Doing Business sheds light on how easy or difficult it is for a local entrepreneur to open and run a small to medium-size business when complying with relevant regulations.
This study, which updates the 2005 Diagnostic Trade Integration Study (DTIS), seeks to (a) take stock of progress in the implementation of Action Matrix adopted in 2005; (b) complement and deepen the analysis in the areas of export diversification, informal trade, trade facilitation and trade in services; and (c) revise the Action Matrix as needed
The development of Zambia’s business environment is hindered by corruption and a weak institutional framework. Companies encounter red tape and rampant bribery in all business operations, including registering the company, obtaining a construction permit, setting up utilities, and paying taxes.
Since its independence in 1964, Zambia has been overly dependent on the production and export of copper and,initially, a few agricultural exports such as tobacco, maize and timber. The high copper dependency was somewhat
alleviated by the reform period, which started hesitantly in 1985 and more purposely in 1991.
Policy makers in commodity-exporting countries have faced increasing challenges in the past two years, in the face of reduced demand from China and uncertain economic recovery in developed economies1. Zambia is no exception. Falling copper prices and a power crisis have contributed to an economic slowdown.