U.S.–Zambia MOU Opens Framework for Commercial Project Exploration

The United States and Zambia signed a nonbinding memorandum of understanding on March 30, 2023, to promote U.S. private-sector participation in strategic commercial projects in Zambia. The framework covers agriculture, energy, mining, manufacturing, healthcare, digital services, tourism, education, and transportation. For government contractors and other U.S. businesses, the agreement is a platform for identifying potential projects and engagement pathways—not a solicitation, contract vehicle, or promise of government business.

The MOU identifies potential U.S. agency support and financing channels, including roles for the U.S. Department of Commerce, the U.S. Trade and Development Agency (USTDA), the U.S. Agency for International Development (USAID), and the U.S. International Development Finance Corporation (DFC). These references may help firms understand where project-development assistance or financing could be explored. They do not establish that an agency will fund a particular project, provide a contract, or guarantee that a U.S. company will be selected.

The distinction between the MOU and related programs is important for capture planning. A $350 million Millennium Challenge Corporation compact and USTDA project-preparation support are related sources of activity but are separate from any funding commitment under the MOU. Companies should verify the status, eligibility requirements, and scope of each program independently, and should not present those amounts or support mechanisms as funds committed by the MOU itself.

The framework is intended to continue for five years from its March 30, 2023, signature, through approximately March 2028. During that period, firms can use it to organize market research and government engagement across the listed sectors, while recognizing that each project remains dependent on its own commercial and governmental processes. Procurement teams should identify specific opportunities, counterparties, and financing pathways, then evaluate project terms directly with relevant Zambian counterparts. The MOU does not replace project-specific negotiations between businesses and the Zambian government.

• The MOU was signed by the Government of the Republic of Zambia and the Government of the United States on March 30, 2023.
• It is nonbinding and promotes U.S. private-sector participation in strategic commercial projects in Zambia.
• Covered sectors include agriculture, energy, mining, manufacturing, healthcare, digital services, tourism, education, and transportation.
• The framework identifies potential U.S. agency support and financing channels, but commits neither government to funding or procurement.
• The MOU does not guarantee contract awards or replace project-specific negotiations with the Zambian government.
• Its intended five-year period runs through approximately March 2028.
• The $350 million Millennium Challenge Corporation compact and USTDA project-preparation support are distinct from any funding commitment under the MOU.
• Companies should map specific projects, local counterparties, and financing options rather than treating the MOU as an open solicitation.
• Relevant agencies named in connection with the framework include the Ministry of Commerce, Trade and Industry of the Republic of Zambia, U.S. Department of Commerce, USTDA, USAID, and DFC.