Government has dismissed assertions that its imminent repossession of Zamtel may erode investor confidence in the country.
Outgoing Foreign Affairs Minister Chishimba Kambwili wondered how investors would lose confidence to invest in the country when all Government was doing was to clean up the process of investment.
Mr. Kambwili said it was clear that the sale of Zamtel was fraudulent as reflected in the report of the Commission of Inquiry that was set up to probe the sale of the telecommunication company to LapGreen of Libya.
He told the media that the report indicated that the deal was marred with corruption.
He said Government would leave no stone unturned to rid the country of corruption in order to ensure that all investment transactions coming into Zambia were done in a clean and transparent manner.
Mr. Kambwili urged Zambians to read the report on the sale of Zamtel which Government intends to avail to everyone in order for them to understand the levels of corruption that surrounded the sale of the telecommunications company.
[pullquote]However, he explained that Government had not yet made a decision on Zamtel and had therefore called on Zambians to desist from commenting on the matter until a decision was made by Cabinet.[/pullquote]
He said genuine investors would not lose confidence in investing in Zambia but would rather support Government’s action to clean up corruption in the country.
However, he explained that Government had not yet made a decision on Zamtel and had therefore called on Zambians to desist from commenting on the matter until a decision was made by Cabinet.
Yesterday, former Minister of Finance Situmbeko Musokotwane said that the Patriotic Front (PF) Government risks compensating LapGreen of Libya between US$400 million and US$1 billion if it reverses the sale of Zamtel. Dr Musokotwane said that the compensation will include the US$257 million purchase price, extra investments LapGreen has made and the positive turn around in business.
“We can’t be sure whether this money will ever be recovered because in accordance with the PF manifesto, they will choose party cadres to manage the company. How will the company then remain profitable and protect jobs?
“This type of arbitrary action damages the reputation of Zambia as a destination for investments. It has taken more than 20 years to build confidence in the investor community that an investment made in Zambia is free from political seizure,” Dr Musokotwane said.
He said Libya is part of the capital-rich Middle East, which is exporting capital all over the world, thereby creating jobs for young people.
“Their confidence in Zambia and Sub-Saharan Africa was growing as they seek to diversify their investment from Europe and America. Now, we are busy spoiling all this and we expect to develop our country and create jobs?
“Will it surprise us when our currency begins to lose value quickly as it is doing now because the public is getting nervous about the safety of their money while those planning to invest hold back the inflows of their money into Zambia due to similar fears?” he said.
[pullquote]“Will it surprise us when our currency begins to lose value quickly as it is doing now because the public is getting nervous about the safety of their money while those planning to invest hold back the inflows of their money into Zambia due to similar fears?” he said.[/pullquote]
Dr Musokotwane said by constituting the Zulu-led Commission of Inquiry into the Zamtel sale, President Sata lost an opportunity in failing to appoint independent commissioners who would have provided non-biased views on this important subject.
He said since Mr Zulu and other politicians on the commission were fully aware of President Sata’s public pronouncements on Zamtel sale that it was fraudulent, it cannot surprise anyone that their report had to tow the same line of thinking “or else they would have been sacked from their jobs.”
Dr Musokotwane said findings of the then latest audit report on Zamtel by Ernst and Young, a reputable international audit firm, showed that Zamtel was insolvent with enormous and unsustainable debts against few and obsolete assets.
“Let the PF refute the fact that an insolvent company faces liquidation as was the case with many parastatals before, leaving behind untold suffering by former workers who would remain unpaid for years…let the PF refute that saving the company, jobs and indeed service provided was done in the best interest of the country,” he said.
[pullquote]He said since Mr Zulu and other politicians on the commission were fully aware of President Sata’s public pronouncements on Zamtel sale that it was fraudulent, it cannot surprise anyone that their report had to tow the same line of thinking “or else they would have been sacked from their jobs.”[/pullquote]
He said the US$257 million paid for Zamtel is the best price that Zambia has ever received for any parastatal company ever sold and is seven times more than what was paid for ZCCM units that became Konkola Copper Mines.
Dr Musokotwane appealed to the PF government to settle down, ‘sobre up,’ and focus on developing the country.
“Creating a mindset that focuses primarily on hunting for mistakes committed by the previous Government even where there is no justification just slows down development. Let those same energies be used to develop industries, infrastructure, jobs and business opportunities,” he said.
