(Ecofin Agency) - Zambia is planning to sign with China, investment and loans agreements of up to 1 billion dollars, at the 6th Forum on Sino-Africa Cooperation (FOCAC) which will be held from 2 December to 5 December at Johannesburg, Reuters reported, citing the spokesman of Zambian president, Amos Chanda.

The agreements include infrastructure projects such as roads, railways, power plants as well as investments in the agricultural sector, and the construction of two modern hospitals, the same source revealed. "The total amount of these agreements is expected to exceed the billion dollars," said Mr. Chanda.

The Zambian economy is highly affected by power shortages and the fall in prices of copper prices resulting from the decline of Chinese demand. The Zambian government has on multiple occasions scaled down it growth forecast this year. It is now at 4.6% against an initial estimate of 7% which was announced at the 2015 budget presentation.

During the past decade, Chinese companies have invested heavily in Zambia in the mining, agriculture, industry and tourism sectors.

According to the Chinese embassy in Lusaka, Chinese investment in the second copper-producing country in Africa amounted to about $ 3 billion in 2014. Moreover, the Middle Kingdom plans to invest $900 million over the next five years in a special economic zone near Lusaka, where companies will be exempt from customs duties.