76087
                                          REPUBLIC OF ZAMBIA

                JOINT IDA/IFC/MIGA COUNTRY PARTNERSHIP STRATEGY

                                      CHAIR’S SUMMING UP ∗

                                  Meeting of the Executive Directors

                                             March 14, 2013

           The Executive Directors discussed the joint IDA/IFC/MIGA Country Partnership
    Strategy for the Republic of Zambia (IDA/R2013-0027[IFC/R2013-0037, MIGA/R2013-0012]).

           Directors welcomed the alignment of the CPS with the country’s Sixth National
    Development Plan and the inclusion of lessons learned from implementation of the previous
    CAS. They noted that the document captures accurately the general state of the economy and the
    major challenges the country faces in the short and medium term. They commended the Zambian
    Authorities for the impressive economic growth and stability over the past decade, but expressed
    concern that growth has not translated into poverty reduction, decreased inequality, and
    improvements in human development, particularly in rural areas.

             Directors stressed the importance of sustaining the World Bank Group’s support to
    Zambia’s ambitious reform agenda that includes strengthening the public sector and improving
    governance, including managing mineral resources. They called for continued work to enhance
    institutional capacity and public financial management, and further mobilizing development
    partners to leverage the efforts of the World Bank Group. They welcomed the potential to learn
    from Zambia’s experience as a knowledge partner, and encouraged further promotion of South-
    South cooperation.

            Directors urged the World Bank Group to intensify its efforts to strengthen the business
    environment, enhance labor force skills and address infrastructure needs. They emphasized the
    need for skilled labor, particularly calling for action to address education gaps for youth. They
    called for strong emphasis on gender; closer collaboration between the Bank and the IFC to
    promote public-private dialogue, and to leverage access to finance especially for SMEs.
    Directors encouraged addressing low productivity and policy issues in the agriculture sector as
    well as economic diversification, as they are important for food security and poverty reduction.
    Directors noted the potential role of Zambia as a regional connector, in particular as a trade
    corridor for intra-regional trade and opportunities for regional transformational projects.




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This summary is not an approved record.