Abstract
Zambia: 2019 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Zambia
Fund Relations
(As of May 31, 2019)
Membership Status: Joined: September 23, 1965; Article VIII General Resources Account:
| SDR Million | Percent Quota | |
|---|---|---|
| Quota | 978.20 | 100.0 |
| Fund holdings of currency | 978.20 | 100.0 |
| Reserve position in Fund | 0.02 | 0.0 |
| SDR Million | Percent Quota | |
|---|---|---|
| Quota | 978.20 | 100.0 |
| Fund holdings of currency | 978.20 | 100.0 |
| Reserve position in Fund | 0.02 | 0.0 |
SDR Department
| SDR Million | Percent Allocation | |
|---|---|---|
| Net cumulative allocation | 469.14 | 100.0 |
| Holdings | 158.09 | 33.70 |
| SDR Million | Percent Allocation | |
|---|---|---|
| Net cumulative allocation | 469.14 | 100.0 |
| Holdings | 158.09 | 33.70 |
Outstanding Purchases and Loans
| SDR Million | Percent Quota | |
|---|---|---|
| ECF arrangements | 32.28 | 3.30 |
| SDR Million | Percent Quota | |
|---|---|---|
| ECF arrangements | 32.28 | 3.30 |
Latest Financial Arrangements
Projected Payments to the Fund2
(SDR million; based on existing use of resources and present holdings of SDRs)
| Forthcoming | |||||
|---|---|---|---|---|---|
| 2019 | 2020 | 2021 | 2022 | 2023 | |
| Principal | 19.40 | 11.04 | 1.84 | ||
| Charges/interest | 1.74 | 3.46 | 3.46 | 3.46 | 3.46 |
| Total | 21.14 | 14.50 | 5.30 | 3.46 | 3.46 |
| Forthcoming | |||||
|---|---|---|---|---|---|
| 2019 | 2020 | 2021 | 2022 | 2023 | |
| Principal | 19.40 | 11.04 | 1.84 | ||
| Charges/interest | 1.74 | 3.46 | 3.46 | 3.46 | 3.46 |
| Total | 21.14 | 14.50 | 5.30 | 3.46 | 3.46 |
| Implementation of HIPC Initiative | |||||
| Enhanced Framework | |||||
| Commitment of HIPC assistance | |||||
| Decision point date | Dec. 2000 | ||||
| Assistance committed (1999 NPV terms)3 | |||||
| By all creditors (US$ million) | 2,499.20 | ||||
| Of which: Fund assistance (US$ million) | 602.00 | ||||
| (SDR equivalent in millions) | 468.80 | ||||
| Completion point date | April 2005 | ||||
| Disbursement of IMF assistance (SDR million) | |||||
| Assistance disbursed to Zambia | 468.80 | ||||
| Interim assistance | 351.60 | ||||
| Completion point balance | 117.20 | ||||
| Additional disbursements of interest income4 | 39.47 | ||||
| Total Disbursement | 508.27 | ||||
| Implementation of HIPC Initiative | |||||
| Enhanced Framework | |||||
| Commitment of HIPC assistance | |||||
| Decision point date | Dec. 2000 | ||||
| Assistance committed (1999 NPV terms)3 | |||||
| By all creditors (US$ million) | 2,499.20 | ||||
| Of which: Fund assistance (US$ million) | 602.00 | ||||
| (SDR equivalent in millions) | 468.80 | ||||
| Completion point date | April 2005 | ||||
| Disbursement of IMF assistance (SDR million) | |||||
| Assistance disbursed to Zambia | 468.80 | ||||
| Interim assistance | 351.60 | ||||
| Completion point balance | 117.20 | ||||
| Additional disbursements of interest income4 | 39.47 | ||||
| Total Disbursement | 508.27 | ||||
| Implementation of MDRI Assistance | ||||||
| I. Total debt relief (SDR million)5 | 402.59 | |||||
| Of which: MDRI | 398.47 | |||||
| HIPC | 4.12 | |||||
| II. Debt relief by facility (SDR million) | ||||||
| Delivery date | GRA | PRGT | Total | |||
| January 2006 | n/a | 402.59 | 402.59 | |||
| Implementation of MDRI Assistance | ||||||
| I. Total debt relief (SDR million)5 | 402.59 | |||||
| Of which: MDRI | 398.47 | |||||
| HIPC | 4.12 | |||||
| II. Debt relief by facility (SDR million) | ||||||
| Delivery date | GRA | PRGT | Total | |||
| January 2006 | n/a | 402.59 | 402.59 | |||
Safeguard Assessments
Safeguards assessments of the Bank of Zambia (BoZ) were completed in June 2004, January 2009, and October 2010. The 2009 assessment concluded that the bank had adequate safeguards in several areas, but confirmed the existence of certain vulnerabilities in the BoZ’s legal framework and financial reporting. The 2010 update report concluded that the BoZ had made progress in implementing safeguards recommendations. Staff noted improvements in the internal audit and internal control mechanisms. Weak statutory independence remains a substantive safeguards concern.
