Zambia targets GDP growth above 6.3 pct in 2010-Banda

By Chris Mfula

LUSAKA Dec 31 (Reuters) - Zambia, Africa's largest copper producer, will target growth in 2010 above the 6.3 percent expansion forecast for this year, President Rupiah Banda said on Thursday.

In October, the Central Statistical Office said the economy was expected to grow by 6.3 percent in 2009, driven by strong growth in the agriculture, mining, construction and other sectors. [ID:nJAT006516]

"This year we expect a growth rate of 6.3 percent in our economy. Next year we expect even stronger growth in the economy," Banda said in a statement on Thursday.

He said Zambia, whose inflation rate slowed into single digits in December for the first time in 21 months at 9.9 percent year-on-year, was already winning the battle against the economic downturn and price pressures.

"We still have a challenge to ensure that the current growth is broad-based and translates into significant improvement in the living standards of our people," Banda said.

"The price stability that we have continued to enjoy in the form of a declining inflation rate and a stable exchange rate means that the hard earned incomes and earnings of our people will continue to have value."

One of Zambia's priorities in 2010 would be to promote employment creation through sustained growth and diversification from mining to agriculture and tourism, Banda said.

Zambia would continue to develop infrastructure and simplify business regulation framework to boost competitiveness, he said. (Reporting By Chris Mfula; Editing by Ruth Pitchford)