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Zambia secures $58m in digital infrastructure investment after tax relief

Zambia has attracted a total of $58 million in digital infrastructure investments. This follows the removal of tax on the importation of digital equipment in 2021. This significant milestone was revealed by Felix Mutati, Zambia’s Minister of Technology and Science. He spoke during a panel discussion at the 2024 Digital Government Africa Summit, held in Lusaka.

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Fiber Optic Connectivity to Neighboring Countries

According to Mutati, the tax exemption has paved the way for increased private sector investment in Zambia’s digital infrastructure. One of the most notable outcomes is the expansion of fiber optic technology. This has now connected Zambia to all eight of its neighboring countries. The development positions the country as a regional leader in digital connectivity. It also enhances opportunities for cross-border collaboration and economic growth.

“The removal of tax on digital equipment importation has been a game-changer, attracting considerable private sector investment,” Mutati said. “We are committed to fostering incentives, innovation, and investment to stimulate further private sector engagement in Zambia’s digital economy.”

Call for Collaboration in Digital Transformation

During the summit, Percy Chinyama, National Coordinator of the Smart Zambia Institute, emphasized the need for a collaborative approach. He said collaboration would help drive digital transformation across Africa. Chinyama called for stronger partnerships between governments and the private sector to harness the power of e-government and digital infrastructure to boost economic development across the continent.

Africa’s Push for Digital Solutions

The Digital Government Africa Summit 2024 attracted over 500 delegates from more than 30 African countries, making it a key platform for discussing solutions to enhance digital transformation on the continent. The event underscores Zambia’s commitment to leveraging digital technologies to boost connectivity, promote economic growth, and enhance service delivery across Africa.

By hosting the summit and fostering private sector investments, Zambia is positioning itself at the forefront of Africa’s digital transformation journey, creating an enabling environment for innovation and infrastructure development.

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