Exchange Rate Arrangement
The currency of Zambia is the kwacha. The exchange rate arrangement is a “float,” with the kwacha exchange rate determined in the interbank market. The buying rate of the BoZ is a simple average of the primary dealers’ low bid rates, and the BoZ’s selling rate is the simple average of the primary dealers’ high offer rates. On April 19, 2002, Zambia accepted the obligations of Article VIII, Sections 2, 3, and 4 of the Articles of Agreement.
Zambia continues to maintain an exchange restriction, which is subject to Fund approval under Article VIII, arising from limitations imposed by the government on access to foreign exchange for the making of payments and transfers for current international transactions, which is evidenced by the existence of external payments arrears accumulated prior to October 4, 1985.
Article IV Consultations
Zambia is on the standard 12-month Article IV consultation cycle, subject to Decision No. 14747– (10/96), as amended. The Executive Board concluded the last Article IV consultation on October 6, 2017.
FSAP Participation and ROSC
Zambia has participated in the financial sector assessment program (FSAP); an FSAP mission from the Fund and the World Bank conducted a comprehensive external assessment of the financial system on April 30–May 15, 2002, and July 15–26, 2002. A follow-up FSAP mission was conducted by the Fund and the World Bank in November 2008. More recently, another joint World Bank-Fund FSAP mission was conducted on July 11-August 3, 2016 to assess the stability of the financial system. On June 8–16, 2017, a mission from the Fund was conducted to update the stress tests of the 2016 FSAP.
The fiscal transparency module of a Report on Observance of Standards and Codes (ROSC) assessing compliance with the IMF’s Code of Good Practices on Fiscal Transparency—Declaration of Principles was issued to the Executive Board on October 31, 2001. A ROSC data module was issued to the Executive Board on January 18, 2005.
Technical Assistance (since 2011)
Resident advisors
| Department | Dates | Position |
|---|---|---|
| FAD | 2012–15 | Peripatetic advisor on tax administration |
| MCM | 2011–15 | Advisor on capacity building at the Bank of Zambia |
| Department | Dates | Position |
|---|---|---|
| FAD | 2012–15 | Peripatetic advisor on tax administration |
| MCM | 2011–15 | Advisor on capacity building at the Bank of Zambia |
Technical assistance missions
| Department | Dates | Purpose |
|---|---|---|
| FAD | February 2012 | Mining tax administration |
| April 2012 | Public financial management | |
| October 2012 | Tax administration | |
| July 2012 | Tax policy | |
| April 2013 | Pension reform | |
| November 2013 | Tax administration | |
| November 2013 | Public financial management | |
| January 2014 | Cash management | |
| February 2014 | Program based budgeting | |
| May 2014 | Mining and large taxpayer administration reforms | |
| July–August 2014 | Cash basis financial reporting | |
| October–November 2014 | Treasury single account | |
| March 2015 | Mining Tax administration | |
| April–May 2015 | PFM legislation | |
| January–February 2016 | Macro-fiscal management and budget formulation | |
| April 2016 | Customs administration | |
| May 2016 | Assessment of Tax administration (TADAT) | |
| May–July 2016 | Review of the Performance Budget System | |
| June 2016 | Macro-fiscal planning and fiscal risks management | |
| July 2016 | Tax administration | |
| July–August 2016 | Audit effectiveness for Telecoms | |
| Nov.–Dec. 2016 | Customs administration | |
| February 2017 | Public Investment Management assessment | |
| April 2017 | Tax administration | |
| January 2018 | Tax and Customs Administration | |
| January 2018 | Fiscal risk assessment, cash management and expenditure controls, and fiscal reporting | |
| June 2018 | Tax system assessment and revenue mobilization | |
| September 2018 | Strengthening cash and debt management | |
| Oct.–Nov. 2018 | Managing cash and strengthening budget process | |
| April 2019 | Wage bill management | |
| MCM | November 2011 | Monetary policy framework |
| January 2012 | Inflation targeting framework | |
| January 2012 | Payments system reforms | |
| January 2012 | Central Bank organizational restructuring | |
| February 2012 | Currency management | |
| March 2012 | Macro modeling of transmission mechanism | |
| May 2012 | Stress testing and risk profile of banks | |
| May 2012 | Currency management | |
| July 2012 | Payments system | |
| September 2012 | Currency management | |
| October 2012 | Inflation targeting | |
| November 2012 | Organization review | |
| November 2012 | Financial stability | |
| December 2012 | Bank supervision and regulations | |
| February 2013 | Information handling | |
| March 2013 | Organization of economic analysis | |
| March 2013 | Macro modeling of transmission mechanism | |
| May 2013 | Payments system | |
| June 2013 | Markets for government securities | |
| August 2013 | Financial stability analysis | |
| September 2013 | Liquidity forecasting and interbank market | |
| November 2013 | Monetary policy reports and recommendations | |
