Zambian News Online

18/08/2020

Interesting article about the decline of cricket in Zambia allegedly caused by black Zambians kicking out Indo-Zambians from cricket administration. Apparently, Zambia is banned from international cricket due to internal wrangles.

When ‘Wolves’ land to feast on wickets…
……..cricket in Zambia has been shunted to the dire strait!

Cricket like other top notch sports such Tennis, Golf or Motor Racing is a financially demanding sport requiring colossal amount of finances to keep it afloat.

To do that, the administrators of the sport must induce goodwill in attracting corporate partnerships and to show tact in financial literacy and most cardinal a high sense of accountability.

The background of Cricket in Zambia is littered with immeasurable successes dating to the pre-independent Zambia, the seventies up to the late eighties.

During its ‘UNIP’ heydays the ZCU (Zambia Cricket Union), the body mandated to coordinate cricket activities in the country was consistent in the organization of the local league which was evenly punctuated by a good number of top flight international engagements.

Teams such as Uganda, Malawi and Zimbabwe were regular at Ndola Cricket Club which was a stone’s throw from my home.

It was in the nineties that Cricket activities started to stumble. A group of devious ‘indigenous’ Zambians started to make allegations of being discriminated against in the sport.

Their intentions did not arise out of their passion for the sport but to sow disdain against the Indo-Zeds (as I prefer to refer to Zambians of Indian for the purpose of avoiding the near-derogatory local term).

Their ill-mannered activities were instigated or influenced by a mistaken assumption that Indo-Zeds were unjustifiably benefiting from government grants given to some sports associations with special needs.

As far as I am aware, Cricket and Golf have never been known to pass around a begging bowl!

Early into the turn of millennium, the ‘indigenous’ Zambians had stealthily squeezed themselves into the top echelon of cricket management. Before long, they had insidiously reached the apex of cricket management in Zambia.

Within a very little time, the cookie started to crumble!

In 2013, the ZCU was admitted as a member of the world wide governing body, ICU (International Cricket Association). Grapevine has it that, the association started to receive some grants in form of equipment and of hopefully some ‘Pins of Dollars’ from the international body to promote the sport in Zambia.

However in 2017, the NSCZ (National Sports Council of Zambia) had cracked the whip against the Rueben Chama led executive committee.

His entire executive was suspended to pave way for investigations on alleged misappropriation or ‘misapplication’ of finances.

To show his mettle of who should call the shots between him and ‘instigator’ Raphael Mulenga, the current Secretary General of NSCZ, Chama countered the suspension with a punitive injunction, restraining NSCZ from appointing of what is trending elsewhere; a Normalization Committee. And the stand-off began.

To date, Zambia is banned to take part in any form of Cricket activities at international level. And whether, there are or has been any form of cricket activities taking place in Zambia in recent times is a matter of conjecture, and it begs some questions:

What really happened, for Cricket to find itself, hanging so precariously to delicate contour grips, in its slide down the abyss?

And why do a few ‘indigenous’ Zambians who have been assimilated into the sport turned out to be an assemblage of power hungry scoundrels? Are they sure or capable to afford the beyond-reach pricing of the array of equipment and apparel Cricket is associated with?

The melancholy obtaining in Cricket is not peculiar to the sport. Except, in the case of Cricket the racial disharmony exhibited by the ‘indigenous’ Zambians towards the Indo-Zeds, emit some nausea of physical-free xenophobic delusion!

Thus, to compare the machinations to the proverbial; Cricket has gone to the ‘Dogs’ is being short of the actual truth, in fact, it is the ‘Dogs’ that have come to Cricket!

11/04/2020

DP TO PERTITION IBA, WRITE TO INTERNATIONAL COMMUNITY AND PROTEST AGAINST THE CLOSURE OF PRIME TV AND MOPANI MINES

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11 April 2020

The DP held a meeting yesterday to discuss the closure of Prime TV by the PF government and the unreasonable decision by Mopani Mines to put the mine on care and maintance sending more even thousand workers jobless.

The behaviour demonstrated by President Lungu and his government must be fought by all well meaning Zambians and must not be allowed anywhere near our democracy.

The actions by PF are a recipe and a genesis of rigging 2021 general elections. It suffices to note that rigging elections does not happen in a one day but it's an agenda and a process that follows through stages which includes intimidation, abuse of power, abuse of the police, political violence, closure of media houses as been seen today and eventually all these culminates into instilling fear in people which results into voter apathy and rigging of elections.

