Registering a Company in Zambia: Foreign Investment Rules, Steps, Costs and Chinese Chambers

Foreigners can own 100% of a company in Zambia. The law sets no general sector or regional restrictions on foreign investment, with a few exceptions: small-scale and artisanal mining rights go only to Zambians or Zambian-owned companies, and foreigners cannot own land, only lease it [1]. Companies register with the Patents and Companies Registration Agency (PACRA), foreign investors apply for an investment licence from the Zambia Development Agency (ZDA), and tax registration is with the Zambia Revenue Authority (ZRA) [1][3][4].

This page draws mainly on the 2025 edition of China’s Ministry of Commerce (MOFCOM) country guide for Zambia. Check fees and tax rates on the PACRA, ZDA and ZRA websites before you file.

Company types

Zambian companies fall into private limited companies and public limited companies. A private company needs at least two directors and shareholders and may not offer shares or debentures to the public [1].

MOFCOM lists representative offices, branches, subsidiaries and limited companies as investment vehicles, through sole ownership, joint venture or acquisition, with capital in cash, equipment or technology [1]. Traders opening shops usually register a private company limited by shares.

Foreign ownership limits and special sectors

• Mining: under the Mines and Minerals Development Act, small-scale mining rights, artisanal mining rights, gold panning permits and mineral trading permits are issued only to Zambians or Zambian-owned companies; mining rights for industrial minerals are not restricted [1].
• Land: land belongs to the state. Foreign investors can only hold 99-year leases, renewable for another 99 years, and leased land generally must be developed within five years or the government may take it back. The 2021 National Land Policy limits non-citizens to leasing or subleasing land [1].
• Telecoms: a foreign telecoms company must float 10% of its equity on the Lusaka Securities Exchange before entering the market [1].
• Sector approvals: investments in communications, banking, tourism, transport, mining, health, education, forestry and aviation also need approval from the relevant ministry [1].
• Environment: most projects outside services must submit an Environmental Project Brief or Environmental Impact Statement to the Zambia Environmental Management Agency (ZEMA) and get an approval letter before starting [1].

Registration steps

The registry is PACRA, a statutory body under the Ministry of Commerce, Trade and Industry, at PACRA House, Haile Selassie Avenue, Longacres, Lusaka [1]. Its website has downloadable forms and an online portal [2].

1. Name clearance: submit the proposed name and two alternatives online. An approved name is held for 30 days and can be extended up to 90 days [1].
2. Registration application: local companies use Companies Form 3, foreign companies Companies Form 38, business names BN Form III. Applicants must be over 18 and not bankrupt [1].
3. Local company documents: articles (if any), consent forms signed by all directors and the secretary, a statutory declaration, proof of capital (bank confirmation or asset valuation) and the fee [1].
4. Extra for foreign companies: one to nine local directors, at least one resident in Zambia; at least one document agent; a certified copy of the home-country certificate of incorporation; the constitution or articles. MOFCOM gives the foreign company registration fee as K5,560 [1].
5. Investment licence: apply to ZDA with the certificate of incorporation, proof of capital, list of shareholders and directors, bank statement, a detailed business plan and a lease or title for the premises. The ZDA board usually decides within 30 days [1].
6. Tax registration: register with ZRA for a Taxpayer Identification Number (TPIN); banks require it to open an account [1].
7. Sector and local licences: apply by sector (forestry, tourism, mining, energy, health, education, telecoms, finance), see below [1].
8. Immigration: the investor needs an Investor’s Permit and foreign staff need Employment Permits, see Zambia visa and work permits.

Since 1 January 2023 PACRA charges 1.5% of nominal value (down from 2.5%) when a company increases its authorised share capital, capped at K3,333,333 [1]. For name clearance and incorporation fees, use PACRA’s current fee schedule; the figures in the MOFCOM guide may have changed.

Selected sector licences (MOFCOM)

Mining licence fees (MOFCOM): artisanal K900 (two years), small-scale K4,500 (10 years), large-scale K48,000 (25 years) [1].

Tax basics

Local and foreign companies follow the same tax rules [1]. Late filing is penalised even for nil returns. Rates and thresholds change with each budget; check the ZRA website.

Multi-facility economic zones and Chinese parks

Multi-Facility Economic Zones (MFEZs) are set up under the ZDA Act and treat local and foreign investors equally [1]. Zone companies get [1]:

• accelerated depreciation in the early years;
• five years’ duty-free import of raw materials, capital goods and machinery;
• zero-rated VAT on imported machinery for zone construction.

