11/08/2026
LUSAKA SOUTH MFEZ: ZAMBIA’S INDUSTRIAL CITY TAKING SHAPE
Lusaka South Multi-Facility Economic Zone (LS-MFEZ) is becoming one of Zambia’s most important industrial developments.
Located in Lusaka South and covering about 2,100 hectares, the zone was established in 2010 as Zambia’s first state-owned economic zone. Its master plan is broader than a conventional industrial park: it is designed as a mixed-use development combining industry with commercial, residential, research and institutional activities.
The latest figures presented by the LS-MFEZ to the UN Economic Commission for Africa show the scale of the development: 143 companies have been approved, 31 are operational, 17 are under construction, and about 12,500 jobs have been created. If all approved companies become operational, employment is projected to rise to around 35,000. The zone has attracted approximately US$1.59 billion in investment.
Investment is still coming in. LS-MFEZ announced that its board approved another US$100 million in new investments during the first half of 2026, covering activities including oil marketing, bicycle assembly, fertiliser blending, packaging, home-care products and other manufacturing.
The zone is also part of a wider industrial corridor south of Lusaka. Nearby, the Golden Baobab MFEZ in Kafue is being developed with a projected US$300 million investment and more than 2,000 jobs over five years. In April 2026, the Zambia Development Agency handed over 13 permits for investments worth US$195 million at Golden Baobab, with 7,800 jobs projected from those investments.
Housing is another major part of the LS-MFEZ vision. The National Housing Authority and Ongos Valley Development are working on a project for 10,000 housing units, with the first 2,000 units planned as the initial phase.
There are, however, a few claims from the original article that needed correction. The commonly quoted 600MW figure should not be described as a dedicated 600MW LS-MFEZ substation, and the zone should not be described as having an installed 80MW solar system without qualification. Historical ZESCO records refer to a 150MVA LS-MFEZ substation and two solar projects with an aggregate capacity of just under 80MW. The original article also understated the planned housing programme: the current official housing information refers to 10,000 units, with 2,000 in the first phase.
For Zambia, the significance is bigger than factories alone. LS-MFEZ is intended to support manufacturing, value addition, jobs, technology transfer and economic diversification. If the planned investments and supporting infrastructure continue to materialise, Lusaka South could become a major industrial and residential hub — quite literally a city within a city.