| November 2013 | Tasks and performance of the executives | |
| February 2014 | Internal planning functions of BOZ | |
| February 2014 | Automation of book-keeping and accounting in currency operations | |
| March–April 2014 | Stress testing | |
| April–May 2014 | Econometric modeling | |
| May 2014 | Improving efficiency of payment system | |
| July 2014 | Assessing the functioning of the FX market | |
| August 2014 | Project Management | |
| September 2014 | Monetary policy formulation and implementation | |
| September–October | Improving efficiency of payment systems- | |
| 2014 | National Switch project | |
| November 2014 | Enhancement of the stress testing framework | |
| January 2015 | Improving liquidity of the secondary market for Government securities and deepening interbank money markets | |
| February 2015 | Bank supervision | |
| March 2015 | Organizational structure and operational set up | |
| June 2015 | Payment systems development and oversight | |
| August 2015 | Bank supervision | |
| September 2015 | Macroeconomic modelling | |
| September–October | Establishment of a centralized database | |
| 2015 | management system | |
| October 2015 | Bank of Zambia organizational structure | |
| November 2015 | Secondary market for Government securities | |
| February–March 2016 | Secondary market for Government securities | |
| April 2016 | Business opinion and expectations survey | |
| April 2016 | Stress testing | |
| July 2016 | Forecasting and policy analysis system | |
| December 2016 | Forecasting and policy analysis system | |
| April 2017 | Forecasting and policy analysis system | |
| May 2017 | TA needs assessment | |
| June 2017 | Risk based supervision | |
| July 2017 | Deposit insurance system | |
| July 2017 | Monetary policy communications | |
| Aug.-Sept. 2017 | Foreign exchange market developments | |
| October 2017 | Central Bank communication | |
| October 2017 | Risk based supervision | |
| December 2017 | FPAS modeling | |
| April 2018 | Systemic risk monitoring | |
| May 2018 | Contingency planning for crisis preparedness and management | |
| June 2018 | FPAS modeling | |
| June 2018 | Diagnostic and PFMI training | |
| October 2018 | FPAS modeling | |
| Oct-Nov 2018 | Cyber security | |
| Jan 2019 | Communications | |
| April 2019 | Stress testing | |
| STA | February 2013 | SRF data development |
| April 2013 | Price statistics | |
| April 2013 | National accounts | |
| December 2013 | Price statistics | |
| January 2014 | National accounts | |
| January 2014 | Open data platform | |
| April-May 2014 | Monetary and financial statistics | |
| August 2014 | National accounts | |
| March 2015 | Quarterly National accounts | |
| March 2015 | Price statistics | |
| February–March 2016 | External sector statistics | |
| March 2016 | National accounts statistics | |
| March–April 2016 | Government finance statistics | |
| April 2016 | Enhanced general data dissemination system | |
| April–May 2016 | National accounts statistics | |
| May 2016 | Natural resources revenue pilot study | |
| October 2016 | National accounts statistics | |
| December 2016 | External sector statistics | |
| February 2017 | National accounts statistics | |
| March 2017 | International investment position and External debt and statistics compilation training | |
| March 2017 | Producer price index | |
| June 2017 | National accounts statistics | |
| June 2017 | External sector statistics | |
| August 2017 | National accounts statistics | |
| November-December 2017 | Government finance statistics | |
| December 2017 | Producer price index | |
| March 2018 | National accounts statistics | |
| April 2018 | Producer price index | |
| April-May 2018 | External sector statistics and International investment position | |
| June 2018 | National accounts statistics | |
| November 2018 | National accounts statistics | |
| November-December 2018 | Government finance statistics | |
| February 2019 | Public sector debt statistics | |
| March 2019 | External sector statistics | |
| March 2019 | National accounts statistics | |
| April 2019 | National accounts statistics |
| Department | Dates | Purpose |
|---|---|---|
| FAD | February 2012 | Mining tax administration |
| April 2012 | Public financial management | |
| October 2012 | Tax administration | |
| July 2012 | Tax policy | |
| April 2013 | Pension reform | |
| November 2013 | Tax administration | |
| November 2013 | Public financial management | |
| January 2014 | Cash management | |
| February 2014 | Program based budgeting | |
| May 2014 | Mining and large taxpayer administration reforms | |
| July–August 2014 | Cash basis financial reporting | |
| October–November 2014 | Treasury single account | |
| March 2015 | Mining Tax administration | |
| April–May 2015 | PFM legislation | |
| January–February 2016 | Macro-fiscal management and budget formulation | |
| April 2016 | Customs administration | |
| May 2016 | Assessment of Tax administration (TADAT) | |
| May–July 2016 | Review of the Performance Budget System | |
| June 2016 | Macro-fiscal planning and fiscal risks management | |
| July 2016 | Tax administration | |
