.png){kind=small}
President Hakainde Hichilema’s victory in the Zambia 2026 elections is, from a business and investment perspective, a progressive outcome for the country. It gives Zambia something markets value highly: continuity of economic policy at a time when the country’s macroeconomic recovery is beginning to produce measurable results.
Hichilema was declared the winner with roughly 61% of the presidential vote, against about 38% for his main challenger, Brian Mundubile.
That result does not mean Zambia has solved its economic problems. Electricity supply, unemployment, household affordability and political governance remain serious issues. But for investors deciding whether to commit capital for five, ten or twenty years, the election reduces one major uncertainty: the direction of economic policy.
Key Takeaways
- Hakainde Hichilema’s re-election gives Zambia policy continuity after five years of debt restructuring, fiscal reform and renewed engagement with international lenders and investors.
- Zambia enters the new term with stronger macroeconomic indicators. Annual inflation stood at 6.5% in July 2026 while Zambia’s economy expanded by 7.7% year-on-year in the first quarter of 2026.
- Mining, energy, agriculture, manufacturing and infrastructure remain major investment opportunities, supported by Zambia’s ambition to raise copper production towards three million tonnes annually by 2031.
- Hichilema’s investor-friendly orientation matters. Zambia has increasingly positioned private capital as a partner in mining, energy, infrastructure and industrial development.
- The election was not without concerns. European Union observers described voting as generally calm and transparent but raised concerns about restrictions on freedoms, state-resource advantages and an uneven political playing field.
- The second term must now convert macroeconomic stability into household prosperity. High living costs, jobs and electricity remain tests that will affect both political stability and domestic consumer demand.
Why do the Zambia 2026 elections matter to businesses?
The Zambia 2026 elections matter because elections can change taxation, mining policy, infrastructure priorities, regulation, borrowing strategy and the overall relationship between government and private capital. Hichilema’s re-election reduces the risk of an abrupt change in Zambia’s current economic direction.
For businesses, predictability is valuable.
A factory takes years to recover its capital expenditure. A mine operates over decades. A hotel development cannot be moved to another country after construction. Even a growing Zambian SME needs some confidence that monetary, tax and investment policy will not change dramatically every few months.
That is where Hichilema’s victory becomes particularly important.
The first Hichilema administration spent much of its term repairing Zambia’s macroeconomic position after the 2020 sovereign debt default. Public external debt has now been largely restructured, reserves have strengthened and inflation has fallen sharply. The International Monetary Fund described Zambia in 2026 as having made substantial progress in restoring macroeconomic stability.
The World Bank reports that Zambia’s public debt declined from 133.4% of GDP in 2023 to an estimated 93.4% in 2025 as external debt restructuring agreements progressed.
A second Hichilema term therefore changes the question.
The first term was largely about stabilisation.
The second must be about expansion.
Why is Hichilema’s win positive for Zambia’s investment climate?
Hichilema’s victory is positive for Zambia’s investment climate because his administration has consistently treated private investment as central to economic growth rather than simply as a source of taxation. That philosophy is particularly visible in mining, energy, manufacturing and infrastructure.
The Zambia Development Agency has been increasingly aggressive in investment promotion. Its inaugural Invest-Zambia International Conference in 2025 reported USD 3.4 billion in committed investment, substantially exceeding its initial USD 1 billion target.
In April 2026, the Zambia Development Agency also issued 13 permits for investments worth about USD 195 million in the Golden Baobab Multi-Facility Economic Zone in Kafue, with investors projecting 7,800 jobs.
The signal is important.
Zambia is not simply saying it wants investment. The country’s economic strategy increasingly depends on attracting capital into productive assets.
| Area | Direction under Hichilema | Business implication |
|---|---|---|
| Mining | Higher production and new investment | Mining suppliers, logistics, engineering and services |
| Energy | Greater private-sector participation | Solar, generation, storage and infrastructure opportunities |
| Manufacturing | More local value addition | Industrial parks, processing and import substitution |
| Agriculture | Commercialisation and value addition | Processing, storage, logistics and exports |
| Infrastructure | PPP and private capital participation | Construction, finance, engineering and operations |
| Regional trade | Greater corridor development | Warehousing, transport and cross-border businesses |
For an investor, continuity around these priorities is arguably more valuable than another wholesale reset of economic policy.
