Zambia Investor Briefing - June 2026
President Hakainde Hichilema officiating at the Mid-Year Private Sector Day on June 12, where he reaffirmed that the Public-Private Dialogue Forum should remain central to Zambia's reform agenda and called for fewer barriers, more investment and stronger private sector-led growth.
In this month's briefing: Zambia completed a landmark debt-for-energy bond buyback, retiring more than $1.1bn of dollar bonds with the help of a $600m African Development Bank loan. Inflation fell to an eight-year low of 6.5%, the economy grew 7.7% in the first quarter, up from 4.5% a year earlier, and the kwacha held its place as the world's best-performing currency. ZCCM-IH hosted its Capital Markets Day in Paris and moved to revive its London listing, targeting a rise in market capitalisation from $1.4bn to $7bn within a decade, while Vedanta prepared a US listing of CopperTech Metals to accelerate a $2.7bn expansion. Three new thermal power projects worth a combined $1.3bn were announced alongside fresh solar and hydro investment to close the power gap. Airtel Zambia passed a $1bn market capitalisation on the Lusaka exchange. Zambia’s trade surplus rose to K7bn in May, and external debt service fell $90.9m. The country also secured a realignment of a $491m US grant to support the Lobito Corridor.
🔢 JUNE IN NUMBERS
→ 6.5% - June annual inflation, the lowest since early 2018
→ 7.7% - Q1 2026 GDP growth, up from 4.5% a year earlier
→ 22% - kwacha appreciation against the dollar this year
→$400m (K7bn) - May trade surplus, up from K3.5bn in April
→$1.1bn - Cumulative trade surplus in the first five months of 2026
→ $575.1m - External debt service in 2025, down US$90.9m on the year
→ $1bn - Airtel Zambia market capitalisation on LuSE, the fourth company to pass the mark
→ $491m - MCC grant realigned to support the Lobito Corridor
→ $900m - Upper range of South Korea's proposed KS Eco solar and nuclear investment
→ $87.9m - Tobacco revenues this season, from 43.17 million kg traded
→ 2.4m tonnes - Maize available for export after national needs are met
→ 81 points - Zambia's score under the 2023 EITI global mining and resource transparency standard
⛏️ MINING EXPANSION
ZCCM-IH Moves to Revive London Listing
ZCCM-IH has appointed advisers to revive its London listing and widen its free float, as it works to tap international capital markets. Chief Executive Kakenenwa Muyangwa said the group wants to lift its market capitalisation from about US$1.4bn to around US$7bn within a decade. It is also weighing an increase in its free float from 7% to as much as 25%, and a possible switch to US dollar reporting.
Vedanta Prepares CopperTech US Listing
Vedanta is preparing the US listing of CopperTech Metals, which will operate its 79%-owned Konkola Copper Mines. ZCCM-IH says the IPO could accelerate a US$2.7bn expansion project, with the listing reported to raise around US$372m. The move signals renewed investor appetite for Zambian copper assets.
Barrick and First Quantum Back Copper Push
Barrick and First Quantum are backing Zambia's drive to triple copper output to three million tonnes by 2031. The companies are among those benefiting from an extended suspension of the 10% duty on copper concentrate exports, which is helping clear stockpiles while major smelters undergo maintenance.
Tertiary Minerals Advances Target A1 DrillingTertiary Minerals has begun drilling at its Target A1 prospect in North-Western Province, a near-surface body roughly 500 metres long, 300 metres wide and up to 75 metres thick. Holes will reach a vertical depth of about 125 metres, with the programme expected to take six to 12 weeks. The project sits 28 kilometres east of the historic Kalengwa copper mine, one of the highest-grade deposits ever mined in Zambia.
Jubilee Secures Backing for Copper Expansion
Jubilee Metals has secured a US$1.5m convertible loan note to accelerate development in the greater Molefe region. The investor previously helped develop Mantos Copper and its merger with Capstone Copper, lending weight to Jubilee's strategy. Discussions are underway on a potential staggered package of up to US$10m.
Atomic Eagle Expands Uranium Footprint
Atomic Eagle has expanded uranium mineralisation at its wholly owned Muntanga project, mainly at the Chisebuka deposit. Recent drilling has extended the northern high-grade zone to 900m by 600m. The company plans to begin diamond drilling late in 2026, aiming to position Chisebuka for a large-scale mine.
Zambia Scores High on Mining TransparencyZambia has earned an 81-point rating under the 2023 Extractive Industries Transparency Initiative standard. The assessment commended progress on transparency and accountability in the sector, while calling for further reforms in contract disclosure and environmental governance. The score reinforces the country's improving investment credentials.
