WASHINGTON, September 7, 2022 — Today, World Bank Group (WBG) President David Malpass held a phone conversation with President Hakainde Hichilema of Zambia.
President Malpass commended Zambia’s progress in implementing structural reforms and noted recent steps toward debt reduction under the G20 Common Framework. President Malpass and President Hichilema discussed the importance of restoring growth and macroeconomic stability in Zambia, for which a deep debt reduction of 45 percent in net present value (NPV) terms, consistent with the Joint WBG-IMF Debt Sustainability Analysis, is essential. President Malpass and President Hichilema anticipate rapid progress on the completion of the Memorandum of Understanding (MoU) by the official bilateral creditors and subsequent agreement with commercial creditors.
President Malpass reaffirmed to President Hichilema the WBG’s support for the Zambian people as they respond to the debt crisis, impacts of the COVID-19 pandemic, and war in Ukraine. IDA is aiming to disburse US$750 million to Zambia in 2022, which would make it the highest-ever financing support for Zambia in a single calendar year. The package includes health and social protection operations and a US$275 million budget support, which will be presented to the World Bank Board of Executive Directors for approval in October 2022.