Zambia

Recent economic growth in Zambia has resulted in an increase in electricity demand by around 3% annually. In order to respond to this growing demand, the Zambian government has committed to developing and maintaining energy infrastructure and services, as well as exploring alternative sources of energy.

AFD is a long-term partner of ZESCO, Zambia’s national electricity provider, and has been instrumental in assisting the country in diversifying its energy mix. Renewable energy sources are abundant in Zambia, notably solar, hydro, thermal, biomass and wind. Around 92% of the country’s electricity comes from four hydroelectric plants. 

AFD group has played a major role in increasing Zambia’s installed electricity capacity by co-financing the construction and operation of a 120 MW power plant at the foot of the Itezhi Tezhi Dam. This project is the first public-private partnership in Zambia’s energy sector.

Since 2012, AFD has invested €212M in the sector. In the energy sector, the total (AFD/Proparco) investments is around $70.4M ($34.4M for the Itezhi Tezhi hydro transmission lines and $36M for Proparco for the Itezhi Tezhi hydropower station).

In Zambia, access to water and sanitation is uneven across the country: With an estimated population of 19 million in 2022. 76% of the population uses an improved drinking water source (91% in urban areas) and 37% uses improved sanitation infrastructure (57% in urban areas).

In its National Long-Term Vision 2030 (NLS), the Zambian Government has set the target of extending access to safe drinking water and sanitation in urban areas to respectively 100% and 90% by 2030.

However, most of the infrastructure built in the 1960s and 1970s is now obsolete and needs significant rehabilitation. In peri-urban neighbourhoods, access to water and sanitation remains low, as infrastructure has not kept pace with urbanization.

AFD has made long-term investments in water and sanitation infrastructure in Zambia with the aim of improving access to clean water and adequate sewerage and sanitation throughout the country. 

In 2022, France and Zambia signed a bilateral cooperation agreement on the sustainable management of forests. Since then, AFD has launched three different initiatives in support of Zambia’s forestry sector.

Through the development of a pilot forestry inventory methodology and the identification and strengthening of local non-timber forest product value chains, AFD is working with the Forestry Department within the Ministry of Green Economy and Environment in the development and implementation of its national forestry policy.

AFD is also collaborating with ZAFFICO, Zambia’s largest public forestry company, in the diversification of its business strategy in alignment with its sustainability, climate resilience, and long-term competitiveness goals.