Zambia’s economy expanded by 5.2 percent in the second quarter of 2025, a marked improvement from the 1.9 percent recorded during the same period last year, according to the Zambia Statistics Agency (ZamStats). This performance represents a 3.3 percentage point increase compared to the second quarter of 2024 and signals a renewed momentum in the country’s economic outlook.
Acting Statistician-General Sheila Mudenda, speaking at a press briefing in Lusaka, noted that the positive trajectory was underpinned by strong growth in several key sectors. Agriculture, forestry and fishing collectively contributed 42.9 percent of the quarterly expansion, reaffirming the continued significance of primary industries in Zambia’s economy. The information and communication sector provided 20.6 percent, reflecting the growing role of digital infrastructure and technology adoption across the country. Transportation and storage added 16.4 percent, while arts, entertainment and recreation accounted for 15.4 percent. Mining and quarrying, long a central pillar of Zambia’s economic base, contributed 10.4 percent.
Despite this overall growth, certain sectors exerted downward pressure. Declines were registered in water supply, administrative services, wholesale and trade, and electricity. These challenges underscore the structural vulnerabilities that remain within Zambia’s economic fabric, particularly in infrastructure provision and energy reliability.
Inflationary trends also offered a cautiously positive signal. Year-on-year inflation fell to 12.3 percent in September from 12.6 percent in August, largely as a result of price stability in both food and non-food items. While inflation remains in double digits, the easing suggests incremental progress in stabilising consumer prices, which could benefit households and enterprises navigating both domestic and regional pressures.
Zambia’s recent performance should be understood within the broader context of Southern African economies. While Zambia posted a 5.2 percent growth rate in Q2, neighbouring South Africa has continued to grapple with subdued growth prospects, constrained by energy shortages and structural bottlenecks. Similarly, Angola’s economy remains heavily dependent on oil revenues, with diversification efforts progressing unevenly. In contrast, Mozambique has experienced renewed momentum through liquefied natural gas investments, though security concerns in the north continue to temper investor confidence.
These comparative dynamics highlight that Zambia’s trajectory is neither linear nor insulated. Rather, it mirrors continental debates over economic diversification, structural transformation and resilience in the face of global shocks. The strong showing of agriculture and communications illustrates how Zambia is beginning to balance reliance on natural resource wealth with gradual engagement in knowledge-based sectors. This balancing act is also central to the African Union’s Agenda 2063, which emphasises industrialisation, innovation and inclusive development as pathways for long-term prosperity.
Looking forward, Zambia’s challenge lies not only in sustaining short-term gains but also in addressing systemic constraints. Energy supply limitations, high borrowing costs, and dependence on weather-sensitive agricultural outputs continue to present vulnerabilities. At the same time, opportunities exist in strengthening regional integration within the Southern African Development Community (SADC), fostering digital connectivity, and expanding intra-African trade under the African Continental Free Trade Area (AfCFTA).
The second quarter figures demonstrate that Zambia is capable of accelerated growth, yet they also serve as a reminder that sustainable development requires balanced, inclusive and resilient strategies. In this regard, Zambia’s experience is emblematic of wider African trajectories, where nations are seeking to harness both traditional and emerging sectors to reframe their economic futures.