In this regard, the following decisions have been taken by the DP;

Firstly, the DP will move to petition the IBA on the decison taken to close Prime TV without giving the nation a proper reason because any person directing himself well and considering the circumstances could not have arrived at such a careless decision.

Secondly, the DP will write to the International Community which among many others will include the SADC, COMESA, European Nation and the American Government on the human rights deterioration in Zambia under the leadership of President Lungu.

Thirdly, DP is proceeding to write to Zambia Police notifying them on our intention to hold a protest against the closure of Prime TV and the careless decision by Mopani to put the mine on care and maintenance.

We would like to mention that we are fully alive to the covid 19 pandemic and as such the party will provide masks and sanitizers which will include spray to all the people that will participate in the protest.

Further the protest will be done in numbers of less than 50 people at different points to abide by the law as contained in statutory Instrument number 22 of 2020

We would like to appeal to all well meaning Zambians to join this noble cause.

The DP will advise the public on the dates for all the actions.

Issued by

Judith Kabemba
DP Spokesperson

11/04/2020

LAZ PRESS STATEMENT DATED 11TH APRIL 2020 ON THE CANCELLATION OF PRIME TELEVISION’S BROADCASTING LICENCE BY THE INDEPENDENT BROADCASTING AUTHORITY

The Law Association of Zambia (LAZ) is deeply saddened and gravely perturbed by the cancellation of Prime Television’s (Prime TV) broadcasting licence by the Independent Broadcasting Authority (IBA) on 9th April 2020. In the Press Release issued by the IBA on the said date, the IBA stated that the cancellation of the licence was done in “Public Interest” pursuant to section 29 (1) (j) and (k) of the Independent Broadcasting (Amendment) Act No. 26 of 2010 ( the “IBA Act”), which stip**ates that the Board may cancel a broadcasting licence if, “the cancellation of the licence is necessary in the interest of public safety, security, peace, welfare or good order” or “the Board considers it appropriate in the circumstances of the case to do so.” Although the IBA has discretionary powers to cancel any licence that it issues under the IBA Act, LAZ notes that in its Press Release, the IBA did not go further to explain to the public, in whose interest the decision was professedly taken, the basis of the decision, the security and peace concerns as well as other circumstances in issue and whether the IBA itself had complied with the entire provisions of section 29 of the IBA Act, which stip**ates in section 29 (2) that:
Where a broadcasting licensee does not comply with this Act or with the conditions of the broadcasting licence, the Authority shall notify the broadcasting licensee of the measures that the broadcasting licensee should undertake, within a specified period to comply with the conditions of this Act or the broadcasting license.

Furthermore, section 29 (3) of the Act stip**ates that:

The Authority shall, where a broadcasting licensee fails to comply with a notice issued under subsection (2), within a specified period of time suspend the broadcasting licence for a specified period of time or cancel the broadcasting licence.

More importantly, perhaps, section 29 (7) of the IBA Act stip**ates in mandatory terms that:

The Board shall, before cancelling or suspending a broadcasting licence under this section, give the broadcasting licensee an opportunity to be heard.

In view of the above provisions of the IBA Act and the contents of the Press Release issued by the IBA on 9th April 2020, LAZ is of the view, and did establish from Prime TV, that the IBA never issued any notice or warning to Prime TV, as required by Section 29 (2) of the IBA Act and that the IBA did not go further to avail Prime TV an opportunity to be heard. Accordingly, LAZ is of the view that the conduct of the IBA in cancelling the licence for Prime TV was done prematurely and contrary to the clear provisions of the law.

LAZ is also of the view that the action and conduct of the IBA is an affront to the freedom of the media and an assault on the democratic right of freedom of expression. With the recent decision by the Government to stop all government officers from dealing with Prime TV owing to Prime TV’s reported decision not to allow the Government to air any COVID-19 announcements on Prime TV and the removal of Prime TV from the TopStar platform, the timing of the cancellation of Prime TV’s licence raises a lot of speculation and reasonable doubts about the independence and professionalism of the IBA in this matter. This is a serious concern for the future of the private media in Zambia especially as the nation heads towards the 2021 Presidential and General Elections.

LAZ further adds that the decision and action of the IBA is untimely and extremely unfortunate especially when the nation is still grappling with the COVID-19 pandemic which needs to be combatted through concerted efforts of both the private and public media.

