For more information, see Zambia and the IMF

Table 1. Zambia: Quantitative Performance Criteria and Benchmarks
During the First Year of the Three-Year Arrangement Under the Enhanced Structural Adjustment Facility,
January 1, 1999–December 31, 1999

  1998
Dec.
Est.
1999
  Performance criteria
Indicative targets
  End-Mar. End-Jun. End-Sep. End-Dec.

  (In billions of kwacha; cumulative from January 1, 1999)
Ceiling on the increase in net domestic
   assets of the Bank of Zambia 1,2
296511 -103 -73 -131 -116
           
Ceiling on the increase in net bank
   claims on government2,3,4
55711 -1 90 -43 -109
           
Floor on the domestic budget
   balance of the government 5
6 -115 -81 -44
           
Ceiling on the outstanding stock of
   domestic arrears of the government
23 20 13 6 0
           
  (In millions of U.S. dollars)
Floor on net international reserves
   of the Bank of Zambia 6
-1,180 -1,125 -1,131 -1,104 -1,107
           
Ceiling on new external payments arrears7 0 0 0 0 0
           
Ceiling on new medium- and long-term
   nonconcessional loans 8
0 0 0 0 0
           
Ceiling on the stock of short-term debt9 165 165 165 165 0
           
  (Numbers of employees)
Size of the public service10 119,500 117,750 116,000 114,250 112,500
           
  (In millions of U.S. dollars; cumulative from January 1, 1999)
Memorandum item:          
   Programmed balance of
      payments assistance
0 118.5 161.3 267.1 307.1

1Net domestic assets are equivalent to reserve money minus net foreign assets, calculated at the end-December 1998 U.S. dollar-kwacha exchange rate (US$1=K 2,317).
2In case of a shortfall in balance of payments assistance, the ceilings on the increase in net domestic assets and net bank claims on the government will be adjusted upward by the amount of the shortfall with a maximum of US$30 million. The kwacha value of the cumulative shortfall will be calculated at the end-December 1998 U.S. dollar-kwacha exchange rate (US$1=K 2,317).
3Net bank claims include the U.S. dollar-denominated foreign exchange bridge loan of the Bank of Zambia to the government. The balance of the loan is calculated at the end-December 1998 U.S. dollar-kwacha exchange rate (US$1=K 2,317).
4The ceiling on the increase in net bank claims on the government will be adjusted downward by the difference between the budgetary provision of K 151 billion and the actual payments made by the government for the settlement of ZCCM's short-term debt and arrears, which is expected in the second quarter of 1999.
5The floor on the domestic budget balance of the goverment will be raised by the difference between the budgetary provision of K 151 billion and the actual payments made by the government for the settlement of ZCCM's short-term debt and arrears, which is expected in the second quarter of 1999.
6Foreign assets of the Bank of Zambia include the balance in the special Bank for International Settlements account established in accordance with the February 1996 Paris Club accord. In case of a shortfall in balance of payments assistance, the floor on net international reserves will be adjusted downward by the amount of the shortfall with a maximum of US$30 million. Net international reserves exclude a US$25 million deposit in Meridien Bank, which is under liquidation.
7The injunction against new external payments arrears is continuous.
8Loans contracted or guaranteed by the central government or the Bank of Zambia with grant elements of less than 35 percent.
9Includes debt contracted or guaranteed by the central government and Bank of Zambia with an original maturity of not more than one year, but excluding normal trade credits for imports.
10Measured on the basis of the payroll data of the Ministry of Finance, universities, and teaching hospitals.
11 Stocks at end-1998.
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