⚡ENERGY AND INFRASTRUCTURE
ZCCM-IH Partners with Wonderful Group on 600MW Thermal Power Plant
ZCCM-IH has agreed a deal with Chinese-owned Wonderful Group to build a 600MW thermal power plant at an estimated US$452m. The plant will be developed in two phases through a special purpose vehicle, Ever Great Energy, with ZCCM-IH taking a 30% equity interest for US$54.2m. It aims to help close a peak demand shortfall of 1,400MW and reduce reliance on hydropower.
EZRA Group Begins Work on US$561m Thermal Power PlantEZRA Group has begun construction of a 400MW thermal power plant worth US$561m at Sinazeze in Sinazongwe District. The project will be delivered in two phases, with the first 200MW due to be commissioned by the end of 2027 and full completion expected in December 2029. ZESCO said the plant forms part of efforts to build an energy-resilient nation.
Vedanta's KCM Plans 300MW Thermal Power PlantVedanta's Konkola Copper Mines plans to build a 300MW thermal power plant worth US$317m in the south of the country, where it faces regular electricity shortages. The facility will be built in two phases, addressing KCM's position as one of Zambia's biggest single power users.
South Korea Proposes Up to US$900m Solar and Nuclear InvestmentKS Eco Solutions has proposed investing between US$700m and US$900m in Zambia's solar and nuclear sectors. The plan centres on a 500MW solar project built in ten phases, with power sold to ZESCO under a long-term agreement. Officials estimate it could address close to a third of the country's current energy shortfall.
Zambia Signs Northrise Solar Agreement
The Government has signed an implementation agreement for the 16MW Northrise Solar project in Twapia, Ndola. Developer Lifesong for Orphans Zambia has invested more than US$12m in the first phase and plans a further 35MW expansion. The plant is due to enter commercial operation in July 2026, with the agreement setting out development rights and a framework for risk allocation between the Government and the developer.
ARC Power Secures US$60m Solar InvestmentZambia has secured an initial US$60m solar investment through a partnership between developer ARC Power and Kiyona Energy, a subsidiary of state utility ZESCO. The funding will expand solar generation as Zambia works to reduce its dependence on hydropower. It is structured under ARC Power's FUSE model, backed by the International Finance Corporation, in which the developer designs, finances and builds the infrastructure before transferring it to public utilities or operating it under power purchase agreements of up to 20 years. The deal is the first phase of a longer-term programme aligned with the World Bank's Mission 300 target.
Lunzua Takes Stake in 180MW Ngonye HydroLunzua Power Company has acquired a 27% stake in Western Power Company to support development of the 180MW Ngonye Hydroelectric Power Falls project in Western Province. The agreement, signed in Cape Town during the Africa Energy Forum, will provide funding for the project and secure long-term contracted revenues for Lunzua.
Batoka Gorge Scheme Goes to MarketZambia and Zimbabwe have opened a market sounding for the proposed 2,400MW Batoka Gorge hydroelectric scheme, held at the Africa Energy Forum in Cape Town. Jointly developed by the two countries through the Zambezi River Authority, the project is one of the largest hydropower schemes planned in Southern Africa.
BB Energy Launches LPG Distribution
BB Energy has launched an LPG distribution business in Zambia, expanding access to cleaner, more reliable energy. The launch builds on the global group's growing presence in LPG and other transitional and renewable energy sectors, drawing on its trading, logistics and risk management expertise to supply the Zambian market.
ERB Approves 32 Licences and K4.5bn in PledgesThe Energy Regulation Board has approved 32 licences, 16 construction permits and various amendments, attracting investment pledges of K4.5bn, equivalent to US$253m. Granted at a Licensing Committee meeting on 15 June, the approvals span electricity, renewable energy and downstream petroleum, and include four new solar plants with a combined capacity of 126 MWp. PR Manager Namukolo Kasumpa said they reflect sustained investor confidence in Zambia's energy sector.
JICA and UNDP Commission Road and Bridge
The Government, JICA and UNDP have commissioned a 25km road and 120-metre footbridge at Mayukwayukwa in Western Province. The US$5.3m project will benefit more than 42,000 people across the Mayukwayukwa and Meheba settlements, improving year-round access to health care, education and markets for refugee and host communities.
💵 ECONOMY AND DEBT
Zambia Completes World-First Debt-for-Energy Swap
Zambia has completed a maiden debt-for-energy swap, securing a US$600m loan from the African Development Bank to fund the buyback of dollar bonds sold in 2024. The rest of the more than US$1.1bn total was funded from the country's own resources, helped by the copper rally and a stronger kwacha. Savings on repayments of US$275m over 15 years will go into expanding the power grid, offering a template other African nations could follow.
Inflation Falls to to Eight-Year LowZambia's inflation fell in June to 6.5%, the lowest level since early 2018, down from 6.6% in May and falling in the Bank of Zambia’s target of 6-8%. Food inflation eased to 6.7% and non-food price growth to 6%. The kwacha has appreciated more than 22% against the dollar this year.