If your business is considering entering Zambia following the election, M&J Consultants can conduct a Zambia market-entry and investment readiness review. We assess the proposed structure, tax exposure, regulatory requirements and operating model before capital is committed. The first discussion is exploratory and carries no obligation.
What does Zambia’s economic position look like after the election?
Zambia enters Hichilema’s second term from a materially stronger macroeconomic position, although challenges remain. Inflation has returned to the Bank of Zambia’s target range, economic growth has accelerated and external reserves have strengthened.
Zambia Statistics Agency reported annual inflation of 6.5% in July 2026. It also reported that Zambia’s economy expanded by 7.7% in the first quarter of 2026, compared with 4.5% during the equivalent period in 2025.
The Bank of Zambia’s May 2026 Monetary Policy Report projected average inflation of 6.8% for 2026, while the policy rate had been reduced to 13.25% in May.
The International Monetary Fund reported gross international reserves of USD 6.4 billion, equivalent to approximately 4.4 months of prospective imports, in May 2026.
These numbers matter to businesses because macroeconomic instability eventually reaches the income statement.
Currency weakness raises imported input costs. High inflation complicates pricing. High interest rates make working capital expensive. Debt distress increases fiscal uncertainty.
The improvement therefore creates a better foundation for business planning.
The World Bank currently expects Zambia’s growth to average about 5.3% between 2026 and 2028, driven by agriculture, mining, agrifood processing and related services.
The next challenge is making that growth broad enough for ordinary Zambians to feel it.
Which sectors could benefit most from Hichilema’s second term?
Mining and energy are likely to remain the headline opportunities, but Zambia’s investment story is considerably broader. Agriculture, manufacturing, logistics, technology, professional services and consumer businesses can all benefit if the current growth trajectory continues.
Mining and mining services
Zambia’s strategy is to increase annual copper production towards three million metric tonnes by 2031.
Reaching anything close to that target would require more than mines.
It means demand for transport, equipment, engineering, safety services, accommodation, environmental services, software, accounting, recruitment, security, fuel, warehousing and thousands of other suppliers.
Businesses should therefore stop looking at Zambia’s mining opportunity as something reserved for mining companies.
Energy
Electricity remains one of Zambia’s biggest economic constraints, but that also makes energy one of its biggest investment opportunities.
The Zambia Development Agency announced a USD 1.5 billion energy investment agreement with CMEC Group in April 2026, linked to Zambia’s ambition of increasing installed generation capacity.
The World Bank has similarly identified electricity supply as a critical constraint on Zambia’s future growth.
Private solar generation, commercial energy solutions, storage and transmission-linked investment should therefore remain areas to watch.
Manufacturing and value addition
Zambia’s mining and agricultural ambitions increasingly point towards processing products locally rather than exporting raw commodities.
That creates opportunities around food processing, chemicals, packaging, metal fabrication, mining inputs and industrial supply chains.
The bigger Zambia’s productive economy becomes, the bigger the opportunity for the businesses that support it.
What does the social and political climate mean for investors?
Zambia remains politically competitive and institutionally more stable than many investors associate with emerging markets, but the 2026 election also exposed governance issues that should not be ignored.
The European Union Election Observation Mission said election day was calm overall and described ballot counting at observed polling stations as transparent. However, the mission also raised concerns about restrictions affecting fundamental freedoms, campaign advantages enjoyed by the ruling party, use of state resources and an uneven playing field.
There were also incidents involving election officials, stolen ballot materials and arrests of opposition figures during the counting period.
Businesses should treat these as part of Zambia’s political-risk picture, rather than dismissing them because the preferred economic-policy direction has continued.
Good economics does not eliminate the need for strong institutions.
There is also a social challenge.
Hichilema’s government expanded free secondary education and social support during its first term, but many Zambians still entered the 2026 election concerned about jobs and the cost of living.
That matters commercially.
A stable exchange rate is good for investors, but a supermarket ultimately needs customers with disposable income. A construction company needs demand. Banks need creditworthy borrowers.
The real success of Hichilema’s second term will therefore be measured by whether Zambia can turn macroeconomic recovery into jobs, incomes and stronger household purchasing power.
What could still go wrong for businesses in Zambia?
Hichilema’s victory reduces policy uncertainty, but it does not remove business risk. Investors should be optimistic about Zambia without becoming careless about Zambia.
Four issues deserve particular attention.
