Musokotwane's 2027 Budget targets 4.9% growth, well below the 6% the Government projected in September

Finance Minister Situmbeko Musokotwane has presented the 2027 National Budget to Parliament, setting a target of 4.9% economic growth next year and a fiscal deficit of no more than 3.0% of gross domestic product (GDP). Net domestic borrowing is to be limited to 2.9% of GDP. The speech was listed on the National Assembly's order paper for 14:15 on Friday 6 November, a week later than first planned. It was moved from 30 October because the Government was still finalising the budget. Cabinet approved it this week. ## A lower growth number The 4.9% target is well below what the Government was projecting only weeks ago. Its budget plan in September projected growth of 6.0% in 2027, 7.5% in 2028 and 7.1% in 2029, an average of about 7%. The new target is also below the 5.3% the finance ministry expects for this year, which itself falls short of the 6.4% promised when the 2026 Budget was read. ## The figures before the speech At public hearings in October, the ministry put 2027 spending at K271.9 billion, up about 7% from K253.1 billion this year. It projected revenue of K218.6 billion and borrowing of K44.9 billion, most of it domestic. One published analysis of those hearings found only about K6.9 billion of the total was left uncommitted for new spending. Reports available when this article was written did not say whether those totals held in the speech, and gave no sector allocations or tax changes. ## Background Zambia became Africa's first sovereign default of the COVID era in 2020 and spent years in a debt crisis. This budget arrives with copper prices near record highs and a drought forecast ahead. "Next year, we've been told that there's going to be a drought," Mr Musokotwane told MPs this week, describing this year's heavy spending as "front-loading". Parliament has just approved a K19.9 billion supplementary budget, with more than K14 billion of it to pay farmers for maize sold to the Food Reserve Agency. Calls before the speech were for jobs, tax relief