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Government and other Stakeholders need to Upscale Efforts to Provide Rural Financial Services

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Executive Director Bernadette Zulu
Executive Director Bernadette Zulu

The Policy Monitoring and Research Center has recommended that the government and other stakeholders need to upscale efforts to provide rural financial services by focusing on support towards good product design, development, and delivery that meet the needs of the large rural market segment.

The PMRC has also noted the need to upscale rural finance saying the government needs to deal with the prohibitively high costs of offering conventional, branch-based services in remote rural areas by promoting creative thinking and innovation in both financial products and delivery of those products.

Executive Director Bernadette Zulu said the capacity buildings needs to be done among banks and other financial service providers on how to use non-traditional forms of security/collateral with reference to the Movable Property Security Interest Act.

Mrs. Zulu said the Central Bank needs to urgently develop Agency Banking regulations to guide and accelerate agency banking in under-served rural areas and consequently increase the agency banking share of transaction volume by financial agents.

She said the Development Bank of Zambia needs to play an active role as
an apex financial institution in providing finances to microfinance institutions for onward lending to rural areas as espoused in the Rural Finance Policy and Strategy and Rural Finance Expansion Programme (RUFEP) program design.

Mrs. Zulu added that the government and Zambia Agriculture Commodity Exchange needs to put in measures that guarantee smallholder farmers’ active participation in the agriculture commodity exchange as opposed to a scenario where majority of farmers having access to agriculture commodity exchange are well-established farmers.

She added that the pensions and Insurance Authority will also need to upscale its efforts in ensuring that the necessary micro-insurance guidelines principles are promptly put in place to promote growth of insurance uptake in rural areas adding that legislation needs to be amended to accommodate licensing of micro-insurers and the need to open up the distribution space.

“Following the enactment of Movable Property Security Interest(MPSI) Act in 2016, Patents and Companies Registration Agency and other stakeholders need to increase sensitization in rural communities on the available options through MPSI Act regarding use of a movables sets as collateral to access finance. Zambia Statistics Agency needs to include “financial inclusion variables” in its routine national surveys to be able to measure financial inclusion statistics as opposed to the country relying on private sector sanctioned surveys to measure financial inclusion”, she said.

She said all the complaints specifically relating to inconsistencies with the Weather Insurance Index payouts where some farmers receive payouts while others do not but residing in the same geographical area affected by the drought also need to be dealt with and Enhanced confidence in Weather Insurance Index to enhance uptake of other in micro-insurance products for the farmers.

Mrs. Zulu some of the key activities during the Financial Literacy Week need to run for the rest of the year and priority should be given to rural areas with lower levels of financial inclusion.

2019 has been a disappointing, depressing and difficult year for the local business community

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GROUND Focus Group chief executive officer Jimmy Mubashi
GROUND Focus Group chief executive officer Jimmy Mubashi

Ground Focus Group Chief Executive Officer Jimmy Mubashi says 2019 has been a disappointing, depressing and difficult year for the local business community.

Mr. Mubashi says 2019 ended on a very difficult note with very depressing economic circumstances as the year did not provide the much-needed opportunities for small scale and medium local enterprises to thrive.

He notes that Business opportunities were extremely difficult to come by in the year 2019, a situation that exerted pressure on ordinary Zambians who depend on the vibrancy of the informal sector to survive.

“However, all hope should not be lost. We must be in a position to rise above our challenges by avoiding petty politics and working with the government of President Lungu to ensure a clear policy direction in terms of strengthening the local economy by creating an enabling environment for Small and Medium Entrepreneurs (SMEs) to thrive”, he said.

Mr. Mubashi said Local companies established and managed by Zambians must be given opportunities to do business.

“We have companies in Zambia who never won a tender or carried out business or public works for the entire 2019 because there was no such opportunity given. How do you expect commerce and the local economy to survive if local businessmen are not being given opportunities?

We implore President Lungu and the government to ensure that locals are given sufficient space, support, and opportunities to do business”, he added.

Mr. Mubashi noted with regret that today, there are transnational companies who do things as they please because there are no sufficient monitoring mechanisms to ensure that the profits and opportunities are not externalized.

He said many Zambians are totally marginalized from serious business opportunities and expressed fear that the economic figures will continue to plummet if the situation is left unchecked.