Meanwhile, Mr. Kambwili, who is now Minister of Labour, has appealed to investors especially in the mining sector to respect the country’s labour laws.
[pullquote]“Creating a mindset that focuses primarily on hunting for mistakes committed by the previous Government even where there is no justification just slows down development. Let those same energies be used to develop industries, infrastructure, jobs and business opportunities,” he said.[/pullquote]
He said it was saddening that investors in the country have continued to disregard the country’s labour laws with impunity.
Mr. Kambwili said Government would not hesitate to take punitive action against investors who continued to verbally abuse Zambian workers and offer them bad conditions of service.
He said investors need to respect the culture of the Zambian people saying it was against the Zambian tradition for people to use abusive language.
Mr. Kambwili also urged Zambian human resource managers working with foreign investors to advise their counterparts on how to conduct themselves whilst in the country.
[ZANIS/Zambia Daily Mail]
Mr Sata should really have fired this guy than move him around. This is guy is a train wreck and a disaster ready to happen. This surely can’t be a mindset of a leader and somebody who even served in a diplomatic ministry. This is really shocking. Only a street Kaponya can thump his nose at investors and say only genuine investors will stick around. Does he know how all countries around the world are crying and clamouring for investment? Why gives this loser this entitlement attitude like Zambia is the only destination for investment capital looking for a home. Somebody needs to culture this Kaponya.
Currency is a good leading indicator of what investors are doing and the Kwacha is not looking good in the face of dollar weakness.
Guys, start working please.
uli tole..period.
Kambwili a clueless dry bone.
iwe kambwili do not think you know anything,its just that you hae got the job you were looking in pf gvt.so do not secare our investors.You will need them.Just formulate goog policies that can benefit both the investor and the ordinary zambians
# 1 Chief,
Kambwili is not just a wreckage but a clear and present danger to the fate of a hanging PF regime. If anything, he is a biggest liability President Sata has carried with him from his opposition seat to statecraft.
“He said the US$257 million paid for Zamtel is the best price that Zambia has ever received for any parastatal company ever sold and is seven times more than what was paid for ZCCM units that became Konkola Copper Mines.”
Any comments from Magande cos he has been yapping in The Post in support of the reversal.
If it was fradulent why can`t it be repossed? We were told the same about FNB and yes that has died a natural death. No fight from FNB.
It’s very disgraceful that issues are being addressed via sata’s loud mouth, emotions and clueless old brain
Let PF do the ZAmbian wish. Reposses ZAMTEL and don’t listen to critics like Musokotwane who benefited over the deal.
Is Kambwili a former police constable as well? His lack of understanding basic economics is appalling for a “leader” Which constituency brought this psycho to Manda Hill? i wont be surprised if he is from CB.
Imagine this happened in say a developed country. Would they lie down, tails between their legs and say OK it was sold so what?
Gaddafi had accounts frozen and assets repossessed in the UK and US because they were believed to have been obtained illegally. Why can`t we give back to Zambians what belongs to them?
Do these MMD guys have shares in Zamtel? It`s a worry how they get their tails up when they hear Zamtel. Something is wrong here. Get it back please!
It hurts in opposition guys. Unfortunately, it is a long way to go before you guys can even have a chance of thinking you would rule again.
I was feeling like you when we were an opposition party. It hurts, it`s painful. Seeing Kambwili is like adding salt to a wound for you guys. I know how you feel. Ke ke ke ke ke ke ke ke ke!
Iwe MMD Chief Bootlicker amano yanono,wish you knew how stringent corporate governance is in the west,you chaps you do not think yours is parroting,we can not as a country continue with business as usual thefts,corruption this what we needed a person who will stand up and challenge the statues quo,China kills its corrupt elements,America has no mercy look at the man who was jailed100 plus years for defrauding the people out of their hard earned money
# 7 Ugly Truth It is true the minister is from the Copperbelt in a constituence were some of us were born and bred and are well cultured. No appologies to anyone! Please calm down and comment on what the minister said not the constituence that took him to Manda Hill.
.
Kabwili! Its actually the genuine investors that are loosing confidence. Hillary Clinton had enticed a lot of American investors as part of her delegation that came into Zambia. However, the tone has changed to “Negative” or “Standby” from our anticipated USA investors because of Sovereign Risks being excercised by Sata.
