Zambia has been ranked no. 7 best country for business out of 54 African countries by Forbes, the world renowned and authoritative business, finance and investments news outlet.
According to Forbes annual report released on December 16 this year, Zambia has excelled to the 7th position.
Forbes states in the report that despite a sluggish economy, Europe dominates the top of Forbe’s annual ranking of the finest countries for capitalism—with Scandinavia as a particular stand-out.
In Africa, the top 10 were #1 Mauritius, #2 South Africa, #3 Morocco, #4 Botswana, #5 Cape Verde, #6 Rwanda, #7 Zambia, #8 Ghana, #9 Senegal and #10 Tunisia. Globally, the top 10 were #1 Denmark, #2 New Zealand, #3 Norway, #4 Ireland, #5 Sweden, #6 Finland, #7 Canada, #8 Singapore, #9 Netherlands and #10 UK. This rating saw global giants such as the United States slipping down due to shareholder governance and tax issues.
Zambia has had one of the world’s fastest growing economies for the past 10 years, with real GDP growth averaging roughly 6.7% per annum.
Privatization of government-owned copper mines in the 1990s relieved the government from covering mammoth losses generated by the industry and greatly increased copper mining output and profitability, spurring economic growth.
Copper output increased steadily from 2004, due to higher copper prices and foreign investment, but weakened in 2014 when Zambia was overtaken by the Democratic Republic of Congo as Africa’s largest copper producer.
ZBT executive director stated that Zambians need to hold on to the gains recorded as the country is on course to deliver the famous “land of work and joy” slogan through unity and hard work.
Economic analysts agree the current copper price bust cycle will eventually subside and this gives the country the best opportunity to put in place regulation and policies to drive diversification in the medium to long term.