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Zambia
>> Regional Overview >> Zambia Overview
Previous Years' Activities
2002, 2001, 2000, 1999, 1998, 1997
Last updated: 23
THE DEVELOPMENT CHALLENGE: Zambia has gone through a political and economic transition from decades of one-party autocracy to multi-party democracy. It is making progress toward liberalizing its economy, increasing foreign trade and privatizing state-owned enterprises. The continuous contraction of the economy in the 1980s has been reversed over the past decade. Gross Domestic Product grew by 3.6% in 2000, and a growth rate of five percent is estimated in 2001. Improved financial discipline has resulted in a decrease in inflation from 30.1% in 2000 to 18% in 2001. Zambia's commitment to private sector-led economic growth is demonstrated by several reforms, including the establishment of a stock market, relaxation of government controls over exchange and interest rates, and the attainment of full convertibility for the national currency.
Despite these positive developments, there remain many impediments to political and economic progress in Zambia.
These obstacles include Zambia's landlocked status, limited foreign and domestic investment, a legacy of authoritarian leadership, corruption, and a high population growth rate of 2.9%. One of the greatest threats to Zambia's future development is the HIV/AIDS pandemic. Approximately 20% of adults in Zambia are infected with HIV. As AIDS death rates accelerate, a secondary epidemic of orphans and vulnerable children is developing. At the end of 2000, an estimated 1.25 million children (27.4% of children under age 15) were orphaned, and the number of children not attending primary school exceeded 700,000.
Life expectancy at birth has declined from 49 years in 1992 to 43 in 2001, largely due to the HIV/AIDS crisis. Zambia held presidential, parliamentary and local government elections on December 27, 2001 with both international and local monitoring. The newly-elected President is Levy Mwanawasa of the ruling party, who defeated the lead opposition candidate 29% to 27% (35,000 votes). A multi-party legislature in Zambia has been seated, with the opposition now representing 71% of voters and holding just over 50% of the seats. This new legislature, differing from the previous ruling party-dominated legislature, may open the door for the implementation of parliamentary reforms.
The recent elections in 2001 follow a spirited public debate in which civil society successfully mobilized itself to resist an unconstitutional third term for former President Frederick Chiluba. Zambia is key to U.S. national interests and foreign policy priorities in the Southern Africa region. Zambia is a leader in regional conflict resolution efforts, particularly in the Democratic Republic of Congo. It is a priority country in the U.S. Government's worldwide effort to stem the HIV/AIDS pandemic, due in part to recent successes in curbing the spread of the disease in the country. Zambia has a record of economic and political reforms over the past ten years and is a model of peace and stability in a troubled region.
THE USAID PROGRAM:
FY 2002 Estimate: $42.741 million FY 2003 Request: $50.285 million The USAID program in Zambia has four areas of focus. They include: 1) increasing incomes in rural areas; 2) improving the quality of basic education for children; 3) improving integrated child health care and reproductive health services, including HIV/AIDS interventions; and 4) expanding civic participation in democratic governance. To improve rural incomes, USAID supports innovative programs dealing with agricultural privatization, conservation-related farming technology, and community-based natural resource management in protected areas. USAID's effort to encourage rural development includes a microenterprise credit program. In education, USAID supports basic education and nutrition on a community level, while promoting novel approaches to improve access to education for the rural poor, girls, orphans, and other vulnerable children. In the health sector, USAID supports a range of cutting-edge programs that reduce death and suffering. Zambia is a priority country for the worldwide "Roll-Back Malaria" program, and receives special attention in the fight against HIV/AIDS. USAID supports national programs in family planning and maternal health, vitamin A food fortification and supplementation, immunization, and integrated management of childhood illnesses. In recognition of the fact that HIV/AIDS is not just a health problem but an overall development challenge, USAID has designed a cross-cutting coordination mechanism that improves the capacity of all development sectors in Zambia to deal with the wide-ranging impacts of the disease. Finally, USAID programs in Zambia promote democracy and the peaceful exchange of viewpoints by supporting public debates on major issues of civic concern.
FY 2002 funds will be used to implement the program as currently planned and previously described in the FY 2002 Congressional Budget Justification. Program activities to be funded by FY 2002 and FY 2003 appropriations are described in more detail in the Program Data Sheets. The increase in program funding levels from FY 2002 to 2003 is primarily due to increased HIV/AIDS funding.
OTHER PROGRAM ELEMENTS: In economic growth, USAID collaborates with USAID's Regional Center for Southern Africa trade program, dealing with World Trade Organization concerns, the Southern African Development Community country steering committees, the Africa Growth and Opportunity Act, and various regulatory issues. USAID also works with the Common Market for Eastern and Southern Africa to promote closer regional trade ties. The regional Corridors of Hope project provides financial support that leverages bilateral funding for cross-border HIV/AIDS prevention activities targeting high-risk populations. USAID/Washington funds the Adventist Development and Relief Agency and the Salvation Army World Service to improve health care services, and also supports Project Concern International in building the capacity of Zambian nonprofit organizations to provide services locally. USAID's Education for Development and Democracy Initiative and the Progressive Life Center established a pilot partnership between two girls' high schools in Zambia and Washington, D.C., focusing on the self-growth and development of adolescent females. P.L. 480 Title II food aid continues to be an integral part of USAID's program in FY 2002 and complements the efforts to help rural poor households to improve food security.
OTHER DONORS: Overall, the United States ranked third in 2000 among bilateral donors, after the United Kingdom and the Netherlands. The World Bank is Zambia's largest multilateral donor. Other key multilateral donors include the European Union (EU) and the African Development Bank.
USAID programs in Zambia are marked by a spirit of collaboration. USAID collaborates with the World Bank in areas of privatization and in the preparation of Zambia's Poverty Reduction Strategy. The World Bank is the main donor supporting the Ministry of Agriculture's extension work, and also works with USAID on programs benefiting the tourism and wildlife sectors. Germany and the EU work in partnership with USAID to strengthen small and medium business associations in Zambia. Sweden collaborates with USAID to address regulation of the microfinance and power sectors. Norway and the International Fund for Agricultural Development have initiated activities that support USAID's rural group business model. Additionally, Norway, the Netherlands, and USAID jointly support a public-private Agricultural Forum. USAID is the lead donor on the World Trade Organization's Integrated Framework for Trade, in conjunction with both multilateral and bilateral donors. The United Nations Development Program's Growth Triangle program aims at increasing cross-border trade between Zambia, Malawi and Mozambique, complementing other USAID efforts. Many partners join USAID in supporting health reforms in Zambia, including Denmark, Sweden, Norway, the United Kingdom, Ireland, the Netherlands, Canada and UNICEF. Under the auspices of the US-Japan Common Agenda, the Japan International Cooperation Agency joins with USAID to implement key health and education interventions. USAID collaborates with many international donors and United Nations agencies to increase investment in basic education, with a special focus on the advancement of girls' education. Finally, USAID and the EU worked together successfully in support of the recent national elections.
Program Data Sheets
- 611-001 Increased Rural Incomes of Selected Groups
- 611-002 Improved Quality of Basic Education for More School-Age Children
- 611-003 Increased Use of Integrated Child and Reproductive Health and HIV/AIDS Interventions
- 611-004 Expanded Opportunity for Effective Participation in Democratic Governance
Country Background Information Resources
CIA Factbook
National Geographic Country Maps
State Dept. Country Information
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Last Updated on: May 29, 2002 |
