Zambia Standardises Natural Capital Accounting
Zambia has formalised its position as a continental leader in sustainable resource management following the inaugural Zambia Natural Capital Accounting (NCA) Forum held in Lusaka. Represented by the Ministry of Finance and National Planning alongside the Zambia Statistics Agency, the government transitioned from initial pilot projects to a sophisticated, integrated system that embeds environmental data directly into national economic policy. This shift, supported by the World Bank’s Global Programme on Sustainability, provides a rigorous framework for valuing the nation’s land, forest, and water resources assets that collectively constitute nearly 40 percent of Zambia’s national wealth. For the extractives and industrial sectors, this movement signifies a new era of transparency and long-term planning, where the environmental footprint of development is measured with the same precision as fiscal performance.
The forum highlighted the successful completion of official Land, Forest, and Water Accounts, alongside the 2025 debut of the country’s first Ecosystem Services Account. These metrics allow for a granular analysis of carbon storage, soil protection, and water management, providing the empirical data necessary to assess the sustainability of large-scale industrial and agricultural projects. By moving beyond basic statistics, Zambia is now utilizing this data to model future economic scenarios, ensuring that the Ninth National Development Plan is rooted in reality rather than speculation. This evolution in economic planning ensures that the exploitation of natural resources does not come at the expense of long-term national prosperity, but rather acts as a balanced contributor to resilient growth.
A key focus of the gathering was the institutionalisation of these accounting practices within the national budget and planning cycles. Through specialised technical groups and the introduction of local-level accounting tools, the NCA Program has empowered regional authorities to take responsibility for resource management. This bottom-up approach, coupled with high-level ministerial oversight, ensures that natural capital data is no longer an “add-on” but a foundational element of the state’s strategy for climate resilience. As Zambia sets a precedent for policy-driven accounting in Africa, the mining and energy sectors can expect a more predictable regulatory environment where environmental assets are treated as strategic economic capital.
Dr Achim Fock, the World Bank Country Manager for Zambia, emphasised the strategic necessity of this transition during his keynote address, noting that the visibility of nature in economic decisions is paramount for a nation’s health. He remarked: “Natural capital accounting is more than just collecting statistics. It is a strategic tool that helps make nature visible in economic decisions. By including these resources in national accounts, policymakers can better understand if development is helping or harming long-term prosperity.”
