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Zanaco and First Quantum Minerals (FQM) have signed an agreement to launch a Local Content Financing Initiative aimed at increasing Zambian business participation in the mining sector.
The initiative comes as Zambia recorded approximately 890,346 metric tonnes of copper production in 2025, representing an 8 percent increase from the previous year according to figures from the Ministry of Mines and Minerals Development.
The agreement was signed at ZANACO Headoffice in Lusaka on Wednesday by Bank Chief Executive Officer, Dr. Mukwandi Chibesakunda, FQM General Manager, Anthony Mukutuma, and teams from both institutions.
In her speech, Chibesakunda said the partnership was designed to support Government’s local content agenda by providing financial solutions to local suppliers and contractors in the mining value chain.
She said the partnership reflected the shared commitment to Zambia’s economic transformation, private sector growth and the creation of opportunities for more Zambian businesses to participate meaningfully in one of the country’s most important sectors.
“Government has set a target to increase annual copper production to 3 million metric tonnes by 2031, a goal officials say will depend on strong investment, export earnings, and job creation in mining,” Chibesakunda noted.
Read More: Copper surges above US$14,000, boosting outlook for Zambia
She stated that by bringing together FQMs’ commitment to supplier development and ZANACO’s capacity to provide tailored financial solutions, the partnership was creating an ecosystem that empowered more Zambian businesses to participate competitively within the mining value chain.
Chibesakunda noted that while mining remained the backbone of the economy, many local SMEs faced challenges accessing capital to procure equipment and execute contracts despite having technical expertise.
“Timely and affordable financing enables businesses to invest in productive assets, strengthen their operational capacity, manage working capital requirements and deliver contracts efficiently and sustainably,” she said.
Chibesakunda added that under the agreement, ZANACO would offer working capital finance, asset and equipment finance, trade finance, guarantees, treasury and foreign exchange services, transaction banking, and supplier and contractor financing.
She hinted that the bank would also provide cash management solutions and workforce banking services as part of its comprehensive support to businesses across their lifecycle.
Chibesakunda stated that the partnership reflected how the private sector was putting its communities first by supporting enterprise development, creating opportunities for job creation and helping build stronger local economies.
“Above all, it reflects how we are putting Zambia first by advancing local content, strengthening indigenous businesses and ensuring that more of the value generated from our natural resources is retained within our economy for the benefit of current and future generations,” she said.
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