| July–August 2016 | Audit effectiveness for Telecoms | |
| Nov.–Dec. 2016 | Customs administration | |
| February 2017 | Public Investment Management assessment | |
| April 2017 | Tax administration | |
| January 2018 | Tax and Customs Administration | |
| January 2018 | Fiscal risk assessment, cash management and expenditure controls, and fiscal reporting | |
| June 2018 | Tax system assessment and revenue mobilization | |
| September 2018 | Strengthening cash and debt management | |
| Oct.–Nov. 2018 | Managing cash and strengthening budget process | |
| April 2019 | Wage bill management | |
| MCM | November 2011 | Monetary policy framework |
| January 2012 | Inflation targeting framework | |
| January 2012 | Payments system reforms | |
| January 2012 | Central Bank organizational restructuring | |
| February 2012 | Currency management | |
| March 2012 | Macro modeling of transmission mechanism | |
| May 2012 | Stress testing and risk profile of banks | |
| May 2012 | Currency management | |
| July 2012 | Payments system | |
| September 2012 | Currency management | |
| October 2012 | Inflation targeting | |
| November 2012 | Organization review | |
| November 2012 | Financial stability | |
| December 2012 | Bank supervision and regulations | |
| February 2013 | Information handling | |
| March 2013 | Organization of economic analysis | |
| March 2013 | Macro modeling of transmission mechanism | |
| May 2013 | Payments system | |
| June 2013 | Markets for government securities | |
| August 2013 | Financial stability analysis | |
| September 2013 | Liquidity forecasting and interbank market | |
| November 2013 | Monetary policy reports and recommendations | |
| November 2013 | Tasks and performance of the executives | |
| February 2014 | Internal planning functions of BOZ | |
| February 2014 | Automation of book-keeping and accounting in currency operations | |
| March–April 2014 | Stress testing | |
| April–May 2014 | Econometric modeling | |
| May 2014 | Improving efficiency of payment system | |
| July 2014 | Assessing the functioning of the FX market | |
| August 2014 | Project Management | |
| September 2014 | Monetary policy formulation and implementation | |
| September–October | Improving efficiency of payment systems- | |
| 2014 | National Switch project | |
| November 2014 | Enhancement of the stress testing framework | |
| January 2015 | Improving liquidity of the secondary market for Government securities and deepening interbank money markets | |
| February 2015 | Bank supervision | |
| March 2015 | Organizational structure and operational set up | |
| June 2015 | Payment systems development and oversight | |
| August 2015 | Bank supervision | |
| September 2015 | Macroeconomic modelling | |
| September–October | Establishment of a centralized database | |
| 2015 | management system | |
| October 2015 | Bank of Zambia organizational structure | |
| November 2015 | Secondary market for Government securities | |
| February–March 2016 | Secondary market for Government securities | |
| April 2016 | Business opinion and expectations survey | |
| April 2016 | Stress testing | |
| July 2016 | Forecasting and policy analysis system | |
| December 2016 | Forecasting and policy analysis system | |
| April 2017 | Forecasting and policy analysis system | |
| May 2017 | TA needs assessment | |
| June 2017 | Risk based supervision | |
| July 2017 | Deposit insurance system | |
| July 2017 | Monetary policy communications | |
| Aug.-Sept. 2017 | Foreign exchange market developments | |
| October 2017 | Central Bank communication | |
| October 2017 | Risk based supervision | |
| December 2017 | FPAS modeling | |
| April 2018 | Systemic risk monitoring | |
| May 2018 | Contingency planning for crisis preparedness and management | |
| June 2018 | FPAS modeling | |
| June 2018 | Diagnostic and PFMI training | |
| October 2018 | FPAS modeling | |
| Oct-Nov 2018 | Cyber security | |
| Jan 2019 | Communications | |
| April 2019 | Stress testing | |
| STA | February 2013 | SRF data development |
| April 2013 | Price statistics | |
| April 2013 | National accounts | |
| December 2013 | Price statistics | |
| January 2014 | National accounts | |
| January 2014 | Open data platform | |
| April-May 2014 | Monetary and financial statistics | |
| August 2014 | National accounts | |
| March 2015 | Quarterly National accounts | |
| March 2015 | Price statistics | |
| February–March 2016 | External sector statistics | |
| March 2016 | National accounts statistics | |
| March–April 2016 | Government finance statistics | |
| April 2016 | Enhanced general data dissemination system | |
| April–May 2016 | National accounts statistics | |
| May 2016 | Natural resources revenue pilot study | |
| October 2016 | National accounts statistics | |
| December 2016 | External sector statistics | |
| February 2017 | National accounts statistics | |
| March 2017 | International investment position and External debt and statistics compilation training | |
| March 2017 | Producer price index | |
| June 2017 | National accounts statistics | |
| June 2017 | External sector statistics | |
