Site Summary LUSAKA, ZAMBIA. The World s Trusted Source for Workforce Globalization. The World s Trusted Source for Workforce Globalization
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1 2014 EXPAT TAX SUMMARY Angola Site Summary LUSAKA, ZAMBIA The World s Trusted Source for Workforce Globalization The World s Trusted Source for Workforce Globalization 6
2 Site Summary LUSAKA, ZAMBIA ORIENTATION, CLIMATE, AND ACCESS The Republic of Zambia is located in southern Africa. As a landlocked country, it has many neighbors: Angola to the west; the Democratic Republic of the Congo and Tanzania to the north; Malawi to the east; and Mozambique, Zimbabwe, Botswana, and Namibia to the south. With two million inhabitants, Lusaka is not only the capital of Zambia but also its largest city and its economic and political center. More than seventy languages are spoken in Zambia, and most of the local population speaks one or more of four indigenous languages (Nyanja and Bemba in particular). The only official language is English, and there should be no communication issues for English-speaking assignees. The official currency is the kwacha (ZMW), which was rebased in The currency kept the same name, but its ISO code was changed from ZMK to ZMW, and prices changed from 1000 ZMK to 1 ZMW. Banks and exchange counters are not widely available in Lusaka. They can be found in the biggest shopping and commercial areas, but because of the cash-only nature of the economy, there are almost always long queues at the state bank and in front of ATMs. Credit cards are accepted in the supermarkets as well as in the larger stores in the malls, but rarely elsewhere. Pre-paid mobile phone credits are often used as a means of payment for utility services and some government services. At an altitude of 1300 m (4265 ft.) above sea level, Lusaka enjoys a warm subtropical climate yearround rather than the tropical climate that characterizes many other parts of the region. There are three distinct seasons. November to April is wet, with warm temperatures and high humidity. April to August is dry and cool, but temperatures still climb into the mid-20s C (70s F) during the day. August to November is dry and very hot, with high temperatures easily passing 35 C (95 F). Long queue at an outdoor ATM Lusaka Kenneth Kaunda Airport is located about thirty minutes by car from Lusaka s central district, but the same drive can take up to two hours during rush hour. Lusaka is directly connected to only a few major airports, including Johannesburg, Amsterdam, and Dubai, so few expatriates enjoy a direct flight to their home locations. There is a taxi stand in front of the airport, and many hotels offer a shuttle service that needs to be prearranged. Since taxis are not metered, it is common to negotiate the rate beforehand. GETTING AROUND Owing to the stream of rural migrants who move to Lusaka in search of better jobs, Lusaka is one of the fastest growing cities in southern Africa. Because this growth has been taking place without enough accompanying improvement in infrastructure, traffic The World s Trusted Source for Workforce Globalization 1
3 is heavy every day. Expatriates travel by car exclusively, and they typically drive themselves rather than hiring a driver. The public transportation system is unreliable and unsafe, although public taxis are available and generally safe to use if they are prearranged. While most of the main roads are paved and of decent quality, there are many more unpaved roads, making an SUV standard issue for most expatriates. Road signage exists on some of the more major avenues, but it is largely absent on smaller roads. Streets are often unlabeled, and most people orient themselves to landmarks rather than street names or numbers. Example of a local mini-bus. Expatriates drive themselves in Lusaka. It is safe for expatriates to walk around in some areas of Lusaka, but only during the day. Some streets have sidewalks in varying degrees of repair, but most do not. Pedestrian street crossings are signed, but unless there is a traffic light, it can be a long wait before a car stops to let a pedestrian cross. Pedestrians should also expect moderate levels of harassment from street vendors. SHOPPING AND AVAILABILITY AIRINC s survey revealed good availability for most goods and services, with some notable exceptions. The majority of outlets in Lusaka are located along the Great East Road and the Cairo Road, within a short commute from prime expatriate neighborhoods. The biggest and best shopping malls in the city are Arcades, Mandahill, and Levy Junction (the newest mall), and there is a great deal of overlap with chain stores found in South Africa. The malls are open seven days a week, with shorter hours on Sunday. The biggest supermarkets in Lusaka are Spar in the Arcades Mall and Shoprite in the Mandahill Mall. There is also a Pick n Pay in Levy Junction. The markets are well stocked with international brands, and there s no need to visit more than one market for basic grocery needs. The availability and quality of fresh vegetables and fruits are good, but they do vary across stores. Meat products are available and of good quality in both fresh and frozen cuts, but the availability of fish is very limited. Prices are clearly marked, and markets are well-maintained. Shops at the Mandahill Mall Levy Junction Mall There is moderate availability for dining options in Lusaka. It is possible to find international chain restaurants such as KFC, Steers, Debonair s Pizza, and Nando s, but fine dining is generally limited to hotels. Most options for dining out are in the malls, but there are also some near the embassies and in prime expatriate living areas. The availability of casual clothing is good, but assignees must buy office clothing (i.e., good quality suits) during home leave or vacation, since the availability of targeted international brands is limited or non-existent. Levy Junction has the best clothing The World s Trusted Source for Workforce Globalization 2