The kwacha has no “Support Level” to win grounds looking at how things are running. It will keep falling. It does not matter how BOZ tries to mantain Money Markets, Sata’s mouth is the biggest obstacle at present.
How do you have a commission of inquiry that doesnt even have a recognised expert in valuation of a telecoms company. I am ashamed to hat our ministers are making such a mockery of our country. Before you PF blind supporters have a go at me, I know what I am talking about. I was involved in the due dilligence and valuation of Zamtel for a major telecoms company. The thing was worthless. Thats why all the major major players who didnt have oil money to burn walked away. These people should just reverse the deal on other grounds. Stop making a fool of yourselves.
I predicted on one of my comments end of Sep 2011 that this kambwili chap would be demonted in 4 months. Some irrational genocide blogger called me names.
This chap is a big risk to the nation. Sata has noted and exercised his judgement correctly. Though he still does not have any tiny quality to be a minister, let alone to be an MP.
reversal is coming and it is at the door step.let them keep thier to monies if they think they can invest crookedly.we dont want our nation to be viewed as nation where pipo walk in and get our natural resources,then leave us with crumbs.let them go to hell.musokotwane is scared for his mis-deeds.
Kambwili is minister. Ke ke ke ke ke ke ke ke ke!
He said it was saddening that investors in the country have continued to disregard the country’s labour laws with impunity.Mr. Kambwili said Government would not hesitate to take punitive action against investors who continued to verbally abuse Zambian workers and offer them bad conditions of service.
FOR HOW LONG IS THIS DOG GOING TO BARK AT INTRUDERS WITHOUT BITING THEM?
So the ka whole $700 million they are borrowing on the financial markets will go to LAP green if they decide to behave like cadres and reposes Zamtel. I think they will because thats what they are , brainless cadres.
“Genuine investors won’t lose confidence in Zambia-Kambwili
Genuine investors won’t lose confidence in Zambia” AND IT IS THE GENUINE INVESTERS WE WANT NOT LIKE LAP GREEN WHO WOULD SWINDLE A HEAD OF STATE LIKE RB AND PUT THE COUNTRY AT RISK.
seems the commission of inquiry is much trusted than the courts, why not do away with our zambian courts and remain with the cm’s.
Things done in the dark/secret have a way of embarrassing and shaming people involved (if shame & embarrassment have any meaning anymore to many of these MMD thieves.) You lie and cheat on your spouse in the dead of the night, someone is bound to show up at your matrimonial door pregnant and a court summon in hand. This is the same scenario with the ZAMTEL deal. Things were done in secret and now the “woman” is pregnant and at the door of the “suitors” responsible for the mess. Just own up and accept responsibility for the mess you greedy and self-righteous MMD charlatans created for others to clean up!
cont…from #22:
In fact, I recall very well the same Musokotwane insulting the intelligence of Zambians by refusing to release the valuation report by RP capital saying Zambians can not understand such “complicated” matters. I do not know any real estate broker/agent in the world who hides the details of a sale from the property owner no matter how unsophisticated or uneducated the owner happens to be—-and ZAMTEL was a public asset supported by taxpayer money, meaning every Zambian had some equity in it. So how can you blame the rightful owners of the property to demand correction of the deal done by fraudsters who failed their fiduciary responsibility? And Musokotwane as former Finance minister was right in the center of this failure!
Musokotwane, whether it is capital rich mid-east, don’t sale Zambia on silver platter. These guys are up to no good. They are coming to grab land and every thing. They are busy spreading jihad. very soon you may be experiencing suicide bombers in Zambia. Be very very careful. They have a very strong motive than your myopic view, Musokotwane. These guys are seriously out to grab influence and control of our instruments of power and leadership. I thought you are clever enough! They have already grabbed a lot of land for 99 years lease! They even want to control our international airport for 99 years lease. Boy, open your eyes. Form zambian companies and let Zambia companies flourish. Anyone who comes must work in partnership with Zambians.
DSTV Full/Premium Bouquet is going for K350 this week & i cannot recall the last time it went this cheap!…now is it me or the KWACHA has gained against the DOLLAR…??? for all u saying the Kwacha has lost value!!!
I am sure that Kambwili’s and Chilufya’s ugly mugs are enough to scare away investors! I hope the sell of Zamtel is reversed so that we can sit back and laugh when FDI dries up. RB you will be vindicated, it is only a matter of time.
