Economist Kelvin Chisanga has indicated that Zambia may require a supplementary budget before the dissolution of Parliament due to converging structural and external pressures currently being observed.
Chisanga explained that the operationalisation of 70 additional seats in the National Assembly introduces permanent recurrent costs, estimated at slightly over K140 million annually, following the passage of Bill 7.
He noted that this represents a structural fiscal obligation requiring lawful appropriations before Parliament rises.
The economist observed that escalating geopolitical tensions around the Strait of Hormuz simultaneously threaten global oil supply stability.
Chisanga warned that higher crude prices would increase Zambia’s fuel import bill, raise foreign exchange demand, pressure the Kwacha and potentially weaken revenue performance.
The economist added that expenditure ceilings cannot be expanded without legislative approval once Parliament dissolves in May, despite the Executive remaining in a caretaker capacity.
Chisanga emphasised that fiscal recalibration before dissolution would signal prudence, protect stability and maintain investor confidence amid rising uncertainty under the International Monetary Fund programme.