LAZ is also seriously concerned by the reported commandeering of the Prime TV premises and offices by Zambia Police officers as reported by MUVI TV on 9th April 2020. LAZ is alarmed by the fact that though the IBA did not order Prime TV to close, the Zambia Police officers appear to have taken control of private premises of a private television station without a court order and without any evidence of any criminal activities perpetrated by Prime TV officers or employees following the cancellation of its licence. The cancellation of Prime TV’s licence is a civil matter and should not be turned into a criminal case without adherence to the dictates of the relevant law.

LAZ also condemns any heavy-handedness and blatant breach of the law by any authority or law enforcement agency especially that it appears that the actions against Prime TV are premised on mere differences in opinions. It is LAZ’s firm position that in a democratic society such as ours, it is not necessary for everyone to sing and dance to one song. Diversity in opinions does not weaken but rather strengthens us and must be encouraged and espoused if we are to grow even more as a society.

LAZ therefore calls on the IBA to immediately rescind its illegal decision to cancel the licence for Prime TV and to allow Prime TV to start operating in accordance with the law. To this effect, LAZ demands that both the IBA and Zambia Police should allow Prime TV’s proprietors, officers and staff to access and control Prime TV’s premises with immediate effect.

ISSUED BY THE COUNCIL OF THE LAW ASSOCIATION OF ZAMBIA
11th April 2020

01/11/2016

IMF says the Zambian economy is in a bad state, but the situation is not beyond repair and needs tough action

“At the invitation of the authorities, an International Monetary Fund (IMF) team led by Tsidi Tsikata visited Zambia during October 19-31 to help assess the current economic situation and provide policy advice to restore macroeconomic stability and promote broad-based economic growth.
At the end of the mission, Mr. Tsikata issued the following statement:
“The Zambian economy continues to be under stress from the impact of external and domestic shocks and an unbalanced policy mix. The pace of economic activity remains sluggish in 2016, with growth projected at 3percent due to continued electricity shortages, low exports and subdued private sector consumption and investment.
“Public finances are severely strained. Fiscal performance through the first three quarters of 2016 was characterized by shortfalls in revenue and substantial spending overruns on fuel and electricity subsidies. The government has also been accumulating payment arrears to suppliers and contractors. The stock of arrears is projected to increase from about ZMW10 billion (5 percent of GDP) at end-2015 to about ZMW 20 billion (9 percent of GDP) at the end of 2016. On a cash basis, the fiscal deficit for the whole year is projected to reach 5 percent of GDP, and the deficit on a commitment basis (i.e., taking into account the net accumulation of arrears during the year) at about 10 percent of GDP. To date, the cash deficit has been largely financed with domestic borrowing, mainly from the Bank of Zambia.
“Monetary policy has continued to carry the burden of policy adjustments. A tightening of monetary policy helped stabilize the exchange rate and put inflation on a downward trajectory. However, the ensuing tight liquidity conditions together with the slowdown in International Monetary Fund
Washington, D.C. 20431 USA growth and the accumulation of government payments arrears have put the private sector and the banking system under stress and led to an increase in non-performing loans.
“The mission and the authorities discussed a broad range of measures to create fiscal space for beginning to clear government’s arrears, scale up social spending and reduce the fiscal deficit on a commitment basis in 2017. This adjustment would help to put public debt on a downward path and allow monetary policy to gradually unwind the current tight stance, allowing the economy to recover.
“Zambia’s current economic challenges can be overcome with resolute policy action such as the recent adjustment of fuel prices to cost-reflective levels and the announced intention to reduce electricity subsidies.
These measures, if coupled with structural reforms to reduce inefficiencies and increase capacity utilization in the energy sector, would go a long way toward increasing Zambia’s potential growth.
The mission welcomes the authorities’ plan to scale up social cash transfers and protect social spending, including on health and education, to mitigate the potential impact on the poor.
“The mission welcomes the authorities’ decision to undertake a broad-based consultative process to ensure support within the government and across national stakeholders for their policies and reforms that could be implemented under an IMF arrangement. At the authorities’ request, the mission will return to Zambia in early 2017 to conduct Article IV consultation and program discussions.
“The team met with Finance Minister Felix Mutati, Bank of Zambia (BoZ) Governor Denny Kalyalya, National Development Planning Minister Lucky Mulusa, other senior government and BoZ officials, members of parliament, as well as representatives of the private sector, labor unions, civil society organizations, and Zambia’s development partners. The mission thanks the authorities and the other stakeholders who it met with, for their openness and the constructive spirit in which all discussions were held. The IMF stands ready to support Zambia and its people as needed.”

