Zambia pushes back against $1.5 billion US health aid deal linked to mining access

The government of Zambia is pushing back on part of a deal which involves more than $1 billion in health aid from the US.

The agreement also requires a reported $340 million in co-financing from Zambia over a period of five years, according to a draft reviewed by Reuters.

The news agency quotes the government of the southern African country citing the reason for the pushback that it does not align with their interests, as "health advocates warned the deal links the money to mining access and has data-sharing risks".

The funding is aimed at tackling conditions like HIV and malaria, as well as disease outbreak preparedness and maternal and child health over the five-year period.

More than 600,000 malaria deaths occur annually on the continent, and most are children under five years of age.

The European Aids Treatment Group (EATG) reported a US government announcement in December last year that the money would not be released until terms were set for “collaboration in the mining sector” and business sector reforms.

Africa business specialist Rutendo Hwindingwi reports that Zimbabwe has taken a similar hard line with health funding from Washington.

"As we know, USAID has pulled out of Africa, and America has come back with these package deals where they say, look we'll give you something and you give something in return. Zambia is saying 'hang on, you're wanting too much with regards to data and to our minerals', so it's become a negotiating point."

While Zambia certainly needs the aid, the trade-off becomes the issue, Hwindingwi says.

"Nigeria and Uganda had a similar deal and they signed off. Kenya and Zimbabwe are two other players who also pulled back... I just hope that at the end of the day a solution is found because the need is real from a health perspective."

Scroll up to the audio player to listen to Africa Business Focus (Zambia discussion at 5:41)