Investment Incentives
The Zambia Development Agency (ZDA) Act of 2006 and amended in 2014 offers a wide range of incentives in the form of allowances, exemptions & concessions for companies. The Act provides for investment thresholds to qualify for fiscal and non-fiscal incentives.
Fiscal Incentives
These are Investments of US$ 500,000 and above in a Multi Facility Economic Zone, an Industrial Park,a Priority Sector and investment in a Rural Enterprise under the ZDA Act.
Investors who invest not less than US$500,000 in the Multi Facility Economic Zones (MFEZ) or a priority sector or product under the ZDA Act, are entitled to the following fiscal incentives:
- Investors who invest not less than US$500,000 in the Multi Facility Economic Zones (MFEZ) or a priority sector or product under the ZDA Act, are entitled to the following fiscal incentives:
- Accelerated depreciation on capital equipment and machinery including trucks and specialized motor vehicles for five years.
- 0% import duty rate on capital equipment and machinery for five years
- Accelerated depreciation on capital equipment and machinery
Non-Fiscal Incentives
These are Investments of not less than US$250,000 in in a Multi Facility Economic Zone, an Industrial Park,a Priority Sector and investment in a Rural Enterprise under the ZDA Act, are entitled to the following non-fiscal incentives:
- Investment guarantees and protection against state nationalization;
- Free facilitation for application of immigration permits, secondary licenses, land acquisition and utilities.