and fiscal sustainability, enhance public governance, and foster inclusive growth to improve the livelihood of the Zambian people, especially the vulnerable.
And upon receipt of the positive news, Finance and National Planning Minister Dr SITUMBEKO MUSOKOTWANE, MP, said the Zambian Government is very happy that the IMF Executive Board has approved the third review of the ECF Programme. He added:
“To us, this a testimony of the confidence that the IMF has in the strides we are making towards achievement of the objectives of our home-grown reform agenda of not only restoring macroeconomic stability, and restoring fiscal and debt sustainability, but also enhancing human development and improving the good governance environment. We are grateful for the continuous support from the IMF Executive Board and the Staff.”
ACCESS THE FULL STATEMENT FROM THE IMF, HERE: https://www.imf.org/en/Publications/CR/Issues/2024/06/26/Zambia-Third-Review-Under-the-Arrangement-Under-the-Extended-Credit-Facility-Requests-for-551111