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Critical issues

 

Critical issues

The country has always maintained an institutional continuity and successive governments have always been designated following regular democratic scrutiny. Despite the economic difficulties, there are no social tensions. The country is strongly anchored in a market economy system. The bureaucratic apparatus is oversized and cases of corruption do occur.
The country is already entering the pre-election climate, in view of the presidential and parliamentary elections of 2021.
For about two years there has been a great debate on the reform of the land law. The current bill provides for the possibility of reducing land rents from 99 to 25 years. If adopted, this measure could disadvantage possible future long-term investments
Although the government has launched an ambitious program to improve the country's infrastructure in the coming years, the precarious conditions of some road arteries and the railway network, especially regarding connections with neighboring countries with sea outlets, constitute a high cost for handling of goods to and from Zambia.
Due to the poor rainy seasons and the bad management of the nation electrifical entity ZESCO, there are prolonged periods of power outages which could have negative effects on production.


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