Zambia lies in a central position in southern Africa surrounded by quite a number of countries. It is a landlocked country between Angola in the west, Namibia, Botswana and Zimbabwe in the south, Mozambique, Malawi and Tanzania in the east, and the Democratic Republic of Congo in the north.
Location on the map.
Zambia is 752,614 square kilometers (290,586 square miles) in size. This makes Zambia the 39th largest country in the world.
Population: 17.08 million million people
GDP : $ 26.72 billion USD(2018)
GDP Per Capita: $1672.30
GDP Growth Rate 3.70%
Setting up a business in Zambia
Minimum investment amount
Investment of not less than US$250,000 in any sector or product.
The registration procedure starts with Name Clearance. If all documents are lodged in, the process to obtain an Investment Certificate takes about 10 days.
Documents needed for investors to start up a business in Zambia
1.Copy of Certificate of Incorporation issued by PACRA
2.Certificate of Share Capital
3.Official list of Shareholders and Directors
4.Proof of finance (audited financial statements, certificate of deposit at the bank or latest bank statement)
5.Detailed Business Plan
6.TPIN and Tax Clearance Certificate
7.Proof of having secured a place/land to operate from (Lease Agreements or Title 8.Deed or Letter of Offer)
9.Depending on the sector, proof that relevant sector permits or licenses have been lodged.
Why invest in Zambia ?
The country of Zambia has been peaceful and democratic for many years, Its characterized with both social and political stability as well as a healthy macroeconomic environment, with economic growth averaging around 6 percent per annum since 2003.
The business reforms have helped in improving the country’s rank worldwide, the results are as :
Ease of Doing Business – World Bank
Zambia is ranked 5th in COMESA
Global Competitiveness Index – World Economical Forum
Zambia is ranked the 11th most competitive country in Africa
Doing business – Forbe’s annual ranking
Zambia is ranked 9th by Forbes as the best country among 54 African Countries to do business.
Investment opportunities in Zambia.
Corporate Income Tax : 0% for 5 years
Zero percent tax rate on dividends for 5 years
No Import Duty on equipment and machinery for five years
Non tax incentives
Investment guarantees and protection
Free facilitation for application of permits, licenses, land acquisition and utilities
Multi Facility Economic Zones
Multi-Facility Economic Zone (MFEZ)
Six (6) areas have been declared as MFEZs and /or Industrial Parks vis-à-vis: Chambishi, Lusaka East, Lusaka South, Lumwana; and Ndola (Sub Saharan gemstones exchange) and Roma as an Industrial Park.
These zones make Zambia competitive through increased activity in the trade and manufacturing sectors, which have numerous positive spillover effects in other sectors such as utilities, transport, agriculture and services.
The zones have good infrastructure in place in order to attract and facilitate establishment of world-class enterprises in the zones.
The MFEZs blend the best features of the free trade zones (FTZs), export processing zones (EPZs) and the industrial parks/zones concept and create the administrative infrastructure, rules, regulations etc that benchmark among the best dynamic economies.
The blending of physical infrastructure with an efficient and effective administrative infrastructure will create the ideal investment environment for attracting major world class investors.
Commercial tariffs – 15kva
C1 – consumption up to 700kwh energy charge / kwh 0.31
Fixed monthly charge / kwh 55.09
Ware house / Factory rent
Neat warehouse (800 sqm) located in industrial area off Mumbwa Road near Chinika
Erf Size 2 400 m², Floor Area 800 m² price 2557 USD Per Month.
Lusaka East Multi-Facility Economic Zone
With an internal net area of 1426 square meters open space, with high headroom. Some also have space for an office in addition to the warehouse area the rent can cost $ 4, 911 per month amounting to $ 3.5/square meter.
Basic (Electricity, Heating, Cooling, Water, Garbage) for 915 sq ft 77.6 USD
1 min. of Prepaid Mobile Tariff Local (No Discounts or Plans 1.50ZMW
Internet (60 Mbps or More, Unlimited Data, Cable/ADSL) 898.00 ZMW
Apartment (3 bedrooms) in City Centre 8,936.32 ZMW
Apartment (3 bedrooms) Outside of Centre 5,439.09 ZMW
Food is relatively cheap. With avariety of choices one can choose from. The cost for a plate can be 10-20USD for a good meal.
Zambia has plenty of labour both skilled and unskilled labour .The labour costs are generally low compared with other countries.
Average monthly Wage 300-500 USD
Minimum wage 53 USD
Cost of Living
Cost of living in Zambia is 51.62% lower than in United States (aggregate data for all cities, rent is not taken into account). Rent in Zambia is 73.63% lower than in United States (average data for all cities).
Graphic presentation of daily expenditures
Successful companies which have invested in Zambia.