Zambia's copper production is expected to increase to 900000 tons of fiscal deficit in an effort to control debt risk

SMM11, 13 March: Zambia's copper production is expected to increase to 900000 tons this year, compared with an average annual copper production of 870000 tons in recent years, a senior Zambian government official said. Zambia's copper production in the first three quarters of 2018 rose 8.8 per cent to 632267 tons from 581334 tons in the same period last year, according to Margaret Mwanakatwe, Zambia's finance minister.

Zambia's finance minister, Margaret Mwanakatwe, estimates that the country's fiscal deficit will account for about 7 per cent of gross domestic product in 2018. External debt at the end of the third quarter increased to $9.51 billion from $9.37 billion at the end of the second quarter of 2018. The International Monetary Fund (IMF) has raised concerns about high lending by Africa's second-largest copper producer.

Zambia is also committed to implementing austerity measures to limit debt risk. "the government acknowledges its rising debt situation and plans to send a delegation to China by the end of this year to discuss Zambia's debt and debt restructuring with the country," Mwanakatwe said.

Zambia's economy is likely to grow around the 4% expected in early 2018, and inflation is expected to remain in the single digits by the end of 2018, she said.

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