01/11/2016

Divorced and stranded Zambian women worry Foreign Affairs Minister Harry Kalaba

Minister of Foreign Affairs Harry Kalaba is saddened over a report about Zambian women getting stranded in West Africa after being divorced.
Zambian High Commissioner to Nigeria Dr Solomon Jere informed Mr. Kalaba in Abuja yesterday that a lot of Zambian women married to west Africans are getting stranded after divorce and cannot afford to buy airtickets to go back to Zambia with children.
Dr Jere said most Zambian women who get married to west Africans while in Zambia get shocked to discover that their husbands already have other wives and children when they are taken to west Africa.
Dr Jere said some of the women were living in abject poverty to an extent of getting food aid from Red cross.
He added that the Zambian Mission is Nigeria has no budgetline to repatriate the stranded women to Zambia.
And Mr. Kalaba said his Ministry will discuss the issue and find ways to help repartriate the Zambian women back home.
Mr. Kalaba cautioned Zambians to be careful before deciding to go and live abroad saying life without a stable income in foreign countries could be hard.
And Dr Jere has also cautioned Zambians travelling to Nigeria for prayers to ensure that they get invitation letters before they leave Zambia.
He said a lot of Zambians were getting stranded in Nigeria after spending all their Money before they they meet men of God for prayers. He said Zambians need to believe that God can answer prayer and heal the sick even within Zambia.
Mr. Kalaba is in Nigeria as Special Envoy to deliver a special message from President Edgar Lungu to Nigerian President.
Mr.Kalaba will also have bilateral talks with Nigerian Foreign Minister Geoffrey Onyeama to discuss ways of strengthening ties between the two countries.

31/10/2016

President Lungu swears-in new ministers and exposes corruption among top government officials

His Excellency Mr Edgar Chagwa Lungu President of the Republic of Zambia has appointed and sworn-in Hon. Matthew Nkhuwa, MP as Minister of Works and Supply replacing Hon. Ronald Chitotela, MP who has been transferred to the Ministry of Housing and Infrastructure Development in the same capacity.
Others who have been appointed and sworn-in are: Hon. Freedom Chomba Sikazwe, MP, Minister- Presidential Affairs, State House; Hon. Sylvia Bambala Chalikosa, MP, Minister-Office of the Vice-President, Hon. Lloyd Mulenga Kaziya, MP, Minister-Ministry of Water Development, Sanitation and Environmental Protection and Hon. Rev. Godfridah Nsenduluka Sumaila, MP – Ministry of National Guidance and Religious Affairs.
The President said during the swearing-in-ceremony that he was concerned with the increasing cases of corruption which had beset the country and warned the newly sworn-in Ministers not to fall prey to corrupt activities.
The President observed that he was specifically concerned that he had received reports linking some Ministers to corrupt activities and that once found wanting, he would not hesitate to relieve them of their duties even before they are investigated by the Anti-Corruption Commission (ACC).
President Lungu noted that corrupt activities were not just being committed at Ministerial level but even at lower levels of Government. He wondered how some people had amassed property rapidly at the expense of poor Zambians.
The President said it was appalling see huge amounts of money being credited to some bank accounts regularly. He also warned against illegal allocation and acquisition of land using political influence and other illegal activities.
Meanwhile, the President has taken a swipe at the ACC for being inept because of their failure to prosecute corruption cases. He speculated that perhaps the ACC was used to a situation where they are directed on what to do and who to pursue. “I will not use the ACC to fire anyone, but l expect them to operate efficiently and fairly.”
President Lungu wondered why the ACC no longer availed reports to the Office of the President as was the case before, when they were so many corrupt activities which were being conducted with impunity.
The President also noted that it was difficult to act against some Constitution Office bearers on matters of corruption because they were bound by the Constitution.

26/10/2016

Hakainde Hichilema visits UPND members admitted to UTH, who he says are petition witnesses who were beaten to prevent them from giving evidence in court.
Source: Hakainde Hichilema's page.