| August 2017 | National accounts statistics | |
| November-December 2017 | Government finance statistics | |
| December 2017 | Producer price index | |
| March 2018 | National accounts statistics | |
| April 2018 | Producer price index | |
| April-May 2018 | External sector statistics and International investment position | |
| June 2018 | National accounts statistics | |
| November 2018 | National accounts statistics | |
| November-December 2018 | Government finance statistics | |
| February 2019 | Public sector debt statistics | |
| March 2019 | External sector statistics | |
| March 2019 | National accounts statistics | |
| April 2019 | National accounts statistics |
Joint World Bank-Fund Work Program, 2019–20
| Title | Products | Expected Delivery Date |
|---|---|---|
| World Bank work program in next 12 months | 1. Analytical work – Renewable energy; Fostering long-term savings; | 2019–20 |
| 2. Lending – Country Partnership Framework | TBD | |
| 3. Analytical work – Insolvency and secured transactions reforms to promote MSME access to credit and financial inclusion | September 2019 | |
| 4. Analytical work – Water supply and sanitation sector diagnostic | November 2019 | |
| 5. Analytical work – Digital economy diagnostic | November 2019 | |
| 6. TA – Financial inclusion support program | December 2019 | |
| 7. TA – Capacity building for the Ministry of National Development Planning | May 2020 | |
| 8. Analytical work – Debt management reform plan | Continuous | |
| 9. Analytical work – Poverty monitoring and analysis | May 2020 | |
| 10. TA – Transport sector PPP | June 2020 | |
| IMF work program in next 12 months | 1. Technical assistance: Foreign operations and foreign exchange policy implementation | 2019/20 |
| 2. Technical assistance: Public financial management | 2019/20 | |
| 3. Technical assistance: Revenue administration | 2019/20 | |
| 4. Technical assistance: Contingency planning for crisis preparedness and management | 2019/20 | |
| 5. Technical assistance: Financial supervision and regulation | 2019/20 | |
| 6. Technical assistance: Monetary policy implementation and operations | 2019/20 | |
| 7. Technical assistance: National accounts statistics | 2019/20 | |
| 8. Technical assistance: External sector statistics | 2019/20 | |
| 9. Technical assistance: Producer price index | 2019/20 | |
| 10. Technical assistance: Government finance statistics | 2019/20 | |
| Fund request to Bank | 1. Analytical work on impact of drought and other climatic shocks | June 2019 |
| 2. Analytical work on electricity tariffs review | September 2019 | |
| 3. Analytical work on debt management reform | July 2019 | |
| 4. Assessment of progress in strengthening project appraisal, selection and management as well as public procurement processes. | End-2019 | |
| Bank request to Fund | 1. Medium-term macroeconomic framework | Continuous |
| Joint products in next 12 months | 2. DSA for Article IV | July 2019 |
| Title | Products | Expected Delivery Date |
|---|---|---|
| World Bank work program in next 12 months | 1. Analytical work – Renewable energy; Fostering long-term savings; | 2019–20 |
| 2. Lending – Country Partnership Framework | TBD | |
| 3. Analytical work – Insolvency and secured transactions reforms to promote MSME access to credit and financial inclusion | September 2019 | |
| 4. Analytical work – Water supply and sanitation sector diagnostic | November 2019 | |
| 5. Analytical work – Digital economy diagnostic | November 2019 | |
| 6. TA – Financial inclusion support program | December 2019 | |
| 7. TA – Capacity building for the Ministry of National Development Planning | May 2020 | |
| 8. Analytical work – Debt management reform plan | Continuous | |
| 9. Analytical work – Poverty monitoring and analysis | May 2020 | |
| 10. TA – Transport sector PPP | June 2020 | |
| IMF work program in next 12 months | 1. Technical assistance: Foreign operations and foreign exchange policy implementation | 2019/20 |
| 2. Technical assistance: Public financial management | 2019/20 | |
| 3. Technical assistance: Revenue administration | 2019/20 | |
| 4. Technical assistance: Contingency planning for crisis preparedness and management | 2019/20 | |
| 5. Technical assistance: Financial supervision and regulation | 2019/20 | |
| 6. Technical assistance: Monetary policy implementation and operations | 2019/20 | |
| 7. Technical assistance: National accounts statistics | 2019/20 | |
| 8. Technical assistance: External sector statistics | 2019/20 | |
| 9. Technical assistance: Producer price index | 2019/20 | |
| 10. Technical assistance: Government finance statistics | 2019/20 | |
| Fund request to Bank | 1. Analytical work on impact of drought and other climatic shocks | June 2019 |
| 2. Analytical work on electricity tariffs review | September 2019 | |
| 3. Analytical work on debt management reform | July 2019 | |
| 4. Assessment of progress in strengthening project appraisal, selection and management as well as public procurement processes. | End-2019 | |
| Bank request to Fund | 1. Medium-term macroeconomic framework | Continuous |
| Joint products in next 12 months | 2. DSA for Article IV | July 2019 |
