Finance and National Planning Minister Dr. Situmbeko Musokotwane is in Sharm El Sheikh, Egypt, for the 2023 Annual meetings of the African Development Bank (AfDB) Group, which commence today and end on Friday, 26th May, 2023. Dr. Musokotwane is accompanied to the 2023 AfDB Group Annual Meetings by Ministry of Finance and National Planning Permanent Secretary for Economic Management and Finance Mr. Danies K. Chisenda, and Zambia’s Ambassador to Egypt, Major General Topply Lubaya(Rtd).
Before proceeding to Sharm El Sheikh, the Minister and his delegation were met on arrival in Cairo, Sunday, by Ambassador Lubaya, who took the opportunity to describe Zambia’s participation in the meetings as a crucial step in strengthening development cooperation with the African Development Bank, Egypt and other development partners. He further said that the AfDB Annual Meetings are a good platform for the Government to sustain the current global interest in the country’s various development matters, through the several engagements lined-up for the delegation, and the scheduled events of the 2023 AfDB Group Annual Meetings.
The Annual Meetings of the AfDB Group present a unique opportunity for knowledge dissemination among high-level decision makers in Africa, key officials of bilateral and multilateral Development Agencies, leading academics and representatives of non-governmental organizations, civil society, and the private sector.
The Egyptian resort city of Sharm El Sheikh is the venue for the Bank Group’s Annual Meetings. The approved theme for the meetings, which comprise the 58th Annual Assembly of the African Development Bank and the 49th meeting of the African Development Fund is Mobilizing Private Sector Financing for Climate and Green Growth in Africa.
While in Sharm El Sheikh, Dr. Musokotwane and his delegation will participate in a series of AfDB organised events, hold bilateral talks with other development partners, and engage investors. The team will also participate in the high-level meeting on the Global Financial Architecture; discussions on reform ideas for the Special Drawing Rights System; and, the knowledge event on mobilizing blended finance for Green Energy Transition in Emerging Economies. Among the other engagements lined-up for the Minister’s delegation are the following:
1. Meeting with the AfDB President Dr. Akinwumi Adesina during which the Minister intends to make a request for strengthened cooperation and support to Zambia – and enlist AfDB’s convening power to lobby on our behalf, the conclusion of the debt restructuring process;
2. Meeting with the AfDB Vice President for Agriculture, Human and Social Development, Ms. BETH DANFORD during which there will be a discussion on support to skills development and youth employment, and support to farm block development in Zambia, and other related support arising from the Dakar Feed Africa Summit held earlier in the year;
3. Meeting with Mr. Kevin Kariuki, African Development Bank’s Vice President for Energy, Climate and Green Growth – with whom various areas of investment will be discussed; and,
4. Meeting with the AfDB Vice President for Private Sector, Infrastructure and Industrialization, Mr. Solomon Quanynor to discuss support to the private sector, the Public-Private-Partnership Dialogue Forum, and prospects for investment in ZAFFICO, Kawambwa Tea Industries, and Mpulungu Harbour.
The delegation will also meet the AfDB Governor for China to liaise on debt restructuring and other matters of mutual development interest. Furthermore, the team will attend a dialogue on energy access, climate adaptation and food security and a high-level launch of the African Economic Outlook 2023, themed: “mobilizing private sector financing for climate and green growth in Africa.” Among the other highlight events is the thematic knowledge forum on “leveraging innovative financing instruments to crowd-in private climate investments in Africa, and another event targeted at harnessing natural capital to finance climate and green growth in Africa.
At the latter event, Zambia will share with delegates what policy measures the country is implementing to transform its natural capital into wealth, ways in which the country is harnessing its natural capital to facilitate transition to green growth and combat climate change; strategies necessary for Zambia to adopt to stem and reverse financial flows arising out of illicit exploitation of its natural capital. Among the host country, and other AfDB and bilateral events that the delegation will participate in are the following:
1. High-level forum on the role of Fintech in unlocking sustainable and green finance, hosted by Egypt;
2. Bilateral meeting with the Director-General for Africa in the Federal Ministry for Economic Cooperation and Development (Germany) Ms. BIRGIT PICKE. During the meeting, the delegation aims to affirm Zambia’s desire to enhance cooperation between Germany and Zambia;
3. Bilateral meeting with U.S. Treasury Deputy Assistant Secretary for Africa Mr. ERIC MEYER;
4. Bilateral with the AfDB Governor for Brazil (a shareholder in AfDB) during which the delegation aims to promote Zambia’s agriculture development programmes through farm blocks;
5. Bilateral meeting with Egyptian Ministers of Finance and Agriculture to explore prospects in Public Private Partnerships, farm-block/out-grower investments, and other development cooperation venues;
6. 2023 Africa Investment Forum;
7. 32nd Annual Meetings of the Board of Governors of the Africa Capacity Building Foundation (ACBF);
8. Africa-India Partnership, India EXIM Bank;
9. Bilateral Meeting with Africa 50 to get an update on the organisation’s investment activities, identifying areas where Africa50 can support Zambia with implementing its priority infrastructure program, and the country’s shareholding in Africa50;
10. Financial presentation on development effectiveness;
11. AU forum on protecting African Tax Bases, discussions here will boarder on enhanced international tax cooperation and management of tax incentives; and
12. Bilateral Meeting with the Open Society Foundation;
Summing-up the importance of the Zambian delegations’ participation in the 2023 Annual Meetings of the AfDB Group, Dr MUSOKOTWANE said the opportunity is crucial for enhancing economic diplomacy and good for consolidating the country’s attractiveness as one of Africa’s best investment destinations.
Zambia also seeks global geo-political harmony to forge international consensus on areas of common interest such as debt, food security, and income-generating opportunities for micro-small-medium scale enterprises. It is for this reason that enhanced engagements and economic diplomacy activities remain key to ensuring that our country does not remain behind and economically stagnant, but thrives through business partnerships and growth, empowerment of citizens, creation of jobs and strengthening the competitiveness of the economy in the regional and other markets, the Minister stated.
REFERENCE NOTES ON AFDB COOPERATION WITH ZAMBIA
The AfDB has been operating in Zambia since 1971 and has committed more than US$ 1 billion to support sectors such as infrastructure, agriculture, water and sanitation, energy, health, education, transport, private sector development, as well as general budget support.
The AfDB’s operations in Zambia are underpinned by the Country Strategy Paper (CSP 2017-2021) extended to 2023. CSP’s are aligned to Zambia’s National Development Plans. The CSP is anchored on two strategic pillars:
Pillar I: Infrastructure Development focusing on support to water and sanitation, energy, and transport; and,
Pillar II: Private Sector Development focusing on enterprise development and agriculture.
The objective of the Bank’s CSP 2017-2021 extended to 2023 for Zambia, was to support the country to reduce poverty and malnutrition and lessen vulnerability through a dynamic and sustainable private sector that creates jobs.
GENERAL PORTFOLIO PERFORMANCE
As of February 2023, the Bank’s Group total cumulative commitments approved in loans and grants amounted to UA 737million (approx. US$ 994.95 million) with an active portfolio consisting over twenty (20) operations. Sectoral distribution, the portfolio shows dominance of the transport sector by 33%, agriculture 19%, water supply and sanitation 15%, power 12%, social 2.5%, finance 7% and environment 4%.
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