In a landmark move that promises to revolutionize Zambia’s agricultural sector, the government has signed a US$491.75 million grant with the Millennium Challenge Corporation (MCC). The debt-free funding, which includes US$458 million from the MCC and US$33.75 million from Zambia, aims to bolster food security, reduce transportation costs, and increase access to farming equipment and financing.

The signing ceremony, held in Lusaka, was attended by President Hakainde Hichilema, who hailed the initiative as a crucial step in Zambia’s economic recovery and transformation agenda. “This compact comes at the right time and aligns perfectly with our vision for a more prosperous nation,” he said.

Infrastructure Upgrades for a Brighter Future

A key component of the Compact is the planned upgrading of major roads, including the Chipata-Lundazi road to Magodi and the Mumbwa to Landless Corner road. These infrastructure improvements are expected to significantly enhance market access for farmers, allowing them to transport their produce to urban centers more efficiently and profitably.

President Hichilema emphasized that the grant is a testament to the government’s commitment to strengthening its partnership with the United States. He also encouraged more US private sector investments in Zambia’s agricultural sector, recognizing the potential for mutually beneficial collaborations.

A Collaborative Approach to Sustainable Development

The Minister of Finance and National Planning, Situmbeko Musokotwane, highlighted the inclusive process that led to the development of the Compact, involving academia, civil society, and other stakeholders. The roads selected for upgrading were carefully chosen based on their high agricultural potential and productivity.

The Farm-to-Market Compact is expected to have a profound impact on Zambia’s agricultural sector. By lowering transportation costs, increasing market access, and promoting private investment, it lays a strong foundation for long-term economic growth.

A New Chapter in US-Zambia Cooperation

This initiative marks a significant milestone in US-Zambia cooperation, demonstrating both governments’ commitment to building a more sustainable and prosperous future. As Zambia continues to implement the Compact, the nation can look forward to a brighter agricultural landscape and a more resilient economy.