ZAMBIA Law and Practice Contributed by: Joseph Jalasi, Mailesi Undi, Chama Simbeye and Wana Chinyemba, Dentons Eric Silwamba, Jalasi & Linyama Legal Practitioners
2. Recent Developments and Market Trends 2.1 Current Economic, Political and Business Climate Zambia’s Mining Boom Powers Economic Rebound Zambia’s 2025 economic outlook is firmly anchored in the recovery of global commodity markets and renewed domestic productivity. After grappling with drought conditions, electricity shortages and fiscal strain through 2023–2024, the country recorded an impressive 4.5% GDP growth in Q1 2025 up from 2.2% in the previous year. This rebound has been propelled by increased copper output, expanding agricultural investment, and sustained growth in the ICT and trade sectors. Inflation slowed to 12.3% in September 2025, strengthening the kwacha and restoring investor con - fidence. Copper prices have remained stable at lev - els above USD8,000 per tonne, reaffirming Zambia’s mining sector as the backbone of its recovery. The renewed momentum has been reinforced by progress in sovereign debt restructuring and improved macro - economic governance. This revival is sparking a wave of M&A activity, cross- border financing, and public–private partnerships in mining logistics and infrastructure. A surge in joint ventures and offtake agreements illustrates height - ened collaboration between government and inter - national investors. Zambia Redefines Minerals, Jobs and Local Content The enactment of the Geological and Minerals Devel - opment Act, 2025, together with the commencement of the Minerals Regulation Commission Act (MRCA), marks the most significant overhaul of Zambia’s min - ing legal framework in a decade. The Geological and Minerals Development Act intro - duces an Artisanal and Small-Scale Mining (ASM) Fund to formalise and support small operators, man - dates local employment and procurement quotas, and strengthens environmental and social accountability standards. Meanwhile, the MRCA consolidates regula -
tory oversight by establishing the Minerals Regulation Commission (MRC), a corporate body with perpetual succession that centralises the functions previously held by the Director of Mines, Director of Geological Survey, and Director of Mining Cadastre. The MRC’s mandate includes the issuance, renewal, and monitor - ing of mining rights, licence administration, gemstone and large-scale mining regulation, and supervision of health, safety, and environmental compliance. The newly implemented local content regime under the Geological and Minerals Development Act, 2025, and its associated Statutory Instrument marks a deci - sive shift in Zambia’s mining legal framework towards deeper domestic participation. Mining rights-holders will soon be required to allocate at least 20% of pro - curement budgets to registered Zambian suppliers within six months of the SI’s commencement, increas - The Data Protection Act, No 3 of 2021, entered active enforcement in 2025 following the operationalisation of the Data Protection Commission (DPC). The DPC’s phased rollout of compliance guidance and enforce - ment protocols has placed data governance firmly on the corporate agenda. Entities handling personal data – banks, telecom operators, employers, healthcare institutions, HR ser - vice providers, and tech platforms – now face bind - ing obligations around lawful processing, data subject rights, impact assessments, cross-border transfers, and breach notification procedures. ing to 40% over five years. Data Protection Goes Live Non-compliance attracts regulatory sanctions, repu - tational damage, and civil liability, as the DPC wields investigative and penalty powers. Courts and regula - tors are expected to develop jurisprudence balancing privacy rights with public interest and national security concerns. Introduction of Alternative Income Tax in 2026 National Budget It was announced during the presentation of the 2026 National Budget under the theme “Consolidating Eco - nomic and Social Gains Towards a Prosperous, Resil - ient and Equitable Zambia” that 80% of the budget
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