2027 Budget Must Protect Economic Gains NKULUKUSA

He said although the economy is projected to grow by 5.3 per cent in 2026 and average 6.9 per cent between 2027 and 2029, several risks could affect fiscal sustainability.

Mr. NKULUKUSA cited the increase in constituencies from 156 to 266, which has resulted in higher allocations to programmes such as the Constituency Development Fund -CDF.

He also cited the settlement of maize marketing arrears and the potential impact of El Niño as other pressures on Government finances.

Mr. NKULUKUSA has directed all Ministries, Provinces and Agencies -MPAs- to remain within the expenditure ceilings provided in the 2026/2027 Budget Circular and adopt a whole-of-government approach to the use of public resources.

Meanwhile, Ministry of Finance Budget and Resource Mobilisation Permanent Secretary MWAKA MUKUBESA said resources in the 2027 National Budget have been realigned towards programmes that support the implementation of the Grow Zambia Agenda.

Ms. MUKUBESA said the economy is projected to grow by an average of 6.9 per cent between 2027 and 2029, while inflation is expected to remain in single digits.

She said domestic revenue is expected to finance 80.4 per cent of the 2027 Budget, compared with 81.6 per cent in 2026, while other financing is projected to increase from 10.6 per cent to 16.5 per cent.

Ms. MUKUBESA said the available discretionary budget has increased from 26.8 per cent to 31.9 per cent, allowing Government to direct more resources towards priority programmes.

She said these include the Constituency Development Fund, school feeding, free education, medical supplies and interventions aimed at increasing productivity in the agriculture sector.