Zambia’s seventh national developmentplan (7NDP) sets ambitious targets for economic growth andpoverty reduction. Technology can play an important role asZambia advances this vision for economic transformation. Theintroduction of digital systems can also have atransformative effect on government. Improved access todigital technologies and effective use of data and digitalsystems can thus be powerful tools in the quest to increaseprivate sector productivity, enhance public sectorefficiency and effectiveness, and improve the accountabilityof both the public and private sectors. This digital economydiagnostic assesses Zambia’s strengths and weaknesses withrespect to five pillars that together form the foundationupon which the benefits of digital transformation can berealized. These pillars are digital infrastructure, digitalskills, digital entrepreneurship, digital platforms, anddigital financial services. This analysis finds that Zambiahas made significant strides on its path to digitaltransformation over the past few years. Progress isparticularly evident in digital infrastructure, digitalfinancial services, and digital platforms, while moresignificant gaps remain in digital skills and digitalentrepreneurship. This report suggests that the digitaltransformation strategy include four strategic: (1)promoting greater use of digital technologies in theeconomy, (2) reducing government transaction costs andreducing the cost of doing business through digitallyoptimized government systems, (3) improving the adoption ofinnovative digital solutions by enabling entrepreneurship,and (4) leveraging data and digital systems to improvesector-specific outcomes in secondary towns and rural areas.
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