4 options and is home to international stores like Levi s and the department store Edgars. Textiles of moderate quality can be purchased in Woolworth s and Edgars. The best available furniture outlets, including OK Furniture and Carnival Furniture, can be found at the Mandahill Mall, and the same is true for appliances and electronics at Game and Hi-Fi Corp. In general, the quality of the furnishings is acceptable, but there is limited variety. International brands of electronics, on the other hand, are readily available. There are several dry cleaners outside hotels, but many hotels, including the Intercontinental and the Taj Pamodzi, offer laundry services to non-hotel guests. It is possible to find outlets for personal care services like haircuts at some of the hotels and within the main shopping malls, but few are of good quality. Selection of fresh produce at Shoprite Fixed line telephone services exist, but connections are unreliable, so it is more practical to use mobile phones. Internet connectivity is good, and there are several speed options, but new connections and repairs can take a long time. There is no cable TV provider in Lusaka, but Multichoice and GoTV provide satellite TV. Each of the malls has a cinema screening new releases, and it is possible to find Blu-Ray movies in a limited selection. International magazines like the Economist and Vogue are available, but in English only. Other entertainment outlets are limited to hotel fitness centers, a golf club, and the facilities within some housing compounds. MEDICAL As a subtropical country, Zambia struggles with the problems caused by malaria, although the threat of getting infected with malaria in Lusaka city is very minimal. HIV infection rates among adults, along with maternal and child death rates, are among the highest in the region. Public health services in Zambia are underfinanced and overcrowded, with one doctor per ten thousand people. Although medical services in Lusaka are the best in Zambia, they fall well below the level of care found in Western Europe and North America. There are several clinics and hospitals that can provide emergency services and very basic care, but local facilities and services are not equipped with adequate technology or the medical staff to deal with serious or specialized procedures. It is common for wealthy Zambians, as well as expatriates, to go to South Africa for both routine and serious medical care. The most common medical service providers for international assignees are Corpmed Clinic, CFB Medical Centre, and Lusaka University Teaching Hospital. Dental services in Lusaka are acceptable for basic care, but more elaborate procedures like periodontal work and crowns should be performed outside Zambia. There are several pharmacies in the city that have a good selection of international and generic brands of prescription and non-prescription medication. The availability of The World s Trusted Source for Workforce Globalization 3
5 non-prescription medication outside pharmacies is very limited. SECURITY Security is a concern in Lusaka, but to a lesser extent than in many neighboring countries. Normal security precautions are sufficient during the day, but foreigners are seen as lucrative and are disproportionately targeted. Petty theft is the most common crime, but car-jackings and home break-ins also occur. Free-standing homes have alarm systems, high walls, and gates, and twenty-four hour security guards are common. Compound housing and apartments also include stringent security features, including around the clock guards. HOUSING Most high value residential areas are located the east of the city center. Kabulonga the most popular expatriate area mostly features stand-alone houses with big lot sizes (3000 m 2, or 32,292 ft. 2 ), as well as some cluster developments of individual or terraced housing. It is also one of the neighborhoods closest to American International School. Also popular with expatriates are Sunningdale and Woodlands, the latter being preferred for diplomats residences due to its close proximity to the embassies. The International School of Lusaka and the Italian School are both located in Rhodes Park, and the French School is nearby. Due to frequent power outages, back-up generators are a must for all houses (pictured here at Game Store) There are three types of accommodations available in Lusaka stand-alone houses, compounds (usually two-story houses with three or more bedrooms, located within a gated perimeter), and apartment buildings. The supply of apartments has increased in recent years, since they are considered to be a more profitable investment and a better use of the limited land available in expatriate areas. Most construction for single family homes and townhouses in the last few years has taken place further outside the wellestablished areas; houses in the traditional expatriate areas are older and are not always well-maintained. The most typical unit size is three bedrooms for both apartments and houses. The availability of one bedroom apartments is very scarce to non-existent. Houses and apartments are typically rented unfurnished. Unfurnished units typically include lighting fixtures, a fitted kitchen, and air conditioning. EDUCATION There are several options for schooling in Lusaka. Most international schools follow their home country curriculum, with the International School of Lusaka and the American International School offering the only International Baccalaureate programs The World s Trusted Source for Workforce Globalization 4
6 in the city. There are also French, Italian, and Chinese international schools. Rhodes Park School is not really an international school, but it has a multinational student population and is preferred by children of Angolan, Nigerian, and South African assignees. The World s Trusted Source for Workforce Globalization 5
7 2014, Associates for International Research, Inc. All rights reserved. Commercially reasonable care was taken in compiling this publication to ensure that the information it contained was correct at the time compiled; however, the publishers make no express or implied warranties with respect to the information provided and accept no liability for any inaccuracies. AIRINC does not grant any license or other permission for the content contained within this publication to be (a) reproduced, disseminated, or otherwise used by any person or entity other than the purchasing company or organization without AIRINC s express written consent, or (b) used for commercial purposes at any time. The World s Trusted Source for Workforce Globalization OFFICES AMERICAS Cambridge, MA (Global Headquarters) United States of America T EMEA Brussels, Belgium T +32 (0) Munich, Germany T Amsterdam, The Netherlands T +31 (0) London, United Kingdom T +44 (0) APAC Hong Kong T The World s Trusted Source for Workforce Globalization 6
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