LSMFEZ Secures US$110 Million in Investment in 2024

Minister of Finance and National Planning has revealed that the Lusaka South Multi-Facility Economic Zone (LSMFEZ) has secured US$110 million in investment from 15 companies, bringing the cumulative investment to US$1.6 billion.

In his 2025 Budget Speech, Dr. Situmbeko Musokotwane said the Zone currently has 30 fully operational companies, which have created about 16,000 jobs for local people, while 21 companies are at construction stage and have created 8,450 jobs.

Dr. Musokotwane stated that Government has continued to develop multi-facility and special economic zones to support the growth of the manufacturing sector.

“The manufacturing sector has been growing. However, this year, it has been adversely affected by the shortage of electricity due to the drought.”

“According to preliminary data, the sector grew by 4.0 percent in the first quarter but contracted by 2.7 percent in the second quarter,” Dr. Musokotwane noted.

Dr. Musokotwane further disclosed that the Jiangxi Multi Facility Economic Zone in Chibombo district, Central Province, has attracted investment in excess of US$40 million in the production and recycling of batteries and manufacturing of copper cables, thereby creating more than 400 jobs.

“To support the sector further, Government is in the process of establishing special economic zones for beef in the Kafue Flats and crop production in Kafulafuta, Lufwanyama, Masaiti, Mpongwe, and Ngabwe districts.

“Our goal is to become an export hub for beef and crop,” he stated.

Government proposes to K217.1 billion in 2025 or 26.6 percent of Gross Domestic Product (GDP)

From this amount, K174.2 billion or 80.2 percent of the Budget will be financed by domestic revenues while K8.2 billion or 3.8 percent will be grants from Cooperating Partners, and the balance of K34.7 billion or 16.0 percent will be financed through borrowing.