This archive report was first published on 19 December 2019.
On December 4, 2018, Zambia's cabinet made a significant decision that could change the country's economic landscape. The government approved the export of cannabis for economic and medicinal purposes, a move that has been years in the making.
According to Dora Siliya, the government's chief spokeswoman, the approval was granted at a special cabinet meeting. While the statement did not clarify if the use of cannabis for medicinal purposes in Zambia had been legalized, it marked a significant shift in the country's stance on the drug.
As Zambia joins a growing list of nations that have legalized or are considering legalizing cannabis, the country's motivation is rooted in a hefty fiscal deficit and growing debt burden. With external debt reaching $10.5 billion at the end of 2018, Zambia is seeking new revenue streams to alleviate its financial woes.
Opposition Green Party President Peter Sinkamba, who has been advocating for cannabis exports since 2013, believes the move could earn Zambia up to $36 billion annually. "Depending on how properly this is done, this could just change the face of Zambia's economy," Sinkamba told Reuters. "This could be a blessing or a curse, like diamonds and gold, depending on the policy direction."
The government has directed the ministry of health to coordinate the issuance of necessary licenses, while a technical committee will come up with guidelines for the cannabis industry.
As Zambia embarks on this new economic venture, it is clear that the country is taking a calculated risk. With the potential for significant revenue growth, the government hopes to alleviate its debt burden and stimulate economic growth.
