economic performance in 2011. real gdp is projected to grow by at least 6. 8 percent and will continue to be driven by strong performance in the agricultural, mining, construction and tourism sectors. this will be aided by anticipated strong performance in the external sector, already reflected by favourable performance in the first half of the year. inflation is expected to slow down to 7. 0 percent by end of 2011. the bumper harvest recorded during the 2010 / 11 harvest season is expected to dampen effects on overall inflation through the food component. in the mining sector, copper production is expected to increase due to continued investments in the mining sector. in addition, the major infrastructure projects currently taking place are expected to support growth in the construction sector. as the global economy continues to recover from effects of the global economic crisis, growth in tourism is also expected in 2011. the positive developments recorded in the zambian economy thus far will go a long way is shaping tomorrow ’ s future. this should trickle down to all sectors of the economy and raise employment and income opportunities for zambians, and therefore be lifted the majority of people out of poverty. bis central bankers ’ speeches implications of reclassification of zambia to middle income status effective july 1, 2011, zambia has been reclassified by the world bank as a lower middle income nation. lower middle - income countries are those with per capita gross national incomes ( gnis ) of between us $ 1, 006 and us $ 3, 975 per year ; while upper middle - income countries are those with gnis between us $ 3, 976 and us $ 12, 275. this status reflects the continued economic growth that has been registered in the recent years. zambia ’ s reclassification as a middle income country would enhance investor confidence and further boost the investment climate thereby creating jobs and wealth for the people. in terms of financing, it should be noted that with the new arrangement, the government would be able to access more non concessional financing which remain key for infrastructure development necessary for economic development. this is in contrast with the previous status whereby zambia could only access limited concessional financing which attracted very low interest rates and payable after a long time. despite the positive reclassification, it should be noted that the disparity between the poor and the rich would always be there and do exist even in developed countries. the challenge for the government is to implement policies that will redistribute wealth so that inequality is reduced. nevertheless, with reclassification

##fold. first, i believe that you should encourage honest disclosure from government entities on their degree of preparedness and the general outline of contingency plans that they are making. also, regulators should use the weight of regulatory control to encourage regulated entities to engage in voluntary self - disclosure. if you represent the media, you have a special obligation to engage in balanced and accurate reportage, not attempting to hide important facts, but not seeking the most sensational coverage. a broad synthesis that captures facts, not drama, is probably most useful. finally, all of us as members of the public have an obligation to listen to the most responsible voices. we should recall that in times of uncertainty, many views are expressed ; only the most factually accurate deserve our attention.