Introduction to Zambia

Zambia is a landlocked country in Southern Africa that covers an area of 752,612 km2. The country relies on its large mineral resources endowment (in particular copper and natural gems), but has also the possibility of utilising substantial quantities of water from the stunning Victoria Falls and the many lakes spread across the region. The tropical climate and abundant wildlife have made the country a popular tourist destination. Zambia has been an independent state since 1964 and has just recently experienced its first government change on August 11th after two decades of multiparty elections.

The majority of MSMEs in Zambia are micro enterprises that rely heavily on agriculture, and are generally informal. 81% are located in rural areas, and many of the enterprises are located in the Eastern Province (approx. 21%). The majority of MSMEs operate in agricultural production (70%) or wholesale and retail trade (21%). Almost 70% of all households (rising to more than 90% in rural areas) were involved in agriculture or fishing in some way as of 2009. Agriculture is the sole livelihood for 36% of households, and the rest farm for consumption or to supplement other income purposes. This figure becomes significantly larger when just considering rural adults.



The technical assistance operation is financed under the Cotonou agreement by the EU in support of EIB.
The Technical Assistance component of the project is implemented in a consortium led by Frankfurt School of Finance & Management.