Switzerland has joined the United States in reevaluating its foreign aid investments, announcing an end to development programs in three nations.
- The Swiss government will reduce funding for foreign aid, impacting various aspects of international cooperation
- Switzerland is ending development programs in three nations including Zambia, as part of budget cuts
- Humanitarian aid, peacebuilding efforts, and support for Ukraine will remain unaffected by the budget cuts
This move follows a decision by the Swiss parliament in December to reduce funding for foreign aid, allocating slightly less than what the government had requested.
The Federal Council, Switzerland’s executive body, was notified of the budget cuts on Wednesday, which will impact various aspects of international cooperation, including bilateral, economic, and thematic cooperation, as well as multilateral organizations.
DON’T MISS THIS: Zambia sets its sight on its mining industry for an economic recovery
According to Swissinfo, the budget cuts amount to CHF110 million ($121 million) from the 2025 international cooperation budget and CHF321 million from the financial plan for 2026 to 2028.
These reductions reflect a shift in Switzerland’s approach to foreign aid, aligning with the country’s efforts to optimize its international cooperation investments.
Following a reduction in funding, the Swiss Agency for Development and Cooperation (SDC)—responsible for coordinating development activities, cooperation with Eastern Europe, and Swiss humanitarian aid—will conclude its bilateral development programs in Albania, Bangladesh, and Zambia by the end of 2028.
The statement added that from now until 2028, there will be significant cuts to country-specific and thematic programs, as well as partner organizations.
However, humanitarian aid, peacebuilding efforts, and support for Ukraine will remain unaffected.
Swiss-Zambia relationship
Switzerland is investing significantly in Zambia’s development, with approximately CHF 3.5 million contributed annually to around a dozen projects.
A notable initiative is the bilateral Swiss Cooperation Programme launched in 2023, worth USD 50 million, which focuses on crucial areas like food security, healthcare, social protection, climate change, and governance.¹
The Swiss Agency for Development and Cooperation (SDC) is also active in Zambia, operating a regional program for Southern Africa, with Zambia and Zimbabwe being priority countries under the SDC’s new program launched in 2023.
DON’T MISS THIS: Switzerland’s growing relationship with Sub-Saharan Africa – An interview with Philipp Stalder
In terms of trade, the bilateral relationship between Switzerland and Zambia is relatively limited.
Switzerland mainly imports precious metals and agricultural products from Zambia, while exporting pharmaceuticals and machinery.
Interestingly, Switzerland has a significant presence in Zambia’s copper sector, with companies like Glencore playing a major role in the country’s mining industry.
