Good news: Zambia’s economy to grow by 6.3 %.


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THE Central Statistical Office (CSO) has said that preliminary estimates of real Gross Domestic Product (GDP) show the Zambian economy is expected to grow by 6.3 per cent in 2009.

CSO director, Efreda Chulu said the likely growth of 6.3 per cent was due to expected strong growth in the agriculture, forestry and fishing, mining and quarrying as well as construction industries.

Releasing the latest economic statistics for the month of October in Lusaka yesterday, Ms Chulu said the real GDP in value terms was expected to be K4,003.0 billion in 2009 compared to K3,765.4 billion in 2008.

She said GDP in nominal terms was expected to increase to K64,326.1 billion in 2009 from K55,078.8 billion in 2008.

In his 2010 Budget address to Parliament early this month, Finance and National Planning Minister, Situmbeko Musokotwane said the projected economic growth for 2009 was pegged at 4.3 per cent, representing a slight downward revision to the earlier projection of five per cent announced in the last Budget address.

Dr Musokotwane, however, said chances were bright that the five per cent target would not only be attained but also exceeded should economic conditions continue to improve in this final quarter of 2009.

Ms. Chulu has said the total imports by Broad Economic Category (BEC) in September were K1, 6434 billion in September, compared to K1, 7118 billion in August this year.

She also said Zambia recorded a trade surplus valued at K302.2billion in September this year.

Ms. Chulu said this was as a result of more exports than imports recorded in the month of September.

She said the country’s major export products in September were from intermediate goods.

She said the intermediate goods mainly comprised of Copper cathodes and sections of refined copper plates, wire and sheets of refined copper.

Ms. Chulu said Zambia’s total exports of raw materials accounted for 17.6 percent while consumer and capital goods accounted for 14.9 per cent.

The CSO Director however said the country’s import of capital goods such as machinery, vehicles among others accounted for 33.4 per cent.

She named Switzerland, South Africa, China and United Kingdom as major five destinations of Zambia’s exports in September.

Ms. Chulu said the five countries accounted for 82.5% of the country’s export earnings in September.

ZANIS


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I wonder if the galloping price of Copper since the beginning of the year has played a role.

I wonder if the galloping price of Copper since the beginning of the year has played a role.

Yes it has. that's their number one money maker. more export than import as well. saved them more money.
Zambia's DRC's province to their north is also a copper economy , but trying to reduce import by investing in Agroculture( modernizing/mechanizing ).

Zambia has been boosting it agroculture and producing more construction materials is saving them more money.

They have a nice interstate highways that move things around easily, faster and safer.

good!

Zambia has a lot of potential in agriculture which should help them move away from copper which has burnt them badly in the past.FNB (SA bank) recently started operating there.

One by one, Africa's economies are recording growth again.

^^ I hope this positive trend continues. It's as Vijay Mahajan said in Africa Rising: How 900 million consumers offer you more than you think,Africa is on the brink of social and economic transformation. It feels good seeing it.

Could you guys foresee that Zambia can become similar to the 1980''s Zimbabwe ? With progression and a positive percentage rise in different sectors ?

^^ I hope this positive trend continues. It's as Vijay Mahajan said in Africa Rising: How 900 million consumers offer you more than you think,Africa is on the brink of social and economic transformation. It feels good seeing it.

I think the one billionth African will be born anytime now.

Could you guys foresee that Zambia can become similar to the 1980''s Zimbabwe ? With progression and a positive percentage rise in different sectors ?

They could if they find a way to move away from copper, the country is far bigger than Zim and they could do better in agriculture like Malawi.They are also in teh process of privatizing some assets like Zamtel and have potential like many African countries. SA and Chinese capital has been key to their recent revival.SAB Miller recently bought Trade Kings which made the brand
Super Maheu.



LONDON (Dow Jones)--SABMiller PLC (SAB.LN), a holding company, which has brewing and beverage interests across six continents, said Tuesday that SABMiller Africa's Heinrich's Syndicate Limited, has entered into an agreement with Trade Kings Limited to acquire its Maheu business for a total cash consideration of $19.25 million.

MAIN FACTS:

-The transaction includes the purchase of the Maheu brand 'Super Maheu No.1' which is a non-alcoholic maize drink available in a variety of flavours.

-Completion of the acquisition is subject to certain customary conditions precedent including approval from the Zambia Competition Commission which was received last month.

-It is anticipated that completion of the acquisition will take place in the next two months.

-SABMiller Africa intends to grow the Maheu business throughout Zambia and across a variety of African markets, resulting in both increased sales volumes and further employment opportunities.

-Following the completion of the transaction, SABMiller Africa will continue to employ the existing Trade Kings staff engaged in the production of Maheu.

-By London Bureau, Dow Jones Newswires; Contact Ian Walker; +44 (0)20 7842 9296; ian.walker@dowjones.com