Statistical Issues
As of June 20, 2019
| I. Assessment of Data Adequacy for Surveillance |
| General: Data provision has some shortcomings but is broadly adequate for surveillance. Issues with source data and compilation affect most datasets but are particularly problematic in fiscal reporting. |
| National accounts: The Central Statistics Office (CSO) estimates GDP for the current year from benchmark year 2010 and a combination of survey and administrative data. The authorities now compile GDP estimates using value added (VAT) and business income tax data from the Zambian Revenue Authority (ZRA). In October 2016, the CSO started publishing quarterly GDP estimates using quarterly source data, including fiscal records from the ZRA. The two priority areas for attention are: (a) developing a Memorandum of Understanding between the CSO and the ZRA to ensure administrative data has appropriate coverage and quality assurance; and (b) developing a new GDP benchmark within the next three years. AFRITAC South is providing a technical assistance over the ongoing GDP rebasing process. |
| Price statistics: The classification system used for compilation of the CPI closely follows the Classification of Individual Consumption by Purpose. The current weights are based on expenditure data reported by households in 2002. There is urgent need for a household expenditure survey to update the CPI weights. An ongoing AFRITAC South project on the compilation of the producer price index (PPI) is expected to enhance the measurement of volume changes of GDP and its components. |
| Government finance statistics (GFS): The coverage of GFS data is limited to budgetary central government. These data include intergovernmental transfers of about 2 percent of GDP to extra-budgetary, social security, and local government units—the economic nature of these expenses are not known and all sources of own revenue of these entities are excluded from the fiscal data. The authorities report monthly budget releases data to the IMF’s African Department for operational use in a timely manner, but the data are often subject to substantial revisions. The reconciliation of data on fiscal outturn in fiscal reports and government’s accounts in monetary statistics requires significant improvement. There is a GFS TA mission planned for November 2019. |
| Monetary statistics: The Bank of Zambia (BOZ) reports monetary data to STA for the central bank and other depository corporations on a timely basis. Data for Other Financial Corporations are reported with long delays. Monetary statistics are reported using the standardized report forms, which accord with the concepts and definitions of the IMF’s Monetary and Financial Statistics Manual (MFSM). BOZ also reports data on some basic series and indicators of IMF’s Financial Access Survey including mobile money and the two indicators adopted by the UN to monitor Target 8.10 of the Sustainable Development Goals (commercial bank branches 100,000 adults and ATMs per 100,000 adults). |
| Financial sector surveillance: BoZ submits the FSIs for deposit takers on a regular and timely basis which are disseminated on the IMF’s FSI website. |
| Balance of payments statistics: The data adequacy has gradually improved in recent years. The BoZ compiles balance of payments (BOP) and international investment position (IIP) statistics according to the Sixth edition of Balance of Payments and International Investment Position Manual (BPM6). BOP and IIP data are compiled quarterly although the publication time lag is higher than 120 days of the reference quarter. The BoZ has started conducting new services surveys in compliance with BPM6 which have contributed to the significant revision in the services series as well as the fob valuation of exports and imports of goods. The coverage of the quarterly investment survey (relating to financial account and primary income) should be improved as well is its incorporation in the BOP statistics. |
| External and domestic debt statistics: Data provision is broadly adequate for surveillance purposes. Recent efforts, facilitated by technical assistance, have led to an improvement in the consolidation of the debt databases, both in terms of external and domestic debt. Further work is underway in these areas. |
| II. Data Standards and Quality |
| Zambia has participated in the General Data Dissemination System (GDDS) since November 2002, and in June 2016 it implemented the e-GDDS recommendations and disseminated a National Summary Data Page (NSDP; http://nso.zambia.opendataforafrica.org/ddaiaof/national-summary-data-page-nsdp), publishing 14 of the 15 e-GDDS data categories and remaining in Baseline 2 of the e-GDDS. Since June 2016, updating of the NSDP has not been consistent. A Data ROSC Assessment was published in February 2005. |
| I. Assessment of Data Adequacy for Surveillance |
| General: Data provision has some shortcomings but is broadly adequate for surveillance. Issues with source data and compilation affect most datasets but are particularly problematic in fiscal reporting. |
