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Participants pose for a photo with the Ministry of Small and Medium Enterprise Development Permanent Secretary Subeta Mutelo, Jito Kayumba, Special Advisor to the President: Presidential Delivery Unit and UNDP Zambia staff.
Lusaka, Zambia – December 1, 2024 – The United Nations Development Programme (UNDP) is proud to announce the commencement of the Supplier Development Methodology Training and Accreditation under the Strengthening Productive Capacities of Micro, Small & Medium Enterprises (MSMEs) through a Supplier Development Programme. This initiative is a pivotal step towards enhancing Zambia’s economic growth through stronger linkages between Micro, Small, and Medium Enterprises (MSMEs) and large enterprises, fostering inclusivity, competitiveness, and sustainable development.
In support of UNDP’s development mandate, the country office is implementing the Strengthening Productive Capacities of Micro, Small & Medium Enterprises (MSMEs) Programme in collaboration with the Government of Zambia, through the Ministry of Small and Medium Enterprise Development as a key partner. This private sector-led initiative places a strong emphasis on building productive capacities and enhancing economic opportunities for MSMEs.
The five-day Methodology Training and Accreditation, aimed to build capacities of National Business Consultants, is a key component of the Programme. It focuses on transforming business relationships between lead companies and suppliers, building mutually beneficial partnerships, improving competitiveness, promoting quality employment, and expanding national supplier bases to boost productivity across industries.
To facilitate implementation of the methodology, the country office under the Inclusive and Sustainable Growth Unit partnered with the Regional Bureau for Latin America and the Caribbean (RBLAC) to conduct a pilot intervention tailored to Zambia’s context. This includes capacity-building activities and buyer engagement workshops. During these missions, technical experts from RBLAC and other partners will conduct in-person training sessions, provide technical support, and engage with buyers and business associations.
UNDP Resident Representative James Wakiaga, in a speech read on his behalf by Economic Advisor Ojijo Odhiambo, highlighted the Programme’s private sector-led approach. Mr. Wakiaga emphasized that the Programme aims to create demand-based and market-driven opportunities for MSMEs to increase their competitiveness through the innovative Supplier Development Methodology (SDM) while connecting them to national, regional, and global value chains.
“This private sector-led programme is designed to enhance the productive capacities of MSMEs by linking them to key value chains and creating opportunities for sustainable economic growth. The objectives of the Programme are consistent with Zambia’s Eighth National Development Plan, which prioritizes economic transformation and job creation through industrialization with a focus on value addition in key sectors such as agriculture, mining, manufacturing, transport and logistics, and tourism,” said Mr. Wakiaga.
The SDP methodology, first pioneered in Mexico in 2008, has been adapted globally to address gaps in supply chains, improve market positioning for MSMEs, and encourage collaboration between public, private, and civil society actors. Zambia’s implementation aligns with the country’s National Local Content Strategy (2018–2022) and the objectives of the Eighth National Development Plan (8NDP), promoting industrialization and economic diversification.
Despite Zambia’s immense potential in mining, agriculture, construction, and tourism, poverty rates have risen to 60% in 2022, with unemployment persistently high. The SDP seeks to address these challenges by strengthening business relationships between local MSMEs and transnational corporations, promoting the transfer of knowledge and skills to enhance competitiveness, and building value chains in strategic growth sectors like mining, construction, and industrial minerals.
Ministry of Small and Medium Enterprise Development Permanent Secretary Ms. Subeta Mutelo, said in a speech that the role of MSMEs and cooperatives is crucial in driving economic development across the globe. In Zambia, MSMEs play a pivotal role in enhancing local value chains and creating employment.
“Among the sectors targeted in this programme are the mining and agriculture sectors, which are some of the prioritized sectors in our 8th National Development Plan. These sectors not only provide jobs but also contribute significantly to our exports and ensure food security. However, these sectors face unique challenges, from market fluctuations to resource availability, and so it is imperative that we equip ourselves with the right tools and knowledge to navigate these complexities,” said Ms. Mutelo.
Also speaking at the workshop, Jito Kayumba, Special Advisor to the President: Presidential Delivery Unit said that the President’s Office has been very passionate about MSMEs due to the significant investment in the mining sector and the pressing need to ensure that Zambians are included in the sector’s growth.
This initiative underscores UNDP’s commitment to fostering inclusive economic growth by integrating MSMEs into regional and global value chains. Through its private sector-led approach, the Programme strengthens local businesses and promotes sustainable practices to contribute meaningfully to Zambia’s industrialization and poverty reduction goals. The second session is now under way, with the third session coming up in March.
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For more information and media interviews, contact:
Communications Analyst - Mercy Khozi; mercy.khozi@undp.org; +260211386200
Programme Analyst - Muma Bwalya Munansangu; muma.bwalya@undp.org +260211386200
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