Zambia’s President Calls U.S. Aid Cuts ‘Long Overdue,’ Urges Nation to Embrace Self-Reliance

Zambian President Hakainde Hichilema has described recent cuts to international aid as “long overdue,” arguing that the closure of the U.S. Agency for International Development (USAID) program in Zambia presents an opportunity for the nation to “take care of our own affairs.”

Amid global debate over shrinking foreign assistance, Hichilema defended the move, stressing that it would strengthen Zambia’s long-term independence and economic resilience.

Speaking to the Financial Times during his visit to London, the president acknowledged that the cuts were painful but necessary to drive sustainable national growth.

Historically, Zambia has depended heavily on international support, receiving an estimated $1.83 billion in official development assistance in 2023.

The United States alone contributed nearly $598 million, about one-third of Zambia’s health budget, primarily funding HIV/AIDS treatment and basic maternal health programs.

However, reductions have intensified following a $50 million cut in U.S. medical aid scheduled for 2025 after the theft and resale of donated medicines. The cuts have further strained the government’s healthcare delivery systems.

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“It forces us to grow our economies and to do the things we should have been doing,” Hichilema said, noting that his guiding principle was “seek ye growth” as a means to strengthen government capacity for social spending.

He admitted that the abrupt withdrawal of funds, some of which had already been approved by the U.S. Congress, left little time for adjustment. “It’s painful for now,” he said. “There is a shock. But longer term, it’s a good thing.”

Zambia, with a nominal GDP of $29.9 billion and a population of about 20.8 million, continues to face deep poverty, with 71.7 percent of citizens living on less than $3 a day. Persistent poverty reflects years of debt challenges, dependence on commodity exports, and structural weaknesses in healthcare and social systems.

In its 2026 budget, the government raised healthcare spending by 13 percent to approximately $1.3 billion, though the figure remains below the international target of 15 percent of total expenditure. Authorities also pledged to tackle the theft of donated medicines and increased drug procurement funds by 30 percent.

Clarifying his remarks, Hichilema said his position on aid cuts did not mean rejecting international cooperation. “Countries cannot decouple themselves from one another,” he said. On trade, he urged the United States and China to end their trade war, saying Zambia was “too small to get caught in the middle of arguments between bigger countries.”

Hichilema also reported progress in resolving Zambia’s longstanding debt issues, stating that the nation had cleared 94 percent of its arrears, a “major milestone” after defaulting in 2020.

The four-year restructuring process, which he described as slow and difficult, continues, with a $50 million dispute involving the African Export-Import Bank expected to be settled under the G20 framework.

The president added that Zambia’s economy is showing signs of recovery as the debt crisis eases. The International Monetary Fund projects growth of about 6 percent this year, up from 4 percent the previous year.

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Image Credit: RCV

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