| National accounts: The Central Statistics Office (CSO) estimates GDP for the current year from benchmark year 2010 and a combination of survey and administrative data. The authorities now compile GDP estimates using value added (VAT) and business income tax data from the Zambian Revenue Authority (ZRA). In October 2016, the CSO started publishing quarterly GDP estimates using quarterly source data, including fiscal records from the ZRA. The two priority areas for attention are: (a) developing a Memorandum of Understanding between the CSO and the ZRA to ensure administrative data has appropriate coverage and quality assurance; and (b) developing a new GDP benchmark within the next three years. AFRITAC South is providing a technical assistance over the ongoing GDP rebasing process. |
| Price statistics: The classification system used for compilation of the CPI closely follows the Classification of Individual Consumption by Purpose. The current weights are based on expenditure data reported by households in 2002. There is urgent need for a household expenditure survey to update the CPI weights. An ongoing AFRITAC South project on the compilation of the producer price index (PPI) is expected to enhance the measurement of volume changes of GDP and its components. |
| Government finance statistics (GFS): The coverage of GFS data is limited to budgetary central government. These data include intergovernmental transfers of about 2 percent of GDP to extra-budgetary, social security, and local government units—the economic nature of these expenses are not known and all sources of own revenue of these entities are excluded from the fiscal data. The authorities report monthly budget releases data to the IMF’s African Department for operational use in a timely manner, but the data are often subject to substantial revisions. The reconciliation of data on fiscal outturn in fiscal reports and government’s accounts in monetary statistics requires significant improvement. There is a GFS TA mission planned for November 2019. |
| Monetary statistics: The Bank of Zambia (BOZ) reports monetary data to STA for the central bank and other depository corporations on a timely basis. Data for Other Financial Corporations are reported with long delays. Monetary statistics are reported using the standardized report forms, which accord with the concepts and definitions of the IMF’s Monetary and Financial Statistics Manual (MFSM). BOZ also reports data on some basic series and indicators of IMF’s Financial Access Survey including mobile money and the two indicators adopted by the UN to monitor Target 8.10 of the Sustainable Development Goals (commercial bank branches 100,000 adults and ATMs per 100,000 adults). |
| Financial sector surveillance: BoZ submits the FSIs for deposit takers on a regular and timely basis which are disseminated on the IMF’s FSI website. |
| Balance of payments statistics: The data adequacy has gradually improved in recent years. The BoZ compiles balance of payments (BOP) and international investment position (IIP) statistics according to the Sixth edition of Balance of Payments and International Investment Position Manual (BPM6). BOP and IIP data are compiled quarterly although the publication time lag is higher than 120 days of the reference quarter. The BoZ has started conducting new services surveys in compliance with BPM6 which have contributed to the significant revision in the services series as well as the fob valuation of exports and imports of goods. The coverage of the quarterly investment survey (relating to financial account and primary income) should be improved as well is its incorporation in the BOP statistics. |
| External and domestic debt statistics: Data provision is broadly adequate for surveillance purposes. Recent efforts, facilitated by technical assistance, have led to an improvement in the consolidation of the debt databases, both in terms of external and domestic debt. Further work is underway in these areas. |
| II. Data Standards and Quality |
| Zambia has participated in the General Data Dissemination System (GDDS) since November 2002, and in June 2016 it implemented the e-GDDS recommendations and disseminated a National Summary Data Page (NSDP; http://nso.zambia.opendataforafrica.org/ddaiaof/national-summary-data-page-nsdp), publishing 14 of the 15 e-GDDS data categories and remaining in Baseline 2 of the e-GDDS. Since June 2016, updating of the NSDP has not been consistent. A Data ROSC Assessment was published in February 2005. |
Zambia: Table of Common Indicators Required for Surveillance
As of June 20, 2019
Any reserve assets that are pledged of otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.
Both market-based and officially determined, including discounts rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Including currency and maturity composition.
Includes external gross financial asset and liability positions vis-à-vis nonresidents. The publication of the new IIP series started in April 2019. According to the Bank of Zambia, the series will be updated on a quarterly basis.
Daily (D), weekly (W), monthly (M), quarterly (Q), annually (A); irregular (I); or not available (NA).