Economy Grows 7.7% in First QuarterZambia's economy grew by 7.7% in the first quarter of 2026, up from 4.5% in the same period a year earlier, an acceleration of 3.2 percentage points. ZamStats Statistician-General Sheila Mudenda said the performance was driven largely by agriculture, forestry and fishing, arts and entertainment, information and communication, transport and accommodation. GDP at purchasers' prices was estimated at K191,385m, up from K153,882m a year earlier, with mining and quarrying the single largest contributor at 14.8% of total output.
Trade Surplus Surges to K7bn in MayZambia's trade surplus has surged to K7bn in May, roughly US$400m, up from K3.5bn in April. The cumulative surplus for the first five months of 2026 reached about US$1.1bn, against US$146m for all of 2025.
External Debt Service Falls in 2025
Zambia's external debt service fell by US$90.9m in 2025 to US$575.1m, driven largely by lower payments on restructured Eurobonds. The public and publicly guaranteed external debt-to-GDP ratio declined to 60.9% from 66.4%, helped by higher nominal GDP. Export proceeds tracking also improved, with the repatriation rate rising to 85.6%.
💶 TRADE, INVESTMENT AND AGRICULTURE
Zambia Realigns US$491m Grant to Lobito Corridor
Zambia has agreed with the US Millennium Challenge Corporation to expand the use of a US$491m grant to support critical minerals infrastructure. The “farm-to-market” grant, signed in 2024, will now also support the Lobito Corridor linking Zambia's Copperbelt to Angola's Atlantic coast. Priority road segments in North-Western and Copperbelt Provinces have been aligned with the corridor.
Airtel Zambia Passes US$1bn Market Value
Airtel Zambia has become the fourth company on the Lusaka Securities Exchange to surpass a US$1bn market capitalisation. The milestone reflects continued investor confidence and the growing role of the telecoms sector in Zambia's capital markets. Airtel has expanded through investment in network infrastructure and financial inclusion.
TAZAMA Declares K120m Dividend
TAZAMA Pipelines has declared more than K120m in dividends to the Government of Zambia, with a further K60.1m due to Tanzania. The company recorded a profit of over K180.5m and retained more than K541.7m for future investment. The Treasury said the payout shows the role of state-owned enterprises in generating value.
Tobacco Revenues Reach US$87.9m
Tobacco revenues have reached US$87.9m this season, with 43.17 million kg traded, according to the Tobacco Board of Zambia. The figures point to the sector's growing contribution to agricultural export earnings. It adds to a broadly positive picture for the rural economy.
Bumper Harvest Opens Export Opportunities
An agricultural expert has said the bumper harvest of nearly five million tonnes of maize presents a major opportunity to strengthen food security and expand exports. After meeting consumption, industrial and reserve needs, about 2.4 million tonnes will be available for export. Chief Agricultural Advisor Coillard Hamusimbi credited reforms under the Electronic Voucher System and improved farmer incentives.
Zambia Wins AviaDev Africa 2027 Host Bid
Zambia has won the bid to host AviaDev Africa 2027, a major aviation route development conference. The win comes as the country pushes to attract new air routes and strengthen connectivity. It places Zambia at the centre of the continent's aviation growth conversation.
JUNE MILESTONE ⛰️
June marked another milestone in Zambia's return to international capital markets. Having been the first African country to default after Covid, and then the pioneer for the G20's Common Framework, the country has now completed the world's first debt-for-energy swap. A US$600m loan from the African Development Bank, alongside its own resources, funded the buyback of more than US$1.1bn of dollar bonds, with savings of around US$275m over fifteen years earmarked for expanding the power grid. The deal demonstrates restored market access, the fiscal room rebuilt by a copper rally and stronger kwacha, and a model tying debt relief directly to productive investment that others may follow.
👀 WHAT WE’RE WATCHING IN JULY
→ Northrise Solar (16MW) is scheduled for commissioning in July 2026, with developer Lifesong for Orphans eyeing a further 35MW expansion.
→ Progress on the Wonderful Group Ndola Lime Revival, as it moves towards operational detail.
📖 WHAT WE’VE BEEN READING IN JUNE
Zambia's State-Owned Miner Seeks to Revive London Listing - Financial Times | 26 June 2026
Zambia Currently Boasts Its Best Economic Performance in 8 Years - Business Insider Africa | 25 June 2026
Turning Debt Into Power: Zambia, the AfDB and Africa's New Frontier in Development Finance - African Business | 19 June 2026
Next Africa: Zambia Goes From Debt Defaulter to a Global Trailblazer - Bloomberg | 10 June 2026
QUOTE OF THE MONTH
“Our goal is simple: fewer barriers, more transactions, more investment, more jobs and shared prosperity for all.”
— President Hakainde Hichilema at the conclusion of the Mid-Year Private Sector Day in Lusaka on June 12