Zambia’s Constituency Development Fund (CDF) is a financial mechanism designed to support community development by providing resources directly to local authorities (LAs). Established in 1995, the CDF aims to address local needs through targeted investments in infrastructure, social services, bursaries, and economic empowerment opportunities. Zambia's CDF is a key instrument in the government's decentralisation agenda, which seeks to devolve financial and decision-making powers from central to local governments.
The CDF has seen unprecedented increases in allocations under the "New Dawn" government. From ZMW 1.6 million per constituency in 2021, the allocation rose to ZMW 25.7 million in 2022, further increasing to ZMW 30.8 million per constituency in 2024. This reflects a substantial shift toward fiscal decentralisation, providing constituencies with significant resources for local projects such as water supply systems, health clinics, and school facilities.
The 2024 CDF Act redefined the roles of Constituency Development Fund Committees (CDFCs) and introduced Provincial Constituency Development Fund Committees to streamline project approvals at the provincial level, reducing delays caused by central government oversight. These efforts are part of the Government’s broader efforts to decentralise decision-making to boost development, reduce poverty, and create economic opportunities for disadvantaged and marginalised populations. However, with a larger budget and broader scope, ensuring the efficient and accountable implementation of the CDF is crucial. Leveraging data-driven insights can help assess how effectively these funds are utilised to achieve their intended impact.
Leveraging data to inform and evaluate the expanding Constituency Development Fund
To support this effort, the Ministry of Local Government and Rural Development (MLGRD) has partnered with the International Growth Centre (IGC) and Stanford University in a learning partnership to evaluate strategies for maximising the implementation and impact of community projects under the CDF. Through a field experiment across 72 rural local authorities, the study will assess whether granting local governments greater autonomy over project approval and increasing procurement threshold limits lead to faster implementation while maintaining quality and minimising leakages. Additionally, the research will examine whether the advance announcement of performance audits can enhance accountability and mitigate risks associated with increased decentralisation.
By embedding data-driven accountability mechanisms, this study aims to provide policymakers with critical insights into optimising Zambia’s CDF implementation. Strengthening local governance through evidence-based decision-making ensures that decentralisation translates into real development gains for communities. As Zambia continues to expand fiscal decentralisation, partnerships between government and research institutions will be key to refining policies that drive inclusive and sustainable development.
A pilot survey to understand local development projects in Zambia
In 2022, a survey to evaluate the implementation of CDF projects across Zambia was launched. Data was collected from 30 out of 116 LAs spanning the nation’s ten provinces, with a follow-up survey conducted in 2023. This initiative sought to uncover how local governments manage CDF projects, focusing on key stages such as proposal development, approvals, procurement, contract management, and project completion.
Figure 1: Sample of LAs reached in the pilot survey
Notes: Pilot survey involving 30 (out of 116) LAs to see how local governments manage CDF projects. Source: Figure generated by the authors.
The survey targeted community development projects across critical sectors, including education, water and sanitation, healthcare, and transportation. It revealed the average project completion times while identifying delays and areas for improvement within the CDF project cycle.
Low project completion rates Survey findings indicate a low project completion rate across LAs. The journey from proposal inception to project completion is fraught with challenges. The survey revealed that out of 482 community development projects initiated by 30 LAs in 2023, only 6.2% were completed by mid-November 2023. This echoes a trend observed in 2022, where 20 LAs initiated 818 projects and achieved a completion rate of only 52.1% after 22 months.
These project completion rates mask substantial variation in LA performance. While some LAs achieved a 94% project completion rate, others recorded 0%. This differential in project completion rates may exacerbate Zambia’s already significant spatial inequalities. For instance, in 2022, poverty rates ranged from 27% in Lusaka Province to as high as 78.65% in the Western Province.
Key barriers to project completion and efficient local public service delivery
LAs identified the following key barriers to project completion:
Tedious procurement processes
Lack of physical infrastructure
Capacity constraints
Delays in centralised project approvals
1. Tedious procurement processes
For large projects, LAs are required to conduct an open bidding process. This significantly delays service delivery, with procurement delays averaging 29 days, affecting 54.8% of LAs. Procurement delays for open contracts increased from 20.5 days in 2022 to 26.5 days in 2023, while contracted procurement delays improved from 16.6 days in 2022 to 13.5 days in 2023.
Challenges include the disempowerment of local contractors, the absence of government procurement officials, and staggered fund disbursements. Additionally, local officials struggle with the electronic government procurement system, highlighting the need for enhanced training and orientation to improve efficiency.
2. Lack of physical infrastructure
Contractors in remote districts face challenges in transporting materials, exacerbating delays. Local officials suggest prioritising investments in road infrastructure and sourcing materials from local suppliers. These challenges intensify during the rainy season (mid-November to April) and are further complicated by climate-change-induced flooding in some areas. Future project planning should account for these infrastructural limitations to ensure timely execution.
3. Capacity constraints
Many contractors lack the technical expertise to complete projects efficiently. Local firms require greater government support to qualify for and complete projects successfully.
Additionally, extended preparation periods within LAs and prolonged review processes by central agencies such as the Ministry of Justice and the Ministry of Finance and National Planning (MoFNP) contribute to bureaucratic delays. There is a need to identify specific weaknesses in project proposals and provide targeted capacity-building support. Notably, members of the CDFCs responsible for project selection tend to be more educated than Ward Development Councils (WDCs), which submit project proposals. However, both councils often lack adequate representation in terms of age and gender, and many localities report missing council members.
4. Delays in centralised project approvals
A significant barrier to efficient public service delivery is the delay in obtaining contract approvals from the centralised Attorney General (AG) office. In 2023, AG approvals were delayed by an average of 12.5 days, up from 10.1 days in 2022, affecting 32.2% of local authorities.
While the decentralisation effort has led to the establishment of provincial-level AG offices, respondents noted these offices remain understaffed and still rely on the office in Lusaka for final approvals. Addressing these bureaucratic hurdles will enhance timely project execution and improve local service delivery.
Figure 2: Leads to long project cycles (median days)
Notes: LAs reported that the lengthy approval processes along the CDF project cycle lead to delays in proposal approval, project procurement and completion. Source: Figure generated by the authors.
Understanding a changing administrative landscape
To address these barriers, the research team continues to collaborate with the Ministry of Local Government and Rural Development and other stakeholders such as the Zambia Public Procurement Authority (ZPPA), MoFNP focusing on streamlining procurement processes, enhancing capacity-building initiatives, and expediting approval timelines. Further piloting at the LA level will provide up-to-date data on project cycles, inform capacity-building plans, and assess the impact of decentralising AG functions, ensuring a more responsive and efficient local governance framework. By refining these processes, Zambia can strengthen its decentralisation agenda, enhance service delivery outcomes, and drive inclusive economic growth, ultimately improving the quality of life for citizens across the country.