### Fitch Upgrades Zambia’s Credit Rating
Fitch Ratings has raised Zambia’s long-term foreign-currency issuer default rating to **B-** with a **stable outlook**, following the country’s progress in restructuring its external debt. The upgrade reflects improved fiscal management and restored relations with international creditors.
### Fiscal and Economic Outlook
Fitch projects that Zambia’s **primary surplus** will decline to **1.8% of GDP in 2025** from **3.1% in 2024**, largely due to the government clearing arrears owed to fuel suppliers. However, the primary balance is expected to strengthen again, reaching **2.2% of GDP** in subsequent years as fiscal consolidation continues.
### Policy and Debt Developments
The government has committed to maintaining prudent fiscal policies and enhancing public financial management. Debt restructuring under the G20 Common Framework and negotiations with private bondholders have eased immediate financing pressures and improved the country’s credit outlook.
### Outlook and Risks
Fitch’s stable outlook indicates confidence that Zambia will sustain its fiscal reforms and macroeconomic stability. Nevertheless, risks remain tied to fiscal discipline, inflationary pressures, and potential external vulnerabilities such as commodity price fluctuations.
> “The upgrade reflects Zambia’s progress in debt restructuring, improved policy consistency, and a stable macroeconomic environment,” Fitch stated.
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**Author’s Summary:** Fitch’s upgrade of Zambia to B- signals renewed confidence in the country’s fiscal recovery and successful debt restructuring, despite ongoing economic risks.
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Investing.com — 2025-11-28