CSO Debt Alliance

23/01/2026

20/01/2026

LUSAKA - Zambia’s recent debt crisis compelled the country to undertake far-reaching debt management and economic reforms, supported by a 38-month Extended Credit Facility (ECF) from the International Monetary Fund (IMF). While these reforms have been central to restoring fiscal stability and addr...

27/11/2025

CSO DEBT ALLIANCE WARNS ZAMBIA NOT TO LOSE MOMENTUM AFTER S&P CREDIT RATING UPGRADE

LUSAKA, 27th November,2025— The Civil Society Organization (CSO) Debt Alliance has welcomed S&P Global Ratings’ decision to upgrade Zambia’s sovereign credit rating from Selective Default (SD) to CCC+, calling it a significant milestone in the country’s protracted debt restructuring process.

However, the Alliance has cautioned that the upgrade should not be mistaken for a return to financial stability.

Speaking during a press briefing in Lusaka, CSO Debt Alliance Chairperson Fr. Daniel Mwamba Mutale said the improved rating reflects renewed international confidence in Zambia’s reform agenda but stressed that the country remains exposed to deep fiscal and economic vulnerabilities that could easily undermine recent progress if not carefully managed.

Father Mutale noted that S&P’s upgrade accompanied by a stable outlook suggests that Zambia has shifted from distressed arrears toward a more predictable path of debt servicing warning that a CCC+ rating still lies firmly within the speculative category.

“This upgrade is a reward, but equally, a warning. It signals progress without immunity improvement without insulation from risk’’, He said.

With the 2026 general election approaching, the CSO Debt Alliance also warned of increased risk of policy slippage due to rising public pressure over living costs, power shortages, and demands for subsidies.

Father Mutale described this as “dangerously high,” noting that it limits the government’s ability to invest in essential social services already constrained in the 2026 National Budget.
The Alliance further underscored the impact of climate-related shocks including droughts and floods on electricity generation, mining output, and inflation.

The CSO Debt Alliance called for accelerated investment in solar, thermal, off-grid systems, and energy storage technologies to protect economic resilience.

27/11/2025

🎉Radio Programme

Catch CSO Debt Alliance Coordinator Robert Mwale on Hot FM's Hot Seat Programme to discuss the recent announcement of Global upgrade on Zambia’s credit rating.

Tune in at 9 AM CAT!

21/11/2025

📢Happening Now!!

Join CSO Debt Alliance members Inonge Simakumba and Robert Mwale as they participate in this webinar critiquing the G20 Common Framework at the sidelines of .

They will examine ➡️the lived impacts of slow / inadequate restructuring, ➡️the gendered and social effects of conditionalities, ➡️and explore a UN Sovereign Debt Mechanism as a fairer, timely, rights-respecting alternative.
Register 👉http://o2o.to/i/k4Ca5pfor

04/11/2025

On 28th October 2025, Consumer Unity Trust Society - CUTS Lusaka hosted a half-day engagement workshop at the Protea Marriott Hotel in Lusaka, focusing on critical issues of accountability and transparency in Zambia's public debt management.

The meeting was held under the project, Sustainable Debt Management: Strengthening Accountability and Public Participation in Zambia, supported by the National Democratic Institute (NDI) and the National Endowment for Democracy.

The workshop brought together a diverse group of stakeholders, including Members of Parliament, officials from the Ministry of Finance, civil society representatives and people from academia .

The primary objective was to validate the findings of the Debt Transparency Checklist (DTC) and to identify key legislative and regulatory gaps within Zambia’s debt management framework, particularly in the post-debt restructuring era. The meeting aimed to translate these findings into practical, actionable recommendations to strengthen parliamentary oversight and public participation.

10/10/2025

A coalition of Zambian Civil Society Organizations (CSOs) shared a comprehensive analysis of the proposed K253.1 billion 2026 National Budget, cautioning that while the government’s fiscal consolidation agenda aims to stabilize the economy, it could risk deepening inequality and reversing hard-won social progress if not implemented equitably.

The discussion highlighted the need to strike a balance between debt management, domestic resource mobilization, and social protection—especially as Zambia navigates ongoing debt restructuring and prepares for the 2026 General Elections.

The Coalition highlighted that although macroeconomic indicators appear promising, the real test lies in whether this stability translates into poverty reduction and inclusive growth, given Zambia’s exposure to external and climate shocks.

Below are picture highlights from the Press Briefing:

10/10/2025

PRESS STATEMENT

SAFEGUARDING THE MARGINAL SOCIAL AND ECONOMIC GAINS THROUGH FAIR AND EQUITABLE FISCAL CONSOLIDATION

Lusaka, Zambia – Friday, October 10, 2025 – A coalition of Zambian Civil Society Organisations (CSOs) today issued a comprehensive analysis of the proposed K253.1 billion 2026 National Budget, cautioning that while the government has committed to economic consolidation, the fiscal framework risks deepening inequality and reversing hard-won social progress.

The budget is framed by the pressure of protracted debt restructuring, the need for high Domestic Resource Mobilisation (DRM), and the political volatility of the approaching 2026 General Elections.

I. MACROECONOMIC AND DEBT FRAMEWORK- CIVIL SOCIETY FOR POVERTY REDUCTION The Civil Society for Poverty Reduction (CSPR) views the 2026 macroeconomic targets as highly ambitious and structurally compromised by historical debt obligations. Despite an improved macroeconomic outlook, the challenge is ensuring that this stability translates into genuine poverty reduction and inclusive growth, as Zambia continues to face persistent inequality and vulnerability to external and climate shocks.
Jesuit Centre for Theological Reflection
Civil Society for Poverty Reduction-CSPR
Transparency International Zambia

10/10/2025

The Civil Society for Debt Alliance in making a submission to the National Assembly of Zambia's Committee on Public Accounts (PAC), providing expert commentary on the 2026 National Budget allocations under Head 21: Loans and Investments and Head 99: Constitutional and Statutory Expenditure.

CSO Debt Alliance Coordinator Robert Mwale cautioned that without governance reforms, continued high allocations to non-performing State- Owned Enterprises (SOEs) risk deepening fiscal losses.

According to the budget, Head 21 – Loans and Investments has been allocated K27.7 billion, marking a 26 percent increase from K21.9 billion approved in 2025. Key allocations include K800 million for on-lending to State-Owned Enterprises (SOEs), K224.6 million for recapitalization of NATSAVE and Zambia Railways Limited, and K142.9 million as capital contribution to the Public Service Micro Finance Company (PSMFC).

While these provisions aim to strengthen financial institutions and improve access to credit, the two organizations also noted that the historical performance of many SOEs remains weak.
Past Auditor General’s reports have highlighted mismanagement at Zambia Railways Limited (US$120 million), poor loan recovery at the Development Bank of Zambia (US$20 million), and persistent inefficiencies in entities such as ZESCO and Lusaka Water and Sewerage Company (LWSC).

Mr. Mwale who was joined by CTPD Researcher for Public Finance Robinson Nakambo and CTPD Researcher Trade and Investment Barnabas Mwale also proposed reducing the SOE on-lending allocation by 25 percent (approximately K200 million) and redirecting the funds to the PSMFC, raising its allocation to K342.9 million.

This, the Team argue, would expand access to affordable credit for public service workers while reforms are implemented to address inefficiencies in SOEs.

Out of the K27.7 billion allocation, K16.9 billion is earmarked for project investments, dominated by road infrastructure (K13.5 billion). However, this has raised concerns about debt sustainability, with analysts warning that contracting an additional K3.2 billion in borrowing for roads could undermine fiscal consolidation efforts.