By Derrick Silimina

Finance Minister Situmbeko Musokotwane says the released K23.2 billion via the 2026 National Budget marks a strategic turning point in Zambia’s economic transformation journey.

In a statement, Dr. Musokotwane said of the total releases in January 2026, K4.9 billion was spent on the Public Service Wage Bill, K7.4 billion was spent on debt service (domestic and external) and arrears, and K7.7 billion was released for transfers, subsidies, and social benefits.

“The January 2026 releases demonstrate the practical character of the 2026 Budget: protecting service delivery now, reinforcing fiscal credibility over time, and resetting priority social interventions so they can deliver results cleanly and consistently as Zambia advances from stabilisation into a growth-oriented phase,” he said.

In addition, Dr. Musokotwane disclosed that K1.8 billion was released to facilitate the implementation of Government programmes and general operations, while K1.4 billion was spent on capital expenditure to support critical infrastructure investments across the country.

He stressed that these releases supported the public service wage bill, domestic and external debt service, the dismantling of arrears, statutory and social transfers, day-to-day Government operations, and capital expenditure required to keep priority programmes and infrastructure activity on course.

The Finance Minister further outlined that in support of productivity-enhancing investment, the Treasury released K1.4 billion toward capital expenditure to sustain infrastructure development adding that of this amount, K655.5 million was for road infrastructure, K67.8 million supported the Rural Electrification Authority (REA), K201.9 million was released for water infrastructure projects, and K440.2 million supported infrastructure development coordinated by various ministries, nationwide.

“In that spirit, the releases also carried a clear message to farmers and communities: the Government is settling verified obligations in an orderly way. Support to the Food Reserve Agency (FRA) was applied to conclude outstanding payments linked to the 2024/2025 marketing season, and the Government is not in arrears to farmers.”