23/10/2016

President Lungu has released 336 inmates, of which 18 were being held in mental health institutions, as part of the events to mark this year's independence celebrations. The Minister of Home Affairs has praised the President for the gesture.
Below is the full statement:

22/10/2016

Zambians cross into Botswana for cheap fuel
ZAMBIAN motorists and youths are flocking in numbers into neighbouring Botswana to buy cheap fuel.
A check in Kasane town found a lot of Zambians, including government officials with government vehicles, purchasing the commodity in bulk.
In an interview, Davies Njamba of Livingstone said 60 litres of petrol in Botswana was 500 p**a, equivalent to K455 at the rate of K0.90 per p**a.
“Imagine 60 litres of petrol in Zambia at the current price, 60 litres gives me K822. That shows how sick our economy is under the PF government,” Njamba said.
However, Botswana customs officers have tightened security at the border to prevent fuel from being smuggled out of that country in containers.
An officer, who spoke on condition of anonymity, said some Zambians based in Kazungula had been blacklisted from entering that country for engaging in illegal fuel exports into Zambia.
And according to Botswana media, the government of that country recently reduced the price of petrol by 13 thebe per litre while diesel went down by 25 thebe.
The source added that the price of kerosene was also reduced by 37 thebe per litre.
In Namibia, the pump price for petrol is at US$0.80 per litre while Zimbabwe is selling at US$1.25 per litre.
Source: http://postzambia.com/news.php?id=20739

21/10/2016

President Lungu appoints a commission of inquiry to look into the causes of election violence before and after the August 11 general elections

LUSAKA, (Friday, October 21, 2016)--His Excellency Mr. Edgar Chagwa Lungu, President of the Republic of Zambia has appointed a Commission of Inquiry to examine the causes of the political violence before and after the 11TH August, 2016 general elections.
President Lungu made named the Inquiry in accordance with the Inquiries Act. Those appointed to the Commission are:
1. Mr. Justice Munalula Lisimba (Chairperson);
2. Mrs. Marvis Kasongo Chisanga (Vice-Chairperson);
3. Mr. Nzovwa Mwela Chomba (Secretary);
4. Mr. Mike Mulabe (Deputy-Secretary)
5. Fr. Lastone Lupupa
6. Mr. Charles Kafunda
7. Mr. Lee Habasonda
8. Mr. Reuben Lifuka
9. Dr. M.C.Bwalya
10. Mrs. Maureen Siamulele Tresha
11. Prof. Owen Sichone
12. Mr. Redson Nyanga
13. Ms. Flora K. Mooya
14. His. Royal Highness Senior Chief Ntambo
15. Mr. Wilfred Chilufya
The Commission of Inquiry will also inquire into the voting patterns between 2006 and 2016 and the root causes of these patterns. The Inquiry will also examine to what extent the pre-election political violence could have influenced the voting patterns in the 11th August 2016 general elections.
Among other matters, the Inquiry will the role of political parties, traditional rulers, and the media in shaping voting patterns and instigation of violence among others.
The Commission has been tasked to submit its report to the President within 120 days from the date of appointment.

Issued by: AMOS CHANDA SPECIAL ASSISTANT TO THE PRESIDENT (PRESS AND PUBLIC RELATIONS) STATE HOUSE

21/10/2016

16 people killed in a road accident in Western Province, others injured

WESTERN PROVINCE 21ST OCTOBER, 2016- 15 People plus the driver died on the spot while 38 others survived in a road traffic fatal accident that occurred along Mongu Lusaka road around 23:30 hours at Namilangi area on 20th October, 2016.
Involved was a Higer Bus registration number ALV 9498 which had 30 passengers and two bus crew on board, a Mitsubishi Rosa Bus registration number AAX 8562 had 21 passengers on board and a Toyota Rav4 registration number ALP 4038.
The accident happened when the driver of the Higer Bus was trying to overtake the Rav4 which was stationery due to a breakdown as he was coming from Senanga and heading to Lusaka, in the process collided head-on with the Mitsubishi Rosa Bus which was coming from Lusaka heading to Mongu.
15 Passengers plus the driver from the Mitsubishi Bus died on the spot while five survived.
All the passengers from the Higer Bus plus the driver identified as Mangolwa Muyanga were injured and are admitted to Kaoma District Hospital , together with the five passengers who survived from the Mitsubishi Rosa Bus where they are receiving treatment.
Among the 16 that died, the following have been identified as Edwin Mbao, a soldier based at Luena Barracks in Kaoma, Tantine Kilundu aged 26 together her son and Prince Mihigo aged 6 refugees of Mayukwayukwa refugee camp from Congo DR.
All the deceased are lying in Kaoma District Hospital Mortuary awaiting identification and postmortem.
We are appealing to members of the public who could have their relatives travelling from Lusaka to Mongu on a Rosa Bus to go and help in the identification of the bodies.
Levy Lilanga
ASSISTANT POLICE PUBLIC RELATIONS OFFICER