Zambia: Table of Common Indicators Required for Surveillance
As of June 20, 2019
| Date of Latest Observation | Date Received | Frequency of Data7 | Frequency of Reporting 7 | Frequency of Publication7 | |
|---|---|---|---|---|---|
| Exchange rates | June 20 2019 | June 20, 2019 | D | D | D |
| International reserve assets and reserve liabilities of the monetary authorities1 | June 6 2019 | June 14, 2019 | D | W | M |
| Reserve/base money | June 7 2019 | June 14 2019 | D | W | M |
| Broad money | June 7, 2019 | June 14, 2019 | M | M | M |
| Central bank balance sheet | April 2019 | June 2019 | M | M | M |
| Consolidated balance sheet of the banking system | April 2019 | June 2019 | M | M | M |
| Interest rates2 | June 15, 2019 | June 20, 2019 | W | W | M |
| Consumer Price Index | May 2019 | May 31, 2019 | M | M | M |
| Revenue, expenditure, balance and composition of financing3—general government4 | N/A | N/A | |||
| Revenue, expenditure, balance and composition of financing3— central government | March 2019 | June 14, 2019 | M | M | M |
| Stocks of central government and central government– guaranteed debt5 | December 2018 | April 10, 2019 | M | M | Q |
| External current account balance | Q1 2019 | May 23, 2019 | Q | Q | Q |
| Exports and imports of goods and services | April 2019 | May 31, 2019 | M | M | M |
| GDP/GNP | Q4 2018 | April 16, 2019 | Q | Q | M |
| Gross external debt | Q4 2018 | April 10 2019 | A | A | A |
| International investment position 6 | Q3 2018 | June 12, 2019 | Q | Q | Q |
Any reserve assets that are pledged of otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.
Both market-based and officially determined, including discounts rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Including currency and maturity composition.
Includes external gross financial asset and liability positions vis-à-vis nonresidents. The publication of the new IIP series started in April 2019. According to the Bank of Zambia, the series will be updated on a quarterly basis.
Daily (D), weekly (W), monthly (M), quarterly (Q), annually (A); irregular (I); or not available (NA).
Zambia: Table of Common Indicators Required for Surveillance
As of June 20, 2019
| Date of Latest Observation | Date Received | Frequency of Data7 | Frequency of Reporting 7 | Frequency of Publication7 | |
|---|---|---|---|---|---|
| Exchange rates | June 20 2019 | June 20, 2019 | D | D | D |
| International reserve assets and reserve liabilities of the monetary authorities1 | June 6 2019 | June 14, 2019 | D | W | M |
| Reserve/base money | June 7 2019 | June 14 2019 | D | W | M |
| Broad money | June 7, 2019 | June 14, 2019 | M | M | M |
| Central bank balance sheet | April 2019 | June 2019 | M | M | M |
| Consolidated balance sheet of the banking system | April 2019 | June 2019 | M | M | M |
| Interest rates2 | June 15, 2019 | June 20, 2019 | W | W | M |
| Consumer Price Index | May 2019 | May 31, 2019 | M | M | M |
| Revenue, expenditure, balance and composition of financing3—general government4 | N/A | N/A | |||
| Revenue, expenditure, balance and composition of financing3— central government | March 2019 | June 14, 2019 | M | M | M |
| Stocks of central government and central government– guaranteed debt5 | December 2018 | April 10, 2019 | M | M | Q |
| External current account balance | Q1 2019 | May 23, 2019 | Q | Q | Q |
| Exports and imports of goods and services | April 2019 | May 31, 2019 | M | M | M |
| GDP/GNP | Q4 2018 | April 16, 2019 | Q | Q | M |
| Gross external debt | Q4 2018 | April 10 2019 | A | A | A |
| International investment position 6 | Q3 2018 | June 12, 2019 | Q | Q | Q |
Any reserve assets that are pledged of otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.
Both market-based and officially determined, including discounts rates, money market rates, rates on treasury bills, notes and bonds.
Foreign, domestic bank, and domestic nonbank financing.
The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.
Including currency and maturity composition.
Includes external gross financial asset and liability positions vis-à-vis nonresidents. The publication of the new IIP series started in April 2019. According to the Bank of Zambia, the series will be updated on a quarterly basis.
Daily (D), weekly (W), monthly (M), quarterly (Q), annually (A); irregular (I); or not available (NA).
1
Formerly PRGF.
2
When a member has overdue financial obligations outstanding form more than three months, the amount of such arrears will be shown in this section.
3
Net present value (NPV) terms at the decision point under the enhanced framework.
4
Under the enhanced framework, an additional disbursement is made at the completion point corresponding to interest income earned on the amount committed at the decision point but not disbursed during the interim period.
5
The Multilateral Debt Relief Initiative (MDRI) provides 100 percent debt relief to eligible member countries that are qualified for assistance. The debt relief covers all debt owed to the Fund as of end-2004 that is outstanding at the time the member qualifies for the relief.