Finance and National Planning Minister Dr. Situmbeko Musokotwane, MP, says Zambia is on course in her quest to resolve the crippling debt crisis so as to create conditions required for enhanced local and foreign investments, faster economic growth, jobs for the youths, and the needed sustained wealth creation to enhance the country’s capacity to repay creditors.
Dr. Musokotwane has re-affirmed the common framework for debt treatment as the most practical solution available under the country’s circumstances in resolving the crisis and facilitate conditions required for enhanced local and foreign investments, faster economic growth, jobs for the youths, and the needed sustained wealth creation to enhance the country’s capacity to repay creditors.
“For us, it is important that we pay what we owe,” said the Minister who was speaking at an investor seminar dubbed, ‘Zambia: delivering medium-term fiscal and debt sustainability.’
The seminar was organised by JP Morgan (a global leader in financial services offering solutions to the world’s most important corporations, governments and institutions) on the sidelines of the ongoing ANNUAL MEETINGS OF THE INTERNATIONAL MONETARY FUND AND THE WORLD BANK GROUP, in Washington DC, United States of America.
The Minister told the gathering, whose count was over a hundred (100) persons, that having acquired assurances from official creditors, a follow-up meeting will soon be convened to explore the signing of a memorandum of understanding on debt restructuring – which anticipated outcome he described as an opportunity for Zambia “to rise from the ashes” and become a trusted global investment partner, again.
Dr. Musokotwane says the support from the World Bank targeted at Zambia’s agriculture development initiatives creates an enabling environment for local and foreign investors to venture into export agriculture and make the country part of the solution to world hunger.
During the question and answer session, the Minister took the opportunity to explain that the mine tax related proposals in the 2023 National Budget Speech aim at aligning the country’s mine-tax regime to the global standard – especially mine tax regimes of other competing jurisdictions, adding that, the measures will encourage mine-exploration activities, growth of the industry and value addition.
Among the meetings that the Minister’s delegation will attend at the ongoing annual meetings of the IMF and World Bank Group, are the following:
1) IMF Monetary and Capital Markets Department bilateral meeting;
2) Multilateral Investment Guarantee Agency (World Bank) bilateral meeting;
3) Seminar on Enhancing Domestic Resource Mobilisation Through Meaningful Citizen Participation Under The African Continental Free Trade Area (AfCTA) And Equitable Resource Allocation;
4) The Introductory Session of the International Monetary and Finance Committee (IMFC) – the highest organ of the IMF;
5) US Department of Treasury bilateral meeting; and,
6) World Bank Africa Group 1 Constituency Meeting.
The Annual Meetings of the International Monetary Fund and the World Bank Group bring together Ministers of Finance, Central Bank Governors, Investors, and several other stakeholders to a common space to discuss and agree on solutions to the challenges facing the global economy such as low commodity prices, unstable macro-economic environment’s, low investments, and debt.
Dr MUSOKOTWANE is accompanied to the meetings by Secretary to the Treasury FELIX NKULUKUSA, Permanent Secretary (Budget & Economic Affairs) MUKULI CHIKUBA, Bank of Zambia Governor Dr DENNY KALYALYA and the Bank of Zambia Deputy Governor, Dr FRANCIS CHIPIMO.
Meanwhile, more than 50 U.S. and Zambian business and government leaders gathered in Lusaka October 12-13 for the two-day inaugural U.S.-Zambia Business Summit at the Intercontinental Hotel. The Summit highlighted Zambia as one of the most attractive business environments for investment on the African continent.
The Summit presented an opportunity for industry leaders to meet with high-level Zambian government officials to explore business opportunities within different sectors including in energy, agriculture and agri-business, healthcare, mining, ICT, infrastructure, and financial services. U.S. companies are important contributors to Zambia’s economic growth, and two-way trade in goods between the United States and Zambia is estimated at $269 million (4.27 billion kwacha) annually.
Zambian participants included, Minister of Energy Peter Chibwe Kapala, Minister of Infrastructure Charles Milupi, Minister of Technology and Science Felix Mutati and Acting Minister of Commerce, Trade, and Industry Elias Mubanga. The U.S. Ambassador to Zambia Michael Gonzales and Minister Counselor for Commercial Affairs in sub-Saharan Africa Cynthia Griffin represented the U.S. government. Ambassador Gonzales underscored in his remarks that, “working with the Zambian government to improve Zambia’s business enabling environment is my top objective as Ambassador.” Representatives from the U.S. Trade and Development Agency, U.S. International Development Finance Corporation, along with U.S. companies also attended the Summit.
The Zambian market offers U.S. firms significant opportunities in several sectors, and there is ample room to take advantage of these opportunities in the coming years. There is also growing interest among Zambian firms, which are looking to either invest in or export to the United States. The U.S. government, through the U.S. Embassy in Zambia, also supports Zambian businesses and entrepreneurs to explore the U.S. market for future investment in additional to encouraging U.S. businesses to explore investments in Zambia.
Useless chaps, honestly foreigners telling you,what you must be doing in your own country, What a puppet government. How do you rise from ashes when mining companies are on tax holiday! These Americans are criminals our minerals resources are in danger! You can’t be working with a nation that is not trustworthy.
This fossil with his musungu anikonde president have sold this nation to our former colonialists. Our father Robert mugabe is turning inhis grave
Joseph nkole
Leeds, UK
@David Kaunda: Atleast the Americans “despite being foreigners” are less criminal than you PF cadres, who infact took money from the very people you claim to be criminals (Bonds/Debt) and squandered all of it amongst yourselves. YES! we do know Americans are criminals but they are better criminals than you PF.So we will go with them than heartless mukula thieves, who claim to be patriotic when they are only patritic about stealing. Hahahahahhaha!
Its better to deal with the devil you know (Americans) than the devil you don’t know (Chinese)
Minerals do not multiply as they are extracted, they deplete. With tax holiday, we cannot come out of the ashes.
Remove the word AGAIN…. Zambia has never been a top investment destination…. The British set up industry here because they came to settle here like they did in New Zealand or Australia etc. People would rather invest in a country that allows them to exploit its people and its resources…. unless this Musokotwane is aiming for…..add the fact we’re land locked.