Zambia - Fourth Poverty Reduction Budget Support (PRBS IV)

The Fourth Poverty Reduction Budget Support (PRBS IV) programme aims to sustain and deepens reforms that were supported by the Bank‘s previous three budget support operations (PRBS I, II, and III). These programme’s reforms are designed to assist the Government of the Republic of Zambia (GRZ) in its efforts to move beyond satisfactory overall economic growth rates. The present one focuses on implementation of the PFM reforms initiated by the previous operations and introduces improvements in revenue mobilisation (through increased compliance by mining companies with their tax obligations) and inclusive growth (i.e. investing in operations with a human development focus, ensuring more efficiency and accountability of public expenditure to increase value for money in social service provision, and avail appropriate social protection to the vulnerable segments of society). It will address issues of inclusive growth through increased public sector efficiency and transparency, as well as effective access to social services. The PRBS-IV is articulated around two components, namely: (i) Improve the efficiency and transparency of public financial management (PFM) and increase revenue mobilisation; and (ii) Enhancing access to social services. The first component consolidates and deepens the public sector governance reforms supported by the Bank‘s previous PRBS interventions. The second component focuses on providing access to key social services in the areas of health (immunization and operational grants at the district level) and water.