Really Kambwilli go back to delivering Mahoe to the mines. That’s your brain capacity. On Wikileaks they say your IQ is 48 a hippo on the other hand enjoys an IQ of 51. So you are competing with the hippos in looks and intelligence.
Ba kambwili is a militant cadre who can not make a good minister. His language is far below that of a leader. Its a pity that Pf has no good people tput in portifolios as ministers. This man has an Idi Amin like character which Zambians must not respect but resist. It is claer that genuine investors won’t come to invest in Zambia because the situation is volotile for them and risky.
Ba kambwili, look at him he doesnt even have a clue what is investment appraisal and management… A genuine investor will not invest in a risk infested nation, especialy political risk.
PIXXY
I think its you.
DSTV going for K350 this week has got nothing to do with with Global Money Markets on which Zambia is suffering dearly. DSTV price is just a Marketing & Sales Tune.
Weak Kwacha & Uncertainity creates CAPITAL FLOAT, which stops investors pumping their profits in Zambia, but rather re-investing in other countries where they can make good profit margins.
Cont..
Kabwalala wa njanji-Kambwili. It is the genuine investors that will not come. Get it in your heard. Your behaviour does not inspire any one. Please be told that you cannot be trusted. Period
In the last 3 months, most foreign investors have withdrawn their capital in local Zambian banks, converted it to foreign currencies and took it to safe foreign heavens where they can maintain the value of their profits.
This has been caused by Investment Uncertainity being barked by irresponsible politicians. Especially at the period Sata lied that MMD had printed fake money.
If investors loose confidence in Zambia with so much natural resources where will they go. Dont be cheated. Europe is in trouble now, where are they going to run to. For your information you stupid Africans, Africa is hot cake now to any investor wether there is wall in that couintry or not. Keep sleeeping.
34 # Kweke
Europe is not the only place where Investors can go. TheY are a number of leading EMERGING MARKETS NATIONS such as
1. SOUTH AMERICA (Brazil, Chile, Mexico, Peru etc)
2. CHINA***
3. APAC NATIONS (Malaysia, Singapore, Thailand ETC )
As a matter of fact, USA, UK, GERMANY has mainly invested into these Emerging Markets since after the Credit Crunch
Yes, Africa is hot cake but what is killing Africa is poor (i) Governance,(ii) War Tone Nations. That’s why Sata and his team have to very careful with the vibes they send
Take Nigeria, it has just lost $4.5 Billion Dollars out of its Government portfolio in the last two weeks due to Uncertainty due to anticipated civil war and oil tariffs issues.
A grouping of grade 7’s are now ruling Zambia…. what a shame
Muza vutika na imbwa zimene mwavotel izi bena Sata. You cannot blame anybody for it. I see many people now regretting the vote they gave to Sata and PF – BUT does it mean your brains work so lowly that you couldn’t see this before? Everybody who knos Sata very well warned about this. Okay, Rupiah may not have been an option but there was plenty of other candidates to have voted for. Muzalila, even those among the Bembas who voted purely on tribe when hunger starts hitting you will realise the stupidity of voting based on tribe. Already the Minister of Agriculture has warned that Zambia should not expect a bumper harvest this year…. BRAVO! We are going back to importing food, from being the leading exporter over the past 7 years! This is proof, you need a degree to be president.!!
For all his weakness, atleast Rupiah Banda had a degree and knew what to do even though some of his people were stealing. But again, the idea that you can a government of pure human beings who don’t sin is not only childish, it is *****ic to think that way. We know very well that even Sata himself has a chain of past scandals that now will be investigated immeidately he leaves office. I know that many people in previous govts, including Rupiah, resisted to investigate Sata because of his health. But now with this war he has started, he better die immediately he leaves office. Otherwise they will make him suffer. All his previous corrupt practices are well know, including some that he is already committing as we speak. Those with eyes can see them. Good Luck Zed.
Really I cannot for a moment understand why the H E should complain over donations to MMD from Chinese companies that is so petty unless he has evidence that they are a terrorist
st organisation. I believe PF gets support from companies who support their ideologies. Can we please move on and deal with serious issues that are affecting our Nati
on. @25 that’s a lie I called mulitchoice the subscription is K405 000
This minister’s looks and whatever he says are repulsive.
Gosh, this man sure is ugly – but then again it seems to be a pre-requisite to get a job in this GRZ.