Capacity Development to Strengthen Coordination between Agriculture and Social Protection - TCP/ZAM/3602
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Over the past decade, Zambia has achieved notable levels of macroeconomic stability and growth, and it has also become classified as a lower middle-income country. The economic growth, however, has primarily been driven by capital-intensive sectors in urban areas, such as mining, construction and transport, meaning that is has largely been non-inclusive. Consequentially, Zambia has only seen marginal decreases in rates of poverty and malnutrition, with levels of inequality on the rise. Poverty is unevenly distributed throughout the country, being estimated at 74 percent in rural areas, which is more than double the urban poverty rate of 35 percent. Moreover, extreme poverty is estimated at 58 percent in rural areas and only 13 percent in urban areas. Despite the absence of major shocks since the global economic crisis (2009–2010) and consecutively good harvests from then until 2014, rural households frequently experienced both absolute and seasonal food shortages, money shortages, the loss of assets, increased food prices and poor health.