20/10/2016

Our economy is in a bad shape, says Felix Mutati

The Zambian economy is in a very bad shape. GDP growth is slightly over 3 percent, while the budget deficit will be over 10 percent of GDP this year. Foreign reserves have dwindled to US$2.3 billion and government is short of cash to meet its obligations.
The International Monetary Fund has been approached to finance a bailout package for the country, but formal discussions of such a programme have not started.
Finance Minister this afternoon gave a comprehensive picture of the state of the economy to Parliament. Below is his statement in full.

STATEMENT BY HONOURABLE FELIX C. MUTATI, MP, MINISTER OF FINANCE ON THE STATE OF THE ECONOMY AND ECONOMIC RECOVERY PROGRAMME TO BE SUPPORTED BY THE IMF

Mr. Speaker,

I am here today to make clear the gravity of our current economic situation and set out our Economic Recovery Programme that will guide us and ensure we shift back to levels of growth our country needs to prosper.

The State of the Economy

Honourable Members, Zambia is experiencing slower growth in 2016, after a decade of accelerated progress. This is on account of external and domestic challenges.

External challenges relate to low international commodity prices and adverse weather linked to the El Nino weather system over the past two agricultural seasons.

Domestic challenges include:
1. the power crisis and high inflation that have increased the cost of production for the private sector;
2. policy reversals that have adversely impacted business planning particularly in the mining sector; and
3. the impact of growing expenditure pressures that have exerted pressure on monetary policy whose ability has been reduced.

These factors have had a negative effect on the confidence of foreign and domestic investors and the players in the financial markets.

Mr. Speaker, economic growth in 2015 slowed to around 3% and is currently projected just above 3% for 2016. This is far below the 7% levels required to reduce poverty and to drive this country’s development. Further, the substantial tightening of monetary policy has not come without cost. Tighter liquidity and higher costs of borrowing have weighed on the private sector at a very difficult time, threatening growth prospects further. What is clear, Honourable Members, is that the monetary policy would not have needed to be so tight if the fiscal policy had been less expansionary. In future we need greater balance and a more integrated and joined approach to our policies so that we can be supportive of the private sector. This will enable the much needed job creation by our firms, farms and industries create.

On the external side, the external sector is weaker. The value of our exports has fallen with global price falls. A trade deficit has emerged as we are at present importing more than we are exporting. This has put pressure on our international reserves, which have substantially declined from US$3.9 billion in July 2015 to US$2.3 billion at present. The much-needed foreign exchange is flowing out of the country. This is as a result of existing commitments we have, particularly those relating to subsidies that have an external component. Positively, we have now started to deal with these subsidies.

Sir, the economic challenges we are facing are also reflected in the deterioration of public finances. In 2016 the fiscal impact of the economic shocks has forced public expenditure upwards while revenues fell short of expectations. This has caused the gap between what taxes we collect and what we must spend to drift further. The fiscal deficit when unpaid bills or arrears are included is expected to breach 10% of GDP this year. Key parts of the deficit include:

1. a build-up of arrears related to infrastructure, particularly in the road sector;
2. government expenditures on fuel subsidies;
3. financing of emergency electricity imports to mitigate the impact of the power crisis; and
4. above budget expenditures via the Food Reserve Agency and FISP.

Added to these pressures have been rising debt service costs as a result of the depreciation of the Kwacha and higher domestic lending rates.

Whilst some of the shocks we have faced are externally induced and so cannot be controlled, there are areas where more consistent policymaking can play a key role. These imbalances clearly need to be urgently addressed. This is to unlock faster growth and provide the employment opportunities sought across the country. Moving from these imbalances to a more sustainable footing will be the focus of our Economic Recovery Programme. Shifting from an expansionary fiscal stance to more sustainable public finances will be cardinal as it will improve our ability to respond to external challenges and provide the much needed jobs and growth on the domestic front.

Mr. Speaker, we are alive to the fact that the economic glitches are hitting the pockets of families, particularly the marginalized that are unable to respond to these negative developments. To shorten the challenging period for our people, Government is determined to embark on emergency measures to start addressing the economic imbalances through a home grown economic recovery programme.

