The Zambian economy has in the past decade experienced steady annual growth with real
Gross Domestic Product (GDP) growth rate averaging 6.7 percent per annum. However, reports
by the Ministry of Finance and National Planning revealed that in 2015, the Zambian economy
grew by only 3.6 percent. Volatilities in the global economy have in recent times negatively
affected copper prices and output which has resulted into widening trade deficit, rapid
depreciation of the local currency, rising cost of living and anticipated declining economic
growth. To promote economic resilience, there is need therefore to diversify the economy away
from copper. Hence, one of government’s macroeconomic objectives is to promote and
accelerate diversification of the Zambian economy towards among others the primary
agriculture and agro-processing sectors. The main objective of the study was to assess the
impact of providing fiscal and financial incentives to the agro-processing sector on the Zambian
economy as a whole.