Parks most relevant to Chinese firms:

• Zambia-China Economic and Trade Cooperation Zone (ZCCZ): set up in 2007, China’s first overseas trade zone in Africa and Zambia’s first MFEZ, developed by China Nonferrous Metal Mining (CNMC). It has two parks: Chambishi in the Copperbelt (11.58 km², non-ferrous metals, with Zambia’s largest bonded warehouse) and Lusaka (5.7 km², light industry, textiles, appliances, logistics, food processing). As of March 2025 it hosted 90 companies, 68 in Chambishi and 22 in Lusaka [1].
• Zambia Jiangxi Economic Cooperation Zone: US$80 million from seven Jiangxi state firms, construction started May 2019, launched October 2023, about 80 km north of Lusaka [1].
• CNBM Zambia Industrial Park: 19 km south-east of Lusaka, in production since July 2018, making cement, aggregates, concrete and fired bricks [1].
• Others: Lusaka South MFEZ, Lusaka East MFEZ, Kalumbila MFEZ and Roma Park Industrial Park [1].

To locate in a zone, contact the Zambia Development Agency or the zone operator. Foreign staff in zones still need work permits; see Zambia work permits.

Bank accounts and foreign exchange

Since 1 July 2019 Zambian banks require a ZRA TPIN to open any account. A company account usually needs the certificate of incorporation, articles, share certificate, company profile, IDs and passport photos of shareholders, directors and signatories, address details, an application and a board resolution [1].

Bank of China (Zambia), set up in 1997, has branches in Lusaka and Kitwe and exchanges renminbi and kwacha directly [1]. Foreign individuals opening a personal account also need a copy of their Zambian residence permit [1]. Foreign exchange rules (MOFCOM): all cross-border transactions are declared through banks; foreign cash withdrawals are capped at US$5,000 a day; foreign cash deposits are capped at US$20,000 a day for individuals and US$100,000 for companies; carrying more than US$5,000 in foreign cash across the border must be declared [1].

Labour rules

Zambian labour law is strict on foreign staff: foreigners may be hired only for posts on the Critical Skills list, and breaches carry a fine of up to 300,000 penalty units or up to three years in prison [1]. For local staff, employers must provide some form of housing benefit and there are statutory transport allowances. Minimum wages for shop workers, guards, drivers and similar jobs were revised in November 2024; for example, a grade-one security guard earns a basic K1,801.98 a month, or K2,722.57 with allowances [1]. In workplaces with more than 25 employees, a union can register and sign a recognition agreement [1].

Chinese chambers and the embassy commercial office

• China Chamber of Commerce in Zambia: founded in 2005, works under the guidance of the embassy’s economic and commercial office; 73 member companies as of April 2024 in mining, construction, finance, manufacturing, telecoms, farming and media. Address: 30A Kudu Road, Kabulonga, Lusaka; tel. 00260-963-075763 (per MOFCOM) [1].
• Other associations: Zambia Chinese General Chamber of Commerce, Association of Chinese Mining Enterprises in Zambia, Zhejiang Chamber of Commerce and more [1]; see the Chinese community in Zambia.
• Economic and Commercial Office of the Chinese Embassy: No. 7430 United Nations Avenue, Longacres, Lusaka; zm@mofcom.gov.cn; zm.mofcom.gov.cn [1][5].

Common pitfalls

• Slow approvals: MOFCOM notes complex procedures, long approval times and corruption in some departments. Do not pay bribes to speed things up [1].
• Work permits: permits for foreign staff usually take two to six months, so build this into project schedules [1].
• Currency: the kwacha’s average rate against the dollar fell 31.8% from 2023 to 2024; on 31 March 2025 it was about K28.19 per US$ [1]. Price contracts with exchange risk in mind.
• Power: the severe 2024 drought caused widespread power cuts, easing after the 2025 rains [1]. Factories should have backup power.
• Land: foreigners cannot own land; check whether a plot is state land or customary land under a chief before signing a lease [1].
• Security: several armed robberies hit Chinese companies and farms in the Copperbelt in 2025; see Zambia safety.

For a country overview see the Zambia guide for Chinese residents, and for neighbouring countries the Southern Africa guide.

References

1. Country Guide for Outbound Investment and Cooperation: Zambia (2025 edition) (MOFCOM, 2025)
2. Patents and Companies Registration Agency (PACRA) (PACRA, 2025)
3. Zambia Development Agency (Zambia Development Agency, 2025)
4. Zambia Revenue Authority (Zambia Revenue Authority, 2025)
5. Contact details of the Chinese Embassy in Zambia (Chinese Embassy in Zambia, 2024)