Zoning in on Zambia’s financial & agricultural sector

Zambia's financial and agricultural sectors are currently thriving despite the challenges posed by rising food input costs and concerns around growth. The country has been self-sufficient in agriculture since 2004, with surplus production allowing for exports to neighboring countries such as Kenya, Tanzania, and the Democratic Republic of the Congo. Zambia's agricultural products, including corn and soya meal, are in high demand in the region. The country also exports a variety of other products, such as avocados, cashew nuts, and millet. Despite these successes, Zambia faces challenges due to high fuel and fertilizer prices. As a landlocked country, transportation costs significantly impact exports, making the country less competitive in the market. Fuel and fertilizer prices have soared, affecting both local farmers and commercial enterprises. The lack of fuel subsidies has further exacerbated the situation. However, the government's farmer input support program has provided some relief to small-scale farmers. In the financial sector, companies like Unify have experienced growth and stability since their establishment, providing loans to underserved markets. The company has seen a significant shift towards mobile money transactions due to its strong digital presence. While interest rates remain high in Zambia, recent economic changes have led to a positive response from the market. The country's stable currency and improved political climate have bolstered confidence in the economy. Inflationary pressures are gradually easing, leading to a more favorable interest rate environment. The agricultural sector in Zambia remains promising, with good rainfall and positive market outlook. Farmers are optimistic about the upcoming harvest season and are expected to export agricultural products and value-added goods. Unify, with branches in Zambia and East Africa, is set to expand its operations in the region, leveraging its success in Zambia to grow its business in Uganda and Kenya. The company aims to make loan processes more accessible and convenient for its clients, capitalizing on the digital migration trend and strengthening its systems for future growth.