Zambia, IMF agree budget deficit levels unsustainable


LUSAKA (Reuters) – Zambia’s government and the International Monetary Fund have agreed that the country’s current budget levels are not sustainable and have initiated discussions on an economic aid programme, a senior Treasury official said on Friday.

In a statement, Treasury secretary Fredson Yamba said inflation was expected to moderate towards the third quarter of 2016, as a new crop harvest came onstream and the base effects of the kwacha’s sharp depreciation late last year subsided.

(Reporting by Chris Mfula; Editing by Stella Mapenzauswa)