The Minister of Finance and National Planning, Honourable Dr. Situmbeko Musokotwane, on Friday, 26th September 2025, presented the 2026 National Budget to the National Assembly under the theme “Consolidating Economic and Social Gains towards a Prosperous, Resilient and Equitable Zambia.”
He said, the 2026 National Budget projects national expenditure of K253.1 billion, representing 27.4 percent of GDP. He further said Domestic revenues are expected to contribute K206.5 billion, complemented by K12.1 billion in grants and K34.5 billion in borrowing.
“The allocations prioritize debt servicing, education, health, agriculture, road infrastructure, and social protection,” he said.
Dr. Musokotwane added that K92.6 billion has been set aside for general public services, K58.6 billion for economic affairs, K33.0 billion for education, K26.2 billion for health, and K15.7 billion for social protection.
KEY HIGHLIGHTS
Economic Growth
In his address, Dr. Musokotwane emphasized remarkable strides achieved since 2021. Over the past four years, Zambia’s economy has grown at an average of 5.2 percent, despite the twin shocks of COVID-19 and the 2024 drought. The country has also earned international recognition as the first to successfully restructure its external debt under the G20 Common Framework, reversing its reputation from a crisis-prone state to a solution-oriented nation.
Education and Health
Dr. Musokotwane said that 33. 0 billion has been catered to education and 26.2 billion catered to health, respectively. He said government is committed to improving the quality of education and the allocation will go towards the recruitment of an additional 2000 teachers and a further 3500 in 2026.
The Minister further stated that the allocation of secondary schools across the country as well as the completion of the remaining 120 in 2026, also informed that the allocation will go towards the construction of the Copperbelt University and the University of Zambia. Allocation will also go towards providing bursaries and training of 100 youths in various skills.
The Minister of Finance said, in the health sector government will in 2026 recruit another 2500 health personnel. He further stated that government using CDF will continue to construct maternity annexes.
Agriculture and Mining
Dr. Musokotwane informed the House that K851.7 million has been allocated to the Zambia Credit Guarantee Scheme, which includes resources for the Sustainable Agriculture Financing Facility to enable farmers’ access affordable financing.
He further reaffirmed government’s commitment to ambitious growth targets, including a 6.4 percent GDP growth rate in 2026, aiming to increase maize output to 10 million tonnes by 2031, while inflation reduced to the 6–8 percent band, and maintaining reserves above four months of import cover. He said key sectors will drive this agenda so that mining is on track to surpass the one million tonnes of copper production in 2025, as well as in agriculture and new investments in renewable energy are expected to add over 1,500 megawatts to the grid in 2026.
Tourism and Infrastructure
The Minister said with a proposed allocation of K1.5 billion to tourism, infrastructure and manufacturing, transport and connectivity remain central to Zambia’s transformation, with progress made on the Lusaka–Ndola Dual Carriageway, Lobito and TAZARA railway projects, and K1.1 billion proposed allocation for the upgrading of airports and border infrastructure.
Energy Dr. Musokotwane said Zambia today faces a serious shortage of power supply, almost all caused by the 2024 drought. However, with a proposed Electricity allocation fund of K500 million in 2026, Government will implement 100 on-grid and 30 off-grid projects.
For more details, see the attached Budget Speech.