First is electricity. Zambia’s dependence on hydropower has already demonstrated the economic consequences of drought and generation shortages. The World Bank continues to identify power as a major constraint on growth.
Second is execution. Announced investment targets are not the same as completed factories, mines or power stations.
Third is social inclusion. Economic growth that does not generate enough employment or household income can eventually create political pressure for different economic policies.
Fourth is institutional governance. Concerns raised during the 2026 election about democratic space should be addressed rather than normalised.
None of these issues overturns the investment case for Zambia.
They simply mean investors should conduct proper due diligence instead of interpreting an election result as a guarantee.
A practical example
Consider a regional manufacturer evaluating a ZMW 50 million production facility in Lusaka.
The election result does not automatically make that investment profitable.
But policy continuity allows management to model the project against a clearer direction on inflation, monetary policy, industrialisation, energy investment and private-sector participation.
The investor should still assess electricity requirements, tax structure, licences, incentives, import exposure, local suppliers, employment costs and foreign-exchange risks before committing the ZMW 50 million.
That is the difference between being positive about Zambia and investing blindly in Zambia.
What should investors do after the Zambia 2026 elections?
Businesses should treat the Zambia 2026 elections as a signal to reassess opportunities rather than simply continue watching from the sidelines. Hichilema’s second term creates a five-year window in which Zambia can move from economic stabilisation towards investment-led expansion.
For existing businesses, this means reviewing expansion plans.
For regional companies, it means reconsidering Zambia as a distribution or operational base.
For mining suppliers, manufacturers, technology firms, professional services companies and infrastructure investors, it means identifying where government priorities intersect with commercially viable demand.
The strongest opportunities may not always be the largest projects.
A new copper mine requires accountants.
A new industrial park requires logistics.
A new solar project requires engineers, security, software and maintenance.
Growing employers require payroll, human resources and compliance systems.
Growing businesses require financing, governance, tax planning and better technology.
That multiplier effect is where much of Zambia’s private-sector opportunity will emerge.
Hichilema’s re-election should therefore be viewed as a progressive development for Zambia’s business environment, not because one political party should receive unconditional support, but because continuity gives the country an opportunity to complete reforms already underway and move decisively towards growth.
The mandate has been renewed.
Investors will now expect delivery.
Conclusion
Hakainde Hichilema’s victory in the Zambia 2026 elections gives businesses something they rarely receive after a major African election: a relatively clear continuation of economic direction.
Zambia has moved from sovereign default towards debt restructuring. Inflation has returned to single digits. Investment is flowing into mining, energy and industrial projects. Growth has accelerated.
The next five years must go further.
Macroeconomic stability must become employment. Mining investment must create local supply chains. Energy investment must produce reliable electricity. Economic growth must improve household incomes. Political stability must remain accompanied by institutional accountability.
If Zambia achieves those things, the 2026 election may eventually be remembered not simply as Hichilema’s second victory, but as the point at which Zambia moved from economic recovery into sustained expansion.
If Zambia is part of your expansion strategy, book a Zambia strategy and compliance review with M&J Consultants. We assess your entity structure, tax position, regulatory obligations and market-entry risks before you invest. You leave the session with a clear action map, whether or not you proceed with us.
Frequently Asked Questions
Who won the Zambia 2026 presidential election?
Hakainde Hichilema won the Zambia 2026 presidential election and secured a second term. Official results gave Hichilema roughly 61% of the vote, compared with approximately 38% for his principal challenger, Brian Mundubile.
Is Zambia a good country to invest in after the 2026 elections?
Zambia presents a stronger investment case after the 2026 elections because policy continuity coincides with falling inflation, debt restructuring and expanding investment in mining and energy. Investors should still assess electricity, currency, regulatory and sector-specific risks before committing capital.
What industries offer opportunities in Zambia in 2026?
Mining, mining services, renewable energy, agriculture, agro-processing, manufacturing, logistics, infrastructure and professional services offer significant opportunities. Zambia’s copper-production ambitions and energy investment programme could generate demand throughout supporting supply chains.
Has Zambia’s economy improved under Hakainde Hichilema?
Several macroeconomic indicators have improved. Zambia Statistics Agency reported annual inflation of 6.5% in July 2026 and first-quarter GDP growth of 7.7%. The International Monetary Fund has also reported stronger reserves and substantial progress in restoring macroeconomic stability.