The Zambia Institute of Chartered Accountants cautioned that the government’s 2026 borrowing plans could undermine economic stabilization and private-sector growth. ZICA said the projected K34.49 billion fiscal gap, funded through domestic and external borrowing, risks crowding out private credit and raising interest rates. It urged economic diversification, fiscal discipline and prudent spending to support recovery and align with the central bank’s tight monetary policy.

The Auditor General cited TAZAMA Pipelines Limited for nearly K4 million in wasteful expenditure after buying a non-functional agricultural drone. The firm paid over K2.2 million for the purchase and shipping of the drone. A further K1.77 million was spent to send board members and staff to China to visit the supplier. The drone has never been used and remains in storage, with recorded damages.

ZESCO Limited paid $46.1 million in debt servicing in 2024, highlighting the financial strain facing Zambia’s state-owned power utility. The payments covered loan repayments and interest linked to past investments in generation, transmission and network upgrades. While ZESCO met its obligations without default, the report notes that legacy debt continues to pressure cash flow, limiting operational flexibility amid rising electricity demand.