Though still a developing country, Zambia is one of the African nations that has a fast-growing economy that is very friendly with a vast number of businesses. To further enhance the country’s development, the government of Zambia has stipulated very entrepreneur-friendly policies. This is to encourage entrepreneurs and investors to explore the various business sectors in the country.
If you have the ambition to start a business in Zambia, whether small, medium, or large scale; then the following sectors are the hottest right now and would remain hot for years to come:
Top 10 Small Business Investment Opportunities in Zambia
Due to increased economic activities and expansion by the mines, there is a deficit of hydroelectric generating capacity, despite the fact that Zambia is an exporter of electricity. So, investors in the sectors are still very much welcome.
If you have what it takes to start a business in Zambia’s energy sector, there’s huge profit waiting for you because the sector offers abundant investment opportunities for power generation and distribution. And you have options too in hydroelectric,solar energy, biofuels, etc.
Zambia has plenty of arable land that has been underutilized for several years. In fact, only 15% of the country’s arable land is used for cultivation. The remaining 85% is begging to be used for intensive and extensive cultivation of crops. With a pleasant climate and very good water resources as incentives, there’s much profit for investors in Zambia’s agriculture sector, which contributes 18% to the country’s GDP.
Contributing about 10% to the GDP, the manufacturing sector in Zambia provides forward and backward linkages to other sectors, and it is the main catalyst for private sector development. Key opportunities are available in the production of food, beverages, and other products that people need and use frequently.
Being the world’s largest producer of copper, Zambia is rich in known mineral deposits and holds 6% of the world’s known reserves. Copper and cobalt are the country’s traditional exports, and these account for over 70% of the country’s export earnings. The overall mining industry contributes about 12% to the GDP.
Zambia is still a developing country that still has a long way to go in terms of infrastructural development. So, investment opportunities abound in infrastructure projects such as roads, bridges, rail networks, airports, stadiums, and even buildings. If you have enough funds to kick-start a private engineering firm in Zambia, you will have the opportunity to handle many construction and maintenance projects in the country.
Zambia is one of the most promising markets for information and communication technology. There is a huge demand in the country for reliable telecom services. Yet, there are just three telecom companies in the country (Zamtel, Airtel, and MTN), and these are not sufficient to meet the huge demand.
If you cannot afford the cost of starting a telecom company in Zambia, you can partner with these companies to offer related products and services such as sales and distribution of recharge vouchers.
7. Health services
Although the Zambian government is trying as much as possible to meet the health needs of Zambians, much still needs to be done in the healthcare sector. And this opens wide a door of opportunities for private clinics and hospitals, sales and distribution of medicines and medical equipment, training medical personnel, and health counseling.
This is another priority sector in Zambia. Due to the country’s rapid growth, increased economic activities, and increased rural-urban migration, there’s increased need for the erection of more buildings and related facilities. To this end, the government of Zambia is hurrying to increase the housing stock and improve livelihoods. This has, in turn, thrown open the door of investment in the housing sector.
Zambia is one of Africa’s top vacation destinations. More investment is, however, required in hotels, motels, lodges, and safari operations, making it one of the sectors in Zambia with a lot of potential for investment. So, if you are looking to start a business in Zambia, consider the tourism sector.
Although many Zambians are aware of the need for qualitative education, the country has very few institutions of learning. And yet, the population is growing as well as the population of school leavers. So, it’s more than obvious that Zambia needs investors in the education sector to establish private institutions that cut across all educational levels.
Although, some of the businesses here may apparently seem unsuitable for small-scale investors, they all have open windows for investors with small budgets. But identifying these chances may require some brainstorming and enlightenment.