Sir, with this economic recovery programme Government has taken responsibility for the hard work and decisions that lay ahead. The Economic Recovery Programme provides Zambian solutions to the challenges we face. We will reach out for support, but any support will be limited to assisting us, in our processes and our policies for economic recovery.

This is the reason we are referring to our Economic Recovery Programme as “Zambia Plus”, meaning that all solutions will be determined by us Zambians while external partners will form the plus as we engage them to assist in this Zambian process. This includes the IMF.

The Economic Recovery Programme

Sir, there are substantial costs associated with delaying action. Hence we launch our Economic Recovery Programme with immediate effect. Our Economic Recovery Programme has five pillars.

The first pillar involves strengthening tax policy and administration, to improve revenue inflows, and to shift public expenditure back to affordable levels. We cannot spend what we do not have. As a start, we are dealing with reallocating subsidies that have been growing and cost us over US$1 billion in 2016 alone. This money can immediately be used in more productive areas and be better targeted towards supporting the poorest households.

As earlier mentioned, the removal of subsidies can harm the poor, as they are least able to adjust. To ensure the poor are better protected, Government will embark on the second pillar that will see an increased budgetary allocation to social protection including addressing the plight of pensioners.

Honourable members of the house, you will agree with me that Zambia’s resources must be safeguarded so that there is no wastage and that we achieve high impact from our spending. Government will therefore ensure that it improves economic and fiscal governance under the third pillar. This will involve strengthening of regulations and laws to make them more punitive to abusers and ensure transparency in the way we arrive at economic and spending decisions.

Mr. Speaker, budget credibility remains a big concern. Past variations to the budget have been as high as 25%. This cannot continue given that the discretionary budget is only around 2% of domestic revenues. The fourth pillar will be centered around improving budget credibility. Better planning, and adherence to expenditure plans and improvement of the quality of Government’s spending.

Honourable Members of the House, the fifth pillar will provide us with greater economic stability. With economic stability comes a better platform for economic growth and job creation. Without stability and market confidence, the private sector will not recover. Under this pillar, Government will also put in place measures to unlock growth by targeting investment in the sectors with binding constraints to growth. On the investment side enhancing energy and transport infrastructure remains key. On the policy side we will be prioritizing efforts to reduce the costs of production and ease doing business. Improving access to credit, lowering lending rates and reducing inflation are key to this part of our Economic Recovery Programme.

As part of the economic recovery programme, Government will:

1. prioritise the dismantling of arrears owed to contractors to help companies meet their obligations and sustain their operations.
2. put in place measures to give access to cheaper financing for SMEs. As a start, we have accessed a US$50 million facility with the African Development Bank to be used for lending to SMEs.
3. put in place clearly elaborated programmes to actualize the vision of his Excellency the President, Mr. Edgar C. Lungu, regarding industrialization and turning Zambia into an agricultural hub.

IMF Programme

Sir, all these plans I have highlighted above will require strong domestic and external collaboration. International support, on our negotiated terms, will help make the recovery plan a success. As a member of the IMF we welcome their financial and technical support and we will engage with the visiting IMF team in discussions on how best IMF financing could help strengthen our Economic Recovery Programme. This will be done with all other Cooperating Partners.

Honourable Members, I wish to mention from the onset that the efficacy of IMF programmes is beyond getting financing, but inducing the confidence and cooperation of external benefactors such as the investor community and cooperating partners regarding the credibility of our economic programmes. The credibility of the IMF as an independent appraiser cannot therefore be over emphasized.

May I now take this opportunity, Sir, to inform the house that Government has not yet hosted any detailed programme discussions with the IMF and there are no IMF preconditions.

Our engagement with the IMF has changed considerably over the past decade. And thankfully the days of prescriptions from Washington, without due regard for country peculiarities, have made way and evolved into a better technical and collaborative partnership. The IMF provide financial support to countries facing balance of payments. We should not turn away from financial and technical assistance and instead take charge and utilize the support.

The IMF are here this week on a monitoring mission to discuss the economic situation and for us to start presenting to them our Economic Recovery Programme. We expect them to return for programme discussions later.

May I inform the house that before any programme details are agreed upon, Cabinet and other economic stakeholders will be consulted and any final agreement, if appropriate, would be expected in the first quarter of 2017.

Conclusion

I will Mr. Speaker be soon presenting to this house the 2017 budget, in which I will in greater detail underline the measures we plan to undertake to ensure that stability and growth return.

Mr. Speaker, I thank you.