← Geopolitical & Concentration Risk
3.4

weighted score 3.4 · five dimensions

Geopolitical & Concentration Risk

Zambia

Geopolitical conflict, supplier concentration, climate exposure, sanctions risk and policy continuity intelligence for Zambia-origin supply chains.

Geopolitical conflict

3

No active conflict or insurgency. Politically stable with peaceful democratic transitions. One of the most stable countries in Southern Africa.

Supplier concentration

4

Copper is the dominant export commodity (#7 global producer). Cobalt and emeralds provide some diversification. Limited manufacturing base beyond extractives.

Climate & physical risk

5

2024 El Nino drought caused severe power crisis due to hydropower dependence (Kariba Dam). Recurring drought risk directly threatens mining and industrial output.

Sanctions exposure

1

No international sanctions. No entity list designations. Zambia is not subject to any trade restrictions from the US, EU, or other major jurisdictions.

Policy continuity & property rights

4

Hichilema administration is pro-Western and reform-oriented. Debt restructuring completed under G20 Common Framework. Mining code revisions ongoing. Property rights framework is functional but land tenure complexity remains.

Stability & Geopolitical Alignment

Stability & Geopolitical Alignment

Political stability
Zambia is one of the most politically stable countries in Southern Africa. No active conflict or insurgency. Peaceful transfer of power in the 2021 election demonstrated democratic resilience.
Geopolitical alignment
President Hichilema has pursued a pro-Western orientation, strengthening ties with the US and EU. Zambia has engaged constructively with the G20 Common Framework for debt restructuring, signalling institutional credibility.
Debt restructuring
Zambia defaulted on its Eurobond in 2020 and completed a debt restructuring agreement in 2024 under the G20 Common Framework — the first African country to do so. China was a major creditor and participated in the restructuring.

Concentration & Climate Risk

Concentration & Climate Risk

Copper concentration
Zambia is the world's #7 copper producer. Copper dominates the export base, creating commodity concentration risk. Supplier concentration score of 4 reflects moderate diversification within the mining sector but limited breadth beyond it.
El Nino drought crisis
The 2024 El Nino drought caused a severe power crisis. Zambia is heavily dependent on hydropower (primarily Kariba Dam), and reduced water levels led to rolling blackouts affecting mining operations and the broader economy.
Climate vulnerability
Hydropower dependence makes Zambia's energy supply — and therefore its mining and industrial output — directly vulnerable to climate variability. Drought risk is a recurring structural concern for supply chain reliability.