Mr. Mubashi said bold decisions must be made to ensure that Zambians themselves take control of their economy in partnership with investors who on the other hand must be encouraged through effective and favourable Foreign Direct Investment policy directives.

“The Zambian people elected the PF government of President Lungu to make sound decisions on their behalf and not to allow transnational companies to do things as they deem fit. It will be a total betrayal to the majority voters who vested their trust in their leaders to tolerate such kind of business attitude from investors especially in the mining sector and commerce”, Mr. Mubashi said.

He said the adverse effects of climate change have hit us badly with poor rainfall in the 2018-2019 rainy season and other factors threaten to reverse Zambia’s economic gains.

Mr. Mubashi said he expects the government to be firm on the ground working with all stakeholders to overcome these challenges.

Jay Rox teams up with Tommy D on “Pala Ba Nda”

Brand new offering from Jay Rox. This is the second single off his forthcoming album titled S.C.A.R that is set to be released on the 1st of March 2020. This song features Tommy D and was produced by Kenz Ville Marley.

CEC confirms ZESCO won’t renew power agreement in March

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The Copperbelt Energy Corporation has confirmed that that the power purchase agreement it entered into with ZESCO on 21 November 1997 is expected to come to an end on 31 March 2020 and will not be renewed.

According to a company notice to shareholders, CEC says the Zambian government through the Minister of Energy Mathew Nkhuwa and ZESCO have notified CEC of their position that the BSA will expire on the date stated above and will not be renewed.

“In accordance with Section 81(1) of the Securities Act No. 41 of 2016, the Board of Directors of Copperbelt Energy Corporation Plc (“CEC” or “the Company”) advises the Company’s shareholders, and the market, that the power purchase agreement or Bulk Supply Agreement (“BSA”) between CEC and ZESCO Limited (“ZESCO”), entered into on 21 November 1997 is expected to come to an end on 31 March 2020,” says CEC Company Secretary Julia Chaila.

“The Government of the Republic of Zambia (“GRZ”), through the Minister of Energy, and ZESCO have notified CEC of their position that the BSA will expire on the date stated above and will not be renewed.”

Ms Chaila added that CEC will, in the meantime, continue working closely with both the Government and ZESCO with the aim of arriving at a mutually acceptable solution post the BSA.

“GRZ and ZESCO have expressed to CEC their commitment to continue facilitating an efficient and economic supply of power to consumers on the Copperbelt both during the validity of and post the BSA,” she said.

“CEC wishes to emphasise its unwavering commitment to use its infrastructure and capabilities in ensuring continued and seamless supply of power to all consumers on the Copperbelt now and after the BSA.”

Getting the Act Together is an Inescapable Imperative of Sustainable Upward Thrust

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Minister of Finance Alexander Chikwanda addressing the gathering.
Former Minister of Finance Alexander Chikwanda

By A.B. Chikwanda

Introduction

The vast and drastic imbalances that are so glaringly noticeable in the wide array of economies on the global landscape should not be rendered a mystery or reduced to convoluted myth-making. The huge disparities in the levels of development and sustainable accumulation of capital including the human component have their origins in the way some countries do things correctly while other countries are perpetually and inexorably off tangent.

Disparities in development across the global chessboard can be accounted for in terms of correct priority ordering versus the mis-priority and right perception of what constitutes development and misperception on the other side of the divide. Significantly, vital elements in the development recipe or script must include dedication and commitment shrouded inappropriate work culture and ethic.

Africa’s Small GDP

The beleaguered African continent is home to 1.2 billion people which is about 16% of the world population. But Africa’s combined Gross Domestic Product (GDP) is approximately 3% of the global GDP, or about half of the GDP of japan; the surface area of the Japanese islands is 378,000 square kilometers which is about half the area of Zambia. If the South African economy, supposedly a glimmer of hope for Africa but which so far shows no credible signs of remedial upward swing, continues on its inexorable downward drift, the 800 square kilometer island of Singapore will in the not too distant future surpass the GDP of the Republic of South Africa.

Meanwhile, here at home in Zambia, our GDP at independence was the same as South Korea at $3.5 billion. Now South Korea’s GDP is about $1.4 trillion and our GDP is about $60 billion, meaning our GDP is only about 4.2% of South Korea. As our GDP computations could be a very quick progression to fiction, I have used the data in the world bank’s world development indicators of 2015 (base year 2013) which puts Zambia’s nominal GDP at $26.3 billion using the atlas method, and $55.4 billion using the purchasing power parity (PPP). The PPP route takes into account price differentials, for instance the price of lager beer maybe $2 in the USA while it is $0.50 in Zambia.

Context of African Economies

Putting the African economies in a wider global context enables us to see the intensity, depth and lamentable enormity of the quagmire in which we are that consigns us to the periphery of the global economy – a marginalisation which reduces us to an obscure footnote in world affairs. A rabbi of some distinction once observed that there was a streak in Judaism which tended to regard history and world affairs as a poker game played between god and the Jews, in which process and event the presence of other people was casually noted but not assigned any significance. Unless the African performance improves by leaps and bounds, the privilege of that poker game with the good lord may remain illusory as we run the risk of being consigned to the garbage heap of irrelevance.

The thrust of this submission is to underscore the essence and inescapable compelling need to get our act together as a prelude to a meaningful and sustained leap forward. This eventuality requires individual and collective deep and, above all, honest introspection by each and every one of us citizens. We must all embrace the habit of assigning a bit more primacy to service of our country by putting self interest on hold or at least in check and balance.

Development of Zambia Remains Below Levels  Needed to Eradicate Poverty

The population of Zambia in 1964, the year of our break from colonialism, was just under 3 million. The current estimate is 18 million. We have more or less increased our population six-fold without commensurate robust economic growth. Herein lies the time bomb – quite substantial development has taken place in comparison with the exceedingly low ebb of the insidious colonial era. In the recent 8 years of the Patriotic Front (PF) administration, more stupendous efforts have been made to ensure some modicum of development in the far-flung areas of our large country.

The bottom line, however, is simply that efforts at development of our country, past and now, remain below optimal levels required to reduce, let alone eradicate, poverty which apart from degrading victims is also the largest hindrance to meaningful sustainable development. Poor people have no purchasing power and remain bystanders as hunger takes a severe toll on them. The sad thing is that even those few Zambians in some sort of employment live on the precarious margins of existence. Wages as in most other African countries remain appallingly low, eroded by relentless inflationary spirals. Income disparities have become more entrenched as the gap between the haves and have-nots becomes increasingly irreversible.

Africa’s Miserable Failure is Essentially a Leadership Failure

The vexing issue of the stagnation or painfully sluggish growth of our country is a huge challenge which requires deeper reflection by all of us. We need to pool our small experiences and intellectual resources to rescue ourselves and our country from dehumanising poverty. Leadership in all shapes and levels has a major role for after all, Africa’s miserable failure is essentially a leadership failure. We all, however, have a critical role; crafty apportioning of blame and heaping obscenities at selected targets does not put food on the table. We must all deem it our inextricable duty and responsibility to recognise and accept the negative aspects of our political culture. As freedom fighters, our legacy to the country, despite unquestionable commitment, has been populism even as misery escalated. This has induced a small number of us to feel severely morally constrained to accept being honoured as freedom fighters.

The players on the current political scene should disentangle themselves from outcompeting over the futility of populism which inclines politicians to make lavish and careless undertakings which on account of paucity of resources may be unsustainable. Right now, the prognosis for the global economy is most uncheerful largely attributable to the madness of Washington driven trade wars at the behest of the Trump administration. The commodity prices have taken a severe beating leading to a consequential dip in our economy, being an inordinately commodity dependent country. To compound matters, acts of God in the form of weather adversity have hampered development prospects. Agriculture in Zambia contributes between 15-20 % to the GDP. Any contraction in the agricultural sector sends the GDP nosediving. Stoking unsustainable expectations carries with it obvious downside risks of undermining confidence in public institutions, in the end bidding up scepticism and worse, cynicism.

The glaring challenge for all political leaders in Zambia is to join efforts to tell the populace that no country has wealth other than what people create and that development is only a tenable eventuality when and where people are active agents of development. Zambia has many people in the remote areas of our country who work exceedingly hard and break their backs; there are equally large numbