## 1. IIP (End of Period - USD Millions)

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**Canonical URL:** [1. IIP (End of Period - USD Millions)](https://www.imf.org/-/media/files/publications/cr/2019/1zmbea2019003.pdf)

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---

### Summary of Mission Outcomes and Priority Findings
- A technical assistance (TA) mission on external sector statistics (ESS) was conducted in Lusaka, Zambia, during March 4–15, 2019. This fifth mission was part of the United Kingdom’s Department for International Development (DFID)—Enhanced Data Dissemination Initiative (EDDI) 2 Project Module 1 and was carried out in consultation with the IMF’s African Department (AFR).
- The Bank of Zambia (BOZ) published international investment position (IIP) statistics, associated metadata, and a release calendar on its website following the mission.
- Main revisions identified during the mission: treatment of deposits of nonfinancial enterprises using BIS data, market-price valuation of Eurobonds issued by the Government of Zambia, and classification of loans from fellow enterprises.
- The BOZ has begun compilation of the integrated IIP statement; the mission recommends compiling the integrated IIP on a quarterly basis starting from 2017.

### Key IIP Statistics (Table 1)
- Net IIP (USD Millions):
  - 2015 Q4: -21.735
  - 2016 Q4: -24.582
  - 2017 Q1: -25.911
  - 2017 Q2: -26.862
  - 2017 Q3: -26.686
  - 2017 Q4: -27.544
  - 2018 Q1: -27.395
  - 2018 Q2: -25.977
  - 2018 Q3: -24.269
- Assets (USD Millions):
  - 2015 Q4: 6.599
  - 2016 Q4: 7.005
  - 2017 Q1: 7.162
  - 2017 Q2: 7.023
  - 2017 Q3: 6.707
  - 2017 Q4: 7.243
  - 2018 Q1: 6.677
  - 2018 Q2: 6.881
  - 2018 Q3: 7.849
- Liabilities (USD Millions):
  - 2015 Q4: 28.333
  - 2016 Q4: 31.587
  - 2017 Q1: 33.073
  - 2017 Q2: 33.885
  - 2017 Q3: 33.393
  - 2017 Q4: 34.787
  - 2018 Q1: 34.072
  - 2018 Q2: 32.857
  - 2018 Q3: 32.118
- Source: BOZ (https://www.boz.zm/international-investment-position.htm)

### Key Findings on Data Sources and Compilation
- The BOZ relies on the quarterly Private Capital Flows (PCF) survey as a robust framework for collection of transactions and positions with nonresidents; emphasis on large enterprises helps timeliness and coverage, but follow-up on reporting compliance is needed.
- Errors and omissions remain large and unjustified by current procedures; the practice of reclassifying a large share of errors and omissions to other investment is not fully supported by PCF data.
- Valuation and classification issues identified:
  - Some balance of payments components, including reserve assets and government external debt, include valuation changes in transactions and should remove those valuation changes from transactions.
  - Pooled reserve assets were being treated as deposits and should be reclassified as other reserve assets.
- Main remaining data gaps:
  - Position data on external assets of nonfinancial corporations (gap more evident in the balance of payments).
  - Information on Zambia’s participation in international organizations.

### IIP Revisions Implemented (Table 4 — main items)
- Assets, other investment, currency and deposits, other sectors:
  - Issue: BIS locational banking statistics (LBS) were being mistakenly treated as liabilities of residents of Zambia rather than assets.
  - Revision: These deposits are now correctly treated as assets of residents of Zambia.
  - Source: BIS LBS
- Reserve assets; pooled assets:
  - Issue: Pooled reserve assets were being treated as deposits.
  - Revision: Reclassification from deposits to other assets, both on reserves.
  - Source: Financial Markets Department
- Liabilities, other investment, loans:
  - Issue: Loans from fellow enterprises to resident enterprises were being accounted for twice (other investment/loans and direct investment/debt instruments).
  - Revision: Liabilities are now only classified under direct investment/debt instruments.
  - Source: PCF
- Liabilities, other investment, portfolio, general government (Eurobonds):
  - Issue: Euro Bonds issued by the government of Zambia were being included by face value, a total of US$3.0 billion.
  - Revision: Face value was replaced with market value provided by the BOZ’s Financial Markets Department; a footnote added to inform users of differing valuation criteria between BOZ and MOF.
  - Source: MOF
- Quarterly positions for several components:
  - Issue: The IIP was omitting data for non-reporting enterprises, resulting in sharp falls in liabilities in some quarters.
  - Revision: A carry-over procedure, to serve as a temporary estimate for missing data of positions of non-reporters, was adopted.
  - Source: PCF

### Priority Recommendations (Table 2 and Highlights)
- Dissemination and metadata:
  - Disseminate annual 2015–17 and quarterly 2017 and 2018 (first three quarters) IIP statistics on the BOZ website. Target Date: June 2019 (completed and disseminated in May 2019). Responsible: BOZ.
  - Finalize the metadata for publication of the IIP. Target Date: June 2019 (completed and disseminated in May 2019). Responsible: BOZ.
  - Maintain and update the IIP dissemination calendar, informing users in advance of changes in release schedule. Target Date: December 2019. Responsible: BOZ.
- Integrated IIP:
  - Complete the compilation of the integrated IIP. Target Date: December 2019. Responsible: BOZ.
  - PR: Compile the integrated IIP on a quarterly basis starting from 2017 for assessment of consistency between the IIP and the balance of payments. Target Completion Date: December 2019.

### Detailed Action Plan (Selected high-priority actions and target dates from Table 3)
- Identify all balance components compiled based on change in positions and remove the changes that are not due to transactions. Target Completion Date: September 2019.
- Ensure, when more than one source is available for the balance of payments and the IIP, that the same source is used or that they are compatible. Target Completion Date: September 2019.
- Use market value for the Eurobonds; include a footnote in IIP publications informing the face value used by the MOF and explaining that the market value follows BPM6 guidelines. Target Completion Date: September 2019.
- Investigate whether payments made directly abroad for goods and services provided domestically, and which therefore are not reported under current PCF guidelines, may be the reason for the large adjustments of errors and omissions allocated under other investment. Target Completion Date: September 2019.
- Verify if the carry-over procedure of data for companies that missed to report to the PCF during certain quarters is functioning properly; identify outliers and investigate whether data were not reported. Target Completion Date: September 2019 and every reporting quarter on an ongoing basis.
- Use data sourced from the IMF to compile transactions in and positions of SDR holdings (classified as reserve assets) and allocations (classified as other investment liabilities). Target Completion Date: September 2019.
- Reclassify reserve assets invested under pooled schemes (by the BIS and the World Bank) to other reserve assets (rather than deposits, as currently classified). Target Completion Date: September 2019.

### Dissemination, Metadata, and Communication
- The mission recommended that BOZ disseminate IIP metadata with the IIP statement and maintain an up-to-date release calendar on its website.
- BOZ published IIP metadata and the IIP release calendar on its website in May 2019.
- Recommendations already implemented:
  - Disseminate annual 2015–17 and quarterly 2017–18 IIP statistics on the BOZ website (Completed in May 2019).
  - Prepare IIP metadata and disseminate it on the BOZ website (Completed in May 2019).
  - Maintain the release calendar updated, reflecting any changes in the release schedule on the website as promptly as possible.

### Other Issues and Recommendations
- Errors and omissions adjustment:
  - Investigate whether payments for goods and services provided domestically by resident direct investment enterprises are being paid directly abroad to parent or fellow enterprises and therefore not captured by current surveys.
  - Include in the survey form a question breaking down services consumption by mode of payment: paid for domestically and paid for abroad; use the amount paid for abroad for adjustment.
- Classification and compilation consistency:
  - Identify all balance components compiled based on change in positions and remove the changes that are not due to transactions.
  - Compile the integrated IIP on a quarterly basis starting from 2017.
  - Reclassify reserve assets invested under pooled schemes (by the BIS and the World Bank) to other reserve assets (rather than deposits).
  - Consider referring to “statutory foreign exchange deposits” as such rather than as “encumbered reserves”.

### Workshop on Zambia's Social Accounts Matrix (SAM) for 2010
- Purpose: Discuss compilation of Zambia’s Social Accounts Matrix (SAM) for 2010 and whether the Bank of Zambia (BOZ) could provide balance of payments transactions data for the SAM compilation.
- Guidance provided:
  - Mission and BOZ compiler explained limitations of the balance of payments breakdown and coverage (e.g., lack of breakdown between enterprises and households) for SAM compilation.
  - Mission and BOZ provided guidance on proxy classifications based on the characteristics of Zambia’s economy and inward and outward flows.

### Officials Met During the Mission
- Dr. Denny Kalyalya — Governor — Bank of Zambia
- Dr. Francis Chipimo — Deputy Governor Operations — Bank of Zambia
- Dr. Ivan Zyuulu — Assistant Director - External Capital Flows — Bank of Zambia
- Dr. Francis Mulenga Muma — Senior Economist - External Capital Flows — Bank of Zambia
- Ms. Chisala Sofia Ngándwe — Senior Economist - Private Capital Flows — Bank of Zambia
- Ms. Mwika Mwenechanya — Senior Economist - Private Capital Flows — Bank of Zambia
- Mr. Kafula Longa — Acting Senior Economist - Balance of Payments — Bank of Zambia
- Mr. Emmanuel Chokwe — Economist - Balance of Payments — Bank of Zambia
- Mr. Wachisa SIbale — Acting Economist Balance of Payments — Bank of Zambia

### Appendix I. Preliminary IIP Statistics — Key series (Prel. Millions USD)
- NET INTERNATIONAL INVESTMENT POSITION (A-B)
  - 2015 Q4: -21.734,5
  - 2016 Q4: -24.582,4
  - 2017 Q1: -25.911,0
  - 2017 Q2: -26.861,7
  - 2017 Q3: -26.685,7
  - 2017 Q4: -27.544,2
  - 2018 Q1: -27.395,0
  - 2018 Q2: -25.976,6
  - 2018 Q3: -24.269,1

- A. ASSETS (total)
  - 2015 Q4: 6.599,0
  - 2016 Q4: 7.004,9
  - 2017 Q1: 7.162,2
  - 2017 Q2: 7.022,8
  - 2017 Q3: 6.706,9
  - 2017 Q4: 7.242,8
  - 2018 Q1: 6.676,9
  - 2018 Q2: 6.880,8
  - 2018 Q3: 7.849,2

- A.1 Direct Investment (assets)
  - 2015 Q4: 1.457,1
  - 2016 Q4: 1.697,9
  - 2017 Q1: 1.673,1
  - 2017 Q2: 1.587,2
  - 2017 Q3: 1.581,6
  - 2017 Q4: 1.638,8
  - 2018 Q1: 1.564,8
  - 2018 Q2: 1.667,9
  - 2018 Q3: 2.031,3
  - A.1.1 Equity and investment fund shares
    - 2015 Q4: 433,3; 2016 Q4: 476,4; 2017 Q1: 478,8; 2017 Q2: 539,4; 2017 Q3: 543,6; 2017 Q4: 535,7; 2018 Q1: 525,3; 2018 Q2: 525,4; 2018 Q3: 521,8
  - A.1.2 Debt instruments
    - 2015 Q4: 1.023,8; 2016 Q4: 1.221,5; 2017 Q1: 1.194,3; 2017 Q2: 1.047,7; 2017 Q3: 1.037,9; 2017 Q4: 1.103,2; 2018 Q1: 1.039,5; 2018 Q2: 1.142,5; 2018 Q3: 1.509,5

- A.2 Portfolio Investment (assets)
  - Total A.2
    - 2015 Q4: 115,8; 2016 Q4: 30,5; 2017 Q1: 48,0; 2017 Q2: 48,0; 2017 Q3: 33,8; 2017 Q4: 32,9; 2018 Q1: 45,1; 2018 Q2: 45,0; 2018 Q3: 45,0
  - A.2.1 Equity and investment fund shares: same series as A.2 totals
  - A.2.2 Debt securities: 0,0 for all periods listed

- A.3 Financial derivatives (other than reserves) and employee stock options
  - 2015 Q4: 28,7; 2016 Q4: 15,9; 2017 Q1: 19,1; 2017 Q2: 21,6; 2017 Q3: 14,9; 2017 Q4: 10,2; 2018 Q1: 10,2; 2018 Q2: 10,2; 2018 Q3: 9,6

- A.4 Other Investment (assets)
  - Total A.4
    - 2015 Q4: 2.783,3; 2016 Q4: 3.377,9; 2017 Q1: 3.547,9; 2017 Q2: 3.341,2; 2017 Q3: 3.218,0; 2017 Q4: 3.713,6; 2018 Q1: 3.486,5; 2018 Q2: 3.518,7; 2018 Q3: 4.298,7
  - A.4.1 Other equity
    - 2015 Q4: 1,9; 2016 Q4: 2,4; 2017 Q1: 2,5; 2017 Q2: 2,6; 2017 Q3: 2,5; 2017 Q4: 2,6; 2018 Q1: 2,8; 2018 Q2: 2,7; 2018 Q3: 2,2
  - A.4.2 Currency and deposits
    - 2015 Q4: 1.909,2; 2016 Q4: 2.346,1; 2017 Q1: 2.573,8; 2017 Q2: 2.387,7; 2017 Q3: 2.264,2; 2017 Q4: 2.705,1; 2018 Q1: 2.618,2; 2018 Q2: 2.645,4; 2018 Q3: 2.758,6
  - A.4.3 Loans
    - 2015 Q4: (blank); 2016 Q4: 94,3; 2017 Q1: 59,0; 2017 Q2: 59,1; 2017 Q3: 58,4; 2017 Q4: 58,4; 2018 Q1: 108,6; 2018 Q2: 65,0; 2018 Q3: 118,4
  - A.4.5 Trade credits and advances
    - 2015 Q4: 776,9; 2016 Q4: 940,5; 2017 Q1: 882,8; 2017 Q2: 863,3; 2017 Q3: 863,2; 2017 Q4: 867,3; 2018 Q1: 771,2; 2018 Q2: 776,3; 2018 Q3: 1.390,4
  - A.4.6 Other accounts receivable
    - 2015 Q4: 1,1; 2016 Q4: 29,9; 2017 Q1: 29,7; 2017 Q2: 29,2; 2017 Q3: 29,7; 2017 Q4: 29,9; 2018 Q1: 29,3; 2018 Q2: 29,3; 2018 Q3: 29,2

- A.5 Reserve Assets
  - 2015 Q4: 2.214,0; 2016 Q4: 1.882,5; 2017 Q1: 1.874,0; 2017 Q2: 2.024,9; 2017 Q3: 1.858,6; 2017 Q4: 1.847,3; 2018 Q1: 1.570,3; 2018 Q2: 1.638,9; 2018 Q3: 1.464,7

- B. LIABILITIES (total)
  - 2015 Q4: 28.333,5; 2016 Q4: 31.587,3; 2017 Q1: 33.073,1; 2017 Q2: 33.884,5; 2017 Q3: 33.392,6; 2017 Q4: 34.787,0; 2018 Q1: 34.071,9; 2018 Q2: 32.857,3; 2018 Q3: 32.118,4

- B.1 Direct Investment (liabilities)
  - Total B.1
    - 2015 Q4: 16.488,5; 2016 Q4: 18.858,8; 2017 Q1: 18.692,8; 2017 Q2: 18.813,6; 2017 Q3: 19.337,0; 2017 Q4: 19.826,9; 2018 Q1: 18.764,7; 2018 Q2: 18.137,8; 2018 Q3: 17.615,7
  - B.1.1 Equity and investment fund shares
    - 2015 Q4: 7.091,0; 2016 Q4: 7.827,8; 2017 Q1: 8.449,0; 2017 Q2: 8.361,2; 2017 Q3: 9.120,3; 2017 Q4: 8.220,8; 2018 Q1: 8.815,5; 2018 Q2: 7.837,9; 2018 Q3: 7.359,7
  - B.1.2 Debt instruments
    - 2015 Q4: 9.397,4; 2016 Q4: 11.031,1; 2017 Q1: 10.243,8; 2017 Q2: 10.452,4; 2017 Q3: 10.216,8; 2017 Q4: 11.606,1; 2018 Q1: 9.949,2; 2018 Q2: 10.299,9; 2018 Q3: 10.256,0

- B.2 Portfolio Investment (liabilities)
  - Total B.2
    - 2015 Q4: 2.595,4; 2016 Q4: 3.633,6; 2017 Q1: 3.753,7; 2017 Q2: 3.912,7; 2017 Q3: 3.995,4; 2017 Q4: 4.262,2; 2018 Q1: 4.085,6; 2018 Q2: 3.613,1; 2018 Q3: 2.961,6
  - B.2.1 Equity and investment fund shares
    - 2015 Q4: 27,0; 2016 Q4: 106,7; 2017 Q1: 60,3; 2017 Q2: 53,9; 2017 Q3: 53,8; 2017 Q4: 106,1; 2018 Q1: 75,2; 2018 Q2: 91,7; 2018 Q3: 122,3
  - B.2.2 Debt securities
    - 2015 Q4: 2.568,4; 2016 Q4: 3.526,8; 2017 Q1: 3.693,3; 2017 Q2: 3.858,8; 2017 Q3: 3.941,6; 2017 Q4: 4.156,1; 2018 Q1: 4.010,4; 2018 Q2: 3.521,4; 2018 Q3: 2.839,4
    - B.2.2.1 Government
      - same series as B.2.2 above
      - B.2.2.1.1 Issued abroad
        - 2015 Q4: 2.334,3; 2016 Q4: 2.906,0; 2017 Q1: 3.014,0; 2017 Q2: 3.083,8; 2017 Q3: 3.154,9; 2017 Q4: 3.251,3; 2018 Q1: 3.092,5; 2018 Q2: 2.634,6; 2018 Q3: 2.144,2
      - B.2.2.1.2 Non resident holdings of locally Issued Securities
        - 2015 Q4: 234,1; 2016 Q4: 620,8; 2017 Q1: 679,3; 2017 Q2: 774,9; 2017 Q3: 786,6; 2017 Q4: 904,8; 2018 Q1: 917,9; 2018 Q2: 886,8; 2018 Q3: 695,2
    - B.2.2.2 Other: 0,0 for all periods listed

- B.3 Financial derivatives (other than reserves) and employee stock options
  - 2015 Q4: 213,3; 2016 Q4: 12,6; 2017 Q1: 25,8; 2017 Q2: 35,6; 2017 Q3: 7,2; 2017 Q4: 13,8; 2018 Q1: 13,8; 2018 Q2: 13,8; 2018 Q3: 8,7

- B.4 Other Investment (liabilities)
  - Total B.4
    - 2015 Q4: 9.036,3; 2016 Q4: 9.082,3; 2017 Q1: 10.600,9; 2017 Q2: 11.122,7; 2017 Q3: 10.053,0; 2017 Q4: 10.684,1; 2018 Q1: 11.207,9; 2018 Q2: 11.092,5; 2018 Q3: 11.532,3
  - B.4.1 Other equity
    - 2015 Q4: 0,0; 2016 Q4: 197,3; 2017 Q1: 257,3; 2017 Q2: 262,7; 2017 Q3: 255,8; 2017 Q4: 233,9; 2018 Q1: 243,8; 2018 Q2: 243,9; 2018 Q3: 300,6
  - B.4.2 Currency and deposits
    - 2015 Q4: 108,0; 2016 Q4: 279,5; 2017 Q1: 400,8; 2017 Q2: 430,3; 2017 Q3: 347,9; 2017 Q4: 275,9; 2018 Q1: 325,0; 2018 Q2: 266,1; 2018 Q3: 210,6
  - B.4.3 Loans
    - 2015 Q4: 8.120,9; 2016 Q4: 7.816,7; 2017 Q1: 9.075,7; 2017 Q2: 9.640,1; 2017 Q3: 8.627,6; 2017 Q4: 9.351,1; 2018 Q1: 9.834,2; 2018 Q2: 9.701,0; 2018 Q3: 10.184,8
    - B.4.3.1 Government
      - 2015 Q4: 3.959,1; 2016 Q4: 4.185,5; 2017 Q1: 4.372,3; 2017 Q2: 4.491,8; 2017 Q3: 4.553,1; 2017 Q4: 5.957,9; 2018 Q1: 6.581,1; 2018 Q2: 6.602,7; 2018 Q3: 6.744,3
    - B.4.3.2 Other
      - 2015 Q4: 4.161,8; 2016 Q4: 3.631,2; 2017 Q1: 4.703,5; 2017 Q2: 5.148,3; 2017 Q3: 4.074,5; 2017 Q4: 3.393,2; 2018 Q1: 3.253,1; 2018 Q2: 3.098,3; 2018 Q3: 3.440,5
  - B.4.4 Insurance, pension and standardized guarantee schemes
    - 2015 Q4: 1,6; 2016 Q4: 3,5; 2017 Q1: 3,9; 2017 Q2: 3,9; 2017 Q3: 3,9; 2017 Q4: 3,9; 2018 Q1: 3,9; 2018 Q2: 3,9; 2018 Q3: 3,9
  - B.4.5 Trade credits and advances
    - 2015 Q4: 115,6; 2016 Q4: 71,8; 2017 Q1: 175,7; 2017 Q2: 83,9; 2017 Q3: 106,0; 2017 Q4: 67,9; 2018 Q1: 104,4; 2018 Q2: 205,9; 2018 Q3: 161,9
  - B.4.6 Other accounts payable
    - 2015 Q4: 39,6; 2016 Q4: 84,9; 2017 Q1: 49,5; 2017 Q2: 49,4; 2017 Q3: 49,4; 2017 Q4: 84,9; 2018 Q1: 12,7; 2018 Q2: 12,7; 2018 Q3: 12,7
  - B.4.7 Special drawing rights
    - 2015 Q4: 650,6; 2016 Q4: 628,7; 2017 Q1: 638,0; 2017 Q2: 652,4; 2017 Q3: 662,3; 2017 Q4: 666,5; 2018 Q1: 683,8; 2018 Q2: 659,1; 2018 Q3: 657,8

- Footnote:
  - 1/ Eurobonds under item B.2.2.1 Government, recorded at market value in line with IMF's Balance of Payments and International Investment Position Manual (BPM6)

### Appendix II. Implementation Status of the June 2018 TA Mission Action Plan — Selected outcomes and statuses
- Use PCF survey results to compile external loan liabilities of nonfinancial corporations in IIP statistics to avoid duplication with intercompany lending classified as direct investment.
  - Assumption/Indicator: Data sourced from PCF.
  - Target Date: July 2018
  - Completion Date: March 2019
  - Implementation Status: Completed with TA mission’s support.
- Follow up with the IDM of the MOF on provision of data on components of the change in gross public sector external debt positions and guaranteed external debt data (positions) of state-owned enterprises (SOEs).
  - Assumption/Indicator: Detailed data on public sector external debt changes available.
  - Target Date: July 2018 and then ongoing basis
  - Completion Date: January 2019
  - Implementation Status: Completed.
- Use public sector external debt data provided by the IDM of the MOF to revise IIP and balance of payments corresponding components and compile the integrated IIP statement for 2017.
  - Target Date: August 2018 and then ongoing basis
  - Completion Date: March 2019
  - Implementation Status: Completed during TA mission.
- Use in IIP and balance of payments statistics data provided by the IDM of the MOF on guaranteed external debt data (positions) of SOEs, if not collected through the PCF survey.
  - Target Date: August 2018 and then ongoing basis
  - Completion Date: January 2019
  - Implementation Status: Completed.
- Remove BOZ other short-term loan liability entries from the IIP working file as they duplicate with IMF credit and loans.
  - Target Date: July 2018
  - Completion Date: May 2018
  - Implementation Status: Completed.
- Use data sourced from the IMF to compile transactions in and positions of SDR holdings (classified as reserve assets) and allocations (classified as other investment liabilities).
  - Target Date: July 2018
  - Completion Date: Not completed.
  - Implementation Status: Not completed.
- Preliminary use of BIS locational banking statistics data on Zambian nonbanks external deposits to estimate the corresponding IIP component.
  - Target Date: July 2018
  - Completion Date: July 2018
  - Implementation Status: Completed.
- Confirm that “encumbered reserves” are encumbered assets and ensure their consistent treatment in IIP and balance of payments statistics (classified as BOZ “other investment” in the latter).
  - Target Date: August 2018
  - Completion Date: May 2018
  - Implementation Status: Completed.
- Further investigate the significant decrease in direct investment assets, debt instruments, in 2014 to validate both IIP and balance of payments records.
  - Target Date: September 2018
  - Completion Date: June 2018
  - Implementation Status: Completed.
- Examine criteria to geographically allocate national data on inward direct investment to Canada and South Africa (immediate vs. ultimate counterpart economy).
  - Target Date: December 2018
  - Completion Date: June 2018
  - Implementation Status: Completed. Companies have informed that the reporting criteria is immediate investor.
- Finalize revision and validation of selected IIP data series (particularly general government and nonfinancial corporations loan liabilities) to complete work done during the mission.
  - Target Date: August 2018
  - Completion Date: March 2019
  - Implementation Status: Completed.
- Reconcile 2017 quarterly changes in stocks by looking at transactions recorded in the financial account of the balance of payments and other changes in financial assets and liabilities.
  - Target Date: September 2018
  - Completion Date: Completed during March 2018 TA mission.
  - Implementation Status: Completed.
- Disseminate annual 2015–16 and quarterly 2017 IIP statistics on the BOZ website.
  - Target Date: December 2018
  - Completion Date: Completed following the TA mission.
  - Implementation Status: Completed.
- Compile the IIP metadata questionnaire and disseminate it on the BOZ website.
  - Target Date: December 2018
  - Completion Date: Completed following the TA mission.
  - Implementation Status: Completed.

*Source: IMF TA mission report — IIP (End of Period - USD Millions), Zambia, March 4–15, 2019.*

### 1. IIP (End of Period - USD Millions)  ______________________________________________________________ 4

### 1. IIP (End of Period - USD Millions)

### Summary of Mission Outcomes and Priority Findings
- A technical assistance (TA) mission on external sector statistics (ESS) was conducted in Lusaka, Zambia, during March 4–15, 2019. This fifth mission was part of the United Kingdom’s Department for International Development (DFID)—Enhanced Data Dissemination Initiative (EDDI) 2 Project Module 1 and was carried out in consultation with the IMF’s African Department (AFR).
- The Bank of Zambia (BOZ) published international investment position (IIP) statistics, associated metadata, and a release calendar on its website following the mission.
- Main revisions identified during the mission: treatment of deposits of nonfinancial enterprises using BIS data, market-price valuation of Eurobonds issued by the Government of Zambia, and classification of loans from fellow enterprises.
- The BOZ has begun compilation of the integrated IIP statement; the mission recommends compiling the integrated IIP on a quarterly basis starting from 2017.

### Key IIP Statistics (Table 1)
- Net IIP (USD Millions):
  - 2015 Q4: -21.735
  - 2016 Q4: -24.582
  - 2017 Q1: -25.911
  - 2017 Q2: -26.862
  - 2017 Q3: -26.686
  - 2017 Q4: -27.544
  - 2018 Q1: -27.395
  - 2018 Q2: -25.977
  - 2018 Q3: -24.269
- Assets (USD Millions):
  - 2015 Q4: 6.599
  - 2016 Q4: 7.005
  - 2017 Q1: 7.162
  - 2017 Q2: 7.023
  - 2017 Q3: 6.707
  - 2017 Q4: 7.243
  - 2018 Q1: 6.677
  - 2018 Q2: 6.881
  - 2018 Q3: 7.849
- Liabilities (USD Millions):
  - 2015 Q4: 28.333
  - 2016 Q4: 31.587
  - 2017 Q1: 33.073
  - 2017 Q2: 33.885
  - 2017 Q3: 33.393
  - 2017 Q4: 34.787
  - 2018 Q1: 34.072
  - 2018 Q2: 32.857
  - 2018 Q3: 32.118
- Source: BOZ (https://www.boz.zm/international-investment-position.htm)

### Key Findings on Data Sources and Compilation
- The BOZ relies on the quarterly Private Capital Flows (PCF) survey as a robust framework for collection of transactions and positions with nonresidents; emphasis on large enterprises helps timeliness and coverage, but follow-up on reporting compliance is needed.
- Errors and omissions remain large and unjustified by current procedures; the practice of reclassifying a large share of errors and omissions to other investment is not fully supported by PCF data.
- Valuation and classification issues identified:
  - Some balance of payments components, including reserve assets and government external debt, include valuation changes in transactions and should remove those valuation changes from transactions.
  - Pooled reserve assets were being treated as deposits and should be reclassified as other reserve assets.
- Main remaining data gaps:
  - Position data on external assets of nonfinancial corporations (gap more evident in the balance of payments).
  - Information on Zambia’s participation in international organizations.

### IIP Revisions Implemented (Table 4 — main items)
- Assets, other investment, currency and deposits, other sectors:
  - Issue: BIS locational banking statistics (LBS) were being mistakenly treated as liabilities of residents of Zambia rather than assets.
  - Revision: These deposits are now correctly treated as assets of residents of Zambia.
  - Source: BIS LBS
- Reserve assets; pooled assets:
  - Issue: Pooled reserve assets were being treated as deposits.
  - Revision: Reclassification from deposits to other assets, both on reserves.
  - Source: Financial Markets Department
- Liabilities, other investment, loans:
  - Issue: Loans from fellow enterprises to resident enterprises were being accounted for twice (other investment/loans and direct investment/debt instruments).
  - Revision: Liabilities are now only classified under direct investment/debt instruments.
  - Source: PCF
- Liabilities, other investment, portfolio, general government (Eurobonds):
  - Issue: Euro Bonds issued by the government of Zambia were being included by face value, a total of US$3.0 billion.
  - Revision: Face value was replaced with market value provided by the BOZ’s Financial Markets Department; a footnote added to inform users of differing valuation criteria between BOZ and MOF.
  - Source: MOF
- Quarterly positions for several components:
  - Issue: The IIP was omitting data for non-reporting enterprises, resulting in sharp falls in liabilities in some quarters.
  - Revision: A carry-over procedure, to serve as a temporary estimate for missing data of positions of non-reporters, was adopted.
  - Source: PCF

### Priority Recommendations (Table 2 and Highlights)
- Dissemination and metadata:
  - Disseminate annual 2015–17 and quarterly 2017 and 2018 (first three quarters) IIP statistics on the BOZ website. Target Date: June 2019 (completed and disseminated in May 2019). Responsible: BOZ.
  - Finalize the metadata for publication of the IIP. Target Date: June 2019 (completed and disseminated in May 2019). Responsible: BOZ.
  - Maintain and update the IIP dissemination calendar, informing users in advance of changes in release schedule. Target Date: December 2019. Responsible: BOZ.
- Integrated IIP:
  - Complete the compilation of the integrated IIP. Target Date: December 2019. Responsible: BOZ.
  - PR: Compile the integrated IIP on a quarterly basis starting from 2017 for assessment of consistency between the IIP and the balance of payments. Target Completion Date: December 2019.

### Detailed Action Plan (Selected high-priority actions and target dates from Table 3)
- Identify all balance components compiled based on change in positions and remove the changes that are not due to transactions. Target Completion Date: September 2019.
- Ensure, when more than one source is available for the balance of payments and the IIP, that the same source is used or that they are compatible. Target Completion Date: September 2019.
- Use market value for the Eurobonds; include a footnote in IIP publications informing the face value used by the MOF and explaining that the market value follows BPM6 guidelines. Target Completion Date: September 2019.
- Investigate whether payments made directly abroad for goods and services provided domestically, and which therefore are not reported under current PCF guidelines, may be the reason for the large adjustments of errors and omissions allocated under other investment. Target Completion Date: September 2019.
- Verify if the carry-over procedure of data for companies that missed to report to the PCF during certain quarters is functioning properly; identify outliers and investigate whether data were not reported. Target Completion Date: September 2019 and every reporting quarter on an ongoing basis.
- Use data sourced from the IMF to compile transactions in and positions of SDR holdings (classified as reserve assets) and allocations (classified as other investment liabilities). Target Completion Date: September 2019.
- Reclassify reserve assets invested under pooled schemes (by the BIS and the World Bank) to other reserve assets (rather than deposits, as currently classified). Target Completion Date: September 2019.

### Dissemination, Metadata, and Communication
- The mission recommended that BOZ disseminate IIP metadata with the IIP statement and maintain an up-to-date release calendar on its website.
- BOZ published IIP metadata and the IIP release calendar on its website in May 2019.
- Recommendations already implemented:
  - Disseminate annual 2015–17 and quarterly 2017–18 IIP statistics on the BOZ website (Completed in May 2019).
  - Prepare IIP metadata and disseminate it on the BOZ website (Completed in May 2019).
  - Maintain the release calendar updated, reflecting any changes in the release schedule on the website as promptly as possible.

### Other Issues and Recommendations
- Errors and omissions adjustment:
  - Investigate whether payments for goods and services provided domestically by resident direct investment enterprises are being paid directly abroad to parent or fellow enterprises and therefore not captured by current surveys.
  - Include in the survey form a question breaking down services consumption by mode of payment: paid for domestically and paid for abroad; use the amount paid for abroad for adjustment.
- Classification and compilation consistency:
  - Identify all balance components compiled based on change in positions and remove the changes that are not due to transactions.
  - Compile the integrated IIP on a quarterly basis starting from 2017.
  - Reclassify reserve assets invested under pooled schemes (by the BIS and the World Bank) to other reserve assets (rather than deposits).
  - Consider referring to “statutory foreign exchange deposits” as such rather than as “encumbered reserves”.

*Source: IMF TA mission report — IIP (End of Period - USD Millions), Zambia, March 4–15, 2019.*

### 22.      At the request of the BOZ, the mission took part in a workshop with the Zambia

### 22.      At the request of the BOZ, the mission took part in a workshop with the Zambia

### Workshop on Zambia's Social Accounts Matrix (SAM) for 2010
- Purpose: Discuss compilation of Zambia’s Social Accounts Matrix (SAM) for 2010 and whether the Bank of Zambia (BOZ) could provide balance of payments transactions data for the SAM compilation.
- Guidance provided:
  - Mission and BOZ compiler explained limitations of the balance of payments breakdown and coverage (e.g., lack of breakdown between enterprises and households) for SAM compilation.
  - Mission and BOZ provided guidance on proxy classifications based on the characteristics of Zambia’s economy and inward and outward flows.

### Officials Met During the Mission
- Dr. Denny Kalyalya — Governor — Bank of Zambia
- Dr. Francis Chipimo — Deputy Governor Operations — Bank of Zambia
- Dr. Ivan Zyuulu — Assistant Director - External Capital Flows — Bank of Zambia
- Dr. Francis Mulenga Muma — Senior Economist - External Capital Flows — Bank of Zambia
- Ms. Chisala Sofia Ngándwe — Senior Economist - Private Capital Flows — Bank of Zambia
- Ms. Mwika Mwenechanya — Senior Economist - Private Capital Flows — Bank of Zambia
- Mr. Kafula Longa — Acting Senior Economist - Balance of Payments — Bank of Zambia
- Mr. Emmanuel Chokwe — Economist - Balance of Payments — Bank of Zambia
- Mr. Wachisa SIbale — Acting Economist Balance of Payments — Bank of Zambia

### Appendix I. Preliminary IIP Statistics — Key series (Prel. Millions USD)
- NET INTERNATIONAL INVESTMENT POSITION (A-B)
  - 2015 Q4: -21.734,5
  - 2016 Q4: -24.582,4
  - 2017 Q1: -25.911,0
  - 2017 Q2: -26.861,7
  - 2017 Q3: -26.685,7
  - 2017 Q4: -27.544,2
  - 2018 Q1: -27.395,0
  - 2018 Q2: -25.976,6
  - 2018 Q3: -24.269,1

- A. ASSETS (total)
  - 2015 Q4: 6.599,0
  - 2016 Q4: 7.004,9
  - 2017 Q1: 7.162,2
  - 2017 Q2: 7.022,8
  - 2017 Q3: 6.706,9
  - 2017 Q4: 7.242,8
  - 2018 Q1: 6.676,9
  - 2018 Q2: 6.880,8
  - 2018 Q3: 7.849,2

- A.1 Direct Investment (assets)
  - 2015 Q4: 1.457,1
  - 2016 Q4: 1.697,9
  - 2017 Q1: 1.673,1
  - 2017 Q2: 1.587,2
  - 2017 Q3: 1.581,6
  - 2017 Q4: 1.638,8
  - 2018 Q1: 1.564,8
  - 2018 Q2: 1.667,9
  - 2018 Q3: 2.031,3
  - A.1.1 Equity and investment fund shares
    - 2015 Q4: 433,3; 2016 Q4: 476,4; 2017 Q1: 478,8; 2017 Q2: 539,4; 2017 Q3: 543,6; 2017 Q4: 535,7; 2018 Q1: 525,3; 2018 Q2: 525,4; 2018 Q3: 521,8
  - A.1.2 Debt instruments
    - 2015 Q4: 1.023,8; 2016 Q4: 1.221,5; 2017 Q1: 1.194,3; 2017 Q2: 1.047,7; 2017 Q3: 1.037,9; 2017 Q4: 1.103,2; 2018 Q1: 1.039,5; 2018 Q2: 1.142,5; 2018 Q3: 1.509,5

- A.2 Portfolio Investment (assets)
  - Total A.2
    - 2015 Q4: 115,8; 2016 Q4: 30,5; 2017 Q1: 48,0; 2017 Q2: 48,0; 2017 Q3: 33,8; 2017 Q4: 32,9; 2018 Q1: 45,1; 2018 Q2: 45,0; 2018 Q3: 45,0
  - A.2.1 Equity and investment fund shares: same series as A.2 totals
  - A.2.2 Debt securities: 0,0 for all periods listed

- A.3 Financial derivatives (other than reserves) and employee stock options
  - 2015 Q4: 28,7; 2016 Q4: 15,9; 2017 Q1: 19,1; 2017 Q2: 21,6; 2017 Q3: 14,9; 2017 Q4: 10,2; 2018 Q1: 10,2; 2018 Q2: 10,2; 2018 Q3: 9,6

- A.4 Other Investment (assets)
  - Total A.4
    - 2015 Q4: 2.783,3; 2016 Q4: 3.377,9; 2017 Q1: 3.547,9; 2017 Q2: 3.341,2; 2017 Q3: 3.218,0; 2017 Q4: 3.713,6; 2018 Q1: 3.486,5; 2018 Q2: 3.518,7; 2018 Q3: 4.298,7
  - A.4.1 Other equity
    - 2015 Q4: 1,9; 2016 Q4: 2,4; 2017 Q1: 2,5; 2017 Q2: 2,6; 2017 Q3: 2,5; 2017 Q4: 2,6; 2018 Q1: 2,8; 2018 Q2: 2,7; 2018 Q3: 2,2
  - A.4.2 Currency and deposits
    - 2015 Q4: 1.909,2; 2016 Q4: 2.346,1; 2017 Q1: 2.573,8; 2017 Q2: 2.387,7; 2017 Q3: 2.264,2; 2017 Q4: 2.705,1; 2018 Q1: 2.618,2; 2018 Q2: 2.645,4; 2018 Q3: 2.758,6
  - A.4.3 Loans
    - 2015 Q4: (blank); 2016 Q4: 94,3; 2017 Q1: 59,0; 2017 Q2: 59,1; 2017 Q3: 58,4; 2017 Q4: 58,4; 2018 Q1: 108,6; 2018 Q2: 65,0; 2018 Q3: 118,4
  - A.4.5 Trade credits and advances
    - 2015 Q4: 776,9; 2016 Q4: 940,5; 2017 Q1: 882,8; 2017 Q2: 863,3; 2017 Q3: 863,2; 2017 Q4: 867,3; 2018 Q1: 771,2; 2018 Q2: 776,3; 2018 Q3: 1.390,4
  - A.4.6 Other accounts receivable
    - 2015 Q4: 1,1; 2016 Q4: 29,9; 2017 Q1: 29,7; 2017 Q2: 29,2; 2017 Q3: 29,7; 2017 Q4: 29,9; 2018 Q1: 29,3; 2018 Q2: 29,3; 2018 Q3: 29,2

- A.5 Reserve Assets
  - 2015 Q4: 2.214,0; 2016 Q4: 1.882,5; 2017 Q1: 1.874,0; 2017 Q2: 2.024,9; 2017 Q3: 1.858,6; 2017 Q4: 1.847,3; 2018 Q1: 1.570,3; 2018 Q2: 1.638,9; 2018 Q3: 1.464,7

- B. LIABILITIES (total)
  - 2015 Q4: 28.333,5; 2016 Q4: 31.587,3; 2017 Q1: 33.073,1; 2017 Q2: 33.884,5; 2017 Q3: 33.392,6; 2017 Q4: 34.787,0; 2018 Q1: 34.071,9; 2018 Q2: 32.857,3; 2018 Q3: 32.118,4

- B.1 Direct Investment (liabilities)
  - Total B.1
    - 2015 Q4: 16.488,5; 2016 Q4: 18.858,8; 2017 Q1: 18.692,8; 2017 Q2: 18.813,6; 2017 Q3: 19.337,0; 2017 Q4: 19.826,9; 2018 Q1: 18.764,7; 2018 Q2: 18.137,8; 2018 Q3: 17.615,7
  - B.1.1 Equity and investment fund shares
    - 2015 Q4: 7.091,0; 2016 Q4: 7.827,8; 2017 Q1: 8.449,0; 2017 Q2: 8.361,2; 2017 Q3: 9.120,3; 2017 Q4: 8.220,8; 2018 Q1: 8.815,5; 2018 Q2: 7.837,9; 2018 Q3: 7.359,7
  - B.1.2 Debt instruments
    - 2015 Q4: 9.397,4; 2016 Q4: 11.031,1; 2017 Q1: 10.243,8; 2017 Q2: 10.452,4; 2017 Q3: 10.216,8; 2017 Q4: 11.606,1; 2018 Q1: 9.949,2; 2018 Q2: 10.299,9; 2018 Q3: 10.256,0

- B.2 Portfolio Investment (liabilities)
  - Total B.2
    - 2015 Q4: 2.595,4; 2016 Q4: 3.633,6; 2017 Q1: 3.753,7; 2017 Q2: 3.912,7; 2017 Q3: 3.995,4; 2017 Q4: 4.262,2; 2018 Q1: 4.085,6; 2018 Q2: 3.613,1; 2018 Q3: 2.961,6
  - B.2.1 Equity and investment fund shares
    - 2015 Q4: 27,0; 2016 Q4: 106,7; 2017 Q1: 60,3; 2017 Q2: 53,9; 2017 Q3: 53,8; 2017 Q4: 106,1; 2018 Q1: 75,2; 2018 Q2: 91,7; 2018 Q3: 122,3
  - B.2.2 Debt securities
    - 2015 Q4: 2.568,4; 2016 Q4: 3.526,8; 2017 Q1: 3.693,3; 2017 Q2: 3.858,8; 2017 Q3: 3.941,6; 2017 Q4: 4.156,1; 2018 Q1: 4.010,4; 2018 Q2: 3.521,4; 2018 Q3: 2.839,4
    - B.2.2.1 Government
      - same series as B.2.2 above
      - B.2.2.1.1 Issued abroad
        - 2015 Q4: 2.334,3; 2016 Q4: 2.906,0; 2017 Q1: 3.014,0; 2017 Q2: 3.083,8; 2017 Q3: 3.154,9; 2017 Q4: 3.251,3; 2018 Q1: 3.092,5; 2018 Q2: 2.634,6; 2018 Q3: 2.144,2
      - B.2.2.1.2 Non resident holdings of locally Issued Securities
        - 2015 Q4: 234,1; 2016 Q4: 620,8; 2017 Q1: 679,3; 2017 Q2: 774,9; 2017 Q3: 786,6; 2017 Q4: 904,8; 2018 Q1: 917,9; 2018 Q2: 886,8; 2018 Q3: 695,2
    - B.2.2.2 Other: 0,0 for all periods listed

- B.3 Financial derivatives (other than reserves) and employee stock options
  - 2015 Q4: 213,3; 2016 Q4: 12,6; 2017 Q1: 25,8; 2017 Q2: 35,6; 2017 Q3: 7,2; 2017 Q4: 13,8; 2018 Q1: 13,8; 2018 Q2: 13,8; 2018 Q3: 8,7

- B.4 Other Investment (liabilities)
  - Total B.4
    - 2015 Q4: 9.036,3; 2016 Q4: 9.082,3; 2017 Q1: 10.600,9; 2017 Q2: 11.122,7; 2017 Q3: 10.053,0; 2017 Q4: 10.684,1; 2018 Q1: 11.207,9; 2018 Q2: 11.092,5; 2018 Q3: 11.532,3
  - B.4.1 Other equity
    - 2015 Q4: 0,0; 2016 Q4: 197,3; 2017 Q1: 257,3; 2017 Q2: 262,7; 2017 Q3: 255,8; 2017 Q4: 233,9; 2018 Q1: 243,8; 2018 Q2: 243,9; 2018 Q3: 300,6
  - B.4.2 Currency and deposits
    - 2015 Q4: 108,0; 2016 Q4: 279,5; 2017 Q1: 400,8; 2017 Q2: 430,3; 2017 Q3: 347,9; 2017 Q4: 275,9; 2018 Q1: 325,0; 2018 Q2: 266,1; 2018 Q3: 210,6
  - B.4.3 Loans
    - 2015 Q4: 8.120,9; 2016 Q4: 7.816,7; 2017 Q1: 9.075,7; 2017 Q2: 9.640,1; 2017 Q3: 8.627,6; 2017 Q4: 9.351,1; 2018 Q1: 9.834,2; 2018 Q2: 9.701,0; 2018 Q3: 10.184,8
    - B.4.3.1 Government
      - 2015 Q4: 3.959,1; 2016 Q4: 4.185,5; 2017 Q1: 4.372,3; 2017 Q2: 4.491,8; 2017 Q3: 4.553,1; 2017 Q4: 5.957,9; 2018 Q1: 6.581,1; 2018 Q2: 6.602,7; 2018 Q3: 6.744,3
    - B.4.3.2 Other
      - 2015 Q4: 4.161,8; 2016 Q4: 3.631,2; 2017 Q1: 4.703,5; 2017 Q2: 5.148,3; 2017 Q3: 4.074,5; 2017 Q4: 3.393,2; 2018 Q1: 3.253,1; 2018 Q2: 3.098,3; 2018 Q3: 3.440,5
  - B.4.4 Insurance, pension and standardized guarantee schemes
    - 2015 Q4: 1,6; 2016 Q4: 3,5; 2017 Q1: 3,9; 2017 Q2: 3,9; 2017 Q3: 3,9; 2017 Q4: 3,9; 2018 Q1: 3,9; 2018 Q2: 3,9; 2018 Q3: 3,9
  - B.4.5 Trade credits and advances
    - 2015 Q4: 115,6; 2016 Q4: 71,8; 2017 Q1: 175,7; 2017 Q2: 83,9; 2017 Q3: 106,0; 2017 Q4: 67,9; 2018 Q1: 104,4; 2018 Q2: 205,9; 2018 Q3: 161,9
  - B.4.6 Other accounts payable
    - 2015 Q4: 39,6; 2016 Q4: 84,9; 2017 Q1: 49,5; 2017 Q2: 49,4; 2017 Q3: 49,4; 2017 Q4: 84,9; 2018 Q1: 12,7; 2018 Q2: 12,7; 2018 Q3: 12,7
  - B.4.7 Special drawing rights
    - 2015 Q4: 650,6; 2016 Q4: 628,7; 2017 Q1: 638,0; 2017 Q2: 652,4; 2017 Q3: 662,3; 2017 Q4: 666,5; 2018 Q1: 683,8; 2018 Q2: 659,1; 2018 Q3: 657,8

- Footnote:
  - 1/ Eurobonds under item B.2.2.1 Government, recorded at market value in line with IMF's Balance of Payments and International Investment Position Manual (BPM6)

### Appendix II. Implementation Status of the June 2018 TA Mission Action Plan — Selected outcomes and statuses
- Use PCF survey results to compile external loan liabilities of nonfinancial corporations in IIP statistics to avoid duplication with intercompany lending classified as direct investment.
  - Assumption/Indicator: Data sourced from PCF.
  - Target Date: July 2018
  - Completion Date: March 2019
  - Implementation Status: Completed with TA mission’s support.

- Follow up with the IDM of the MOF on provision of data on components of the change in gross public sector external debt positions and guaranteed external debt data (positions) of state-owned enterprises (SOEs).
  - Assumption/Indicator: Detailed data on public sector external debt changes available.
  - Target Date: July 2018 and then ongoing basis
  - Completion Date: January 2019
  - Implementation Status: Completed.

- Use public sector external debt data provided by the IDM of the MOF to revise IIP and balance of payments corresponding components and compile the integrated IIP statement for 2017.
  - Target Date: August 2018 and then ongoing basis
  - Completion Date: March 2019
  - Implementation Status: Completed during TA mission.

- Use in IIP and balance of payments statistics data provided by the IDM of the MOF on guaranteed external debt data (positions) of SOEs, if not collected through the PCF survey.
  - Target Date: August 2018 and then ongoing basis
  - Completion Date: January 2019
  - Implementation Status: Completed.

- Remove BOZ other short-term loan liability entries from the IIP working file as they duplicate with IMF credit and loans.
  - Target Date: July 2018
  - Completion Date: May 2018
  - Implementation Status: Completed.

- Use data sourced from the IMF to compile transactions in and positions of SDR holdings (classified as reserve assets) and allocations (classified as other investment liabilities).
  - Target Date: July 2018
  - Completion Date: Not completed.
  - Implementation Status: Not completed.

- Preliminary use of BIS locational banking statistics data on Zambian nonbanks external deposits to estimate the corresponding IIP component.
  - Target Date: July 2018
  - Completion Date: July 2018
  - Implementation Status: Completed.

- Confirm that “encumbered reserves” are encumbered assets and ensure their consistent treatment in IIP and balance of payments statistics (classified as BOZ “other investment” in the latter).
  - Target Date: August 2018
  - Completion Date: May 2018
  - Implementation Status: Completed.

- Further investigate the significant decrease in direct investment assets, debt instruments, in 2014 to validate both IIP and balance of payments records.
  - Target Date: September 2018
  - Completion Date: June 2018
  - Implementation Status: Completed.

- Examine criteria to geographically allocate national data on inward direct investment to Canada and South Africa (immediate vs. ultimate counterpart economy).
  - Target Date: December 2018
  - Completion Date: June 2018
  - Implementation Status: Completed. Companies have informed that the reporting criteria is immediate investor.

- Finalize revision and validation of selected IIP data series (particularly general government and nonfinancial corporations loan liabilities) to complete work done during the mission.
  - Target Date: August 2018
  - Completion Date: March 2019
  - Implementation Status: Completed.

- Reconcile 2017 quarterly changes in stocks by looking at transactions recorded in the financial account of the balance of payments and other changes in financial assets and liabilities.
  - Target Date: September 2018
  - Completion Date: Completed during March 2018 TA mission.
  - Implementation Status: Completed.

- Disseminate annual 2015–16 and quarterly 2017 IIP statistics on the BOZ website.
  - Target Date: December 2018
  - Completion Date: Completed following the TA mission.
  - Implementation Status: Completed.

- Compile the IIP metadata questionnaire and disseminate it on the BOZ website.
  - Target Date: December 2018
  - Completion Date: Completed following the TA mission.
  - Implementation Status: Completed.

*Source: 1zmbea2019003 - 22.      At the request of the BOZ, the mission took part in a workshop with the Zambia*

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_Source: https://www.imf.org/-/media/files/publications/cr/2019/1zmbea2019003.pdf_