IMF and Zambia agree $1.47 billion programme; Board approval expected in December

LUSAKA, October 11, 2026. The International Monetary Fund and the Zambian government have reached a staff-level agreement on a new 36-month Extended Credit Facility worth about $1.472 billion. That is 1,076 million Special Drawing Rights. The IMF announced it on Friday, October 9, after a mission to Lusaka from September 29 to October 9. Finance Minister Situmbeko Musokotwane said the money will support the budget and the balance of payments and help keep debt sustainable. He described it as a move from stabilisation to growth. A staff-level agreement is not final. It needs approval from IMF management and the Executive Board. Zambia must also carry out agreed prior actions before the Board considers it. Bloomberg reports the mission chief expects Board approval in December. The IMF says the economy is stronger and inflation has fallen sharply. It also says fiscal pressures have grown in 2026. The programme aims to rebuild fiscal and external buffers through higher revenue and tighter spending, while protecting priority social spending. The agreement comes as government prepares the 2027 budget. The Finance Ministry says spending is projected to rise by 7 percent. The previous $1.7 billion programme ended in January. Why it matters: the Board vote in December decides whether the money flows. The prior actions and the revenue measures will show what Zambians are asked to carry.