Zambia Offers 10-Year Tax Holiday to Attract Foreign Investment in Mining and Energy
Zambia Targets Foreign Investors with 10-Year Tax Incentive to Boost Mining, Energy, and Copper Production to 3 Million Tonnes by 2031
Zambia is stepping up efforts to attract foreign investment by offering a 10-year tax holiday to companies establishing operations in the country’s multi-facility economic zones, a move aimed at accelerating industrial growth and job creation.
Speaking at the Finland Business Forum in Lusaka, Albert Halwampa outlined the country’s priority investment sectors, highlighting mining and energy as critical pillars of Zambia’s economic transformation strategy.
He emphasized that attracting capital into the mining sector is essential for Zambia to achieve its ambitious target of producing three million metric tonnes of copper by 2031, a milestone seen as central to strengthening export revenues and long-term economic stability.
Energy Investment Urgent After Drought-Driven Power Shortages
Halwampa also underscored the urgency of expanding energy capacity following the power shortages triggered by the 2024 drought, which significantly reduced hydroelectric generation across the country.
He warned that without substantial new investment in energy infrastructure, Zambia’s broader economic growth prospects could face serious constraints.
The government is therefore prioritizing projects in renewable energy, power generation, and grid expansion to ensure reliable electricity supply for mining operations and industrial development.
Private Sector and International Partners Signal Support
The forum received strong backing from the local business community. Emmanuel Mumba encouraged Finnish companies to explore emerging opportunities in Zambia’s mining and energy sectors, noting that significant untapped potential remains in both industries.
From the Finnish side, Matti Terva reaffirmed his institution’s readiness to support investment in Zambian projects, signaling growing international interest in the country’s development agenda.
Policy Signals Reinforce ‘Open for Business’ Strategy
The discussions at the forum reinforced a broader message from Zambian authorities: the country is positioning itself as a competitive investment destination, supported by targeted incentives, regulatory reforms, and infrastructure development initiatives.
By combining fiscal incentives such as tax holidays with sector-focused investment policies, Zambia aims to expand mining output, close its energy gap, and sustain long-term economic growth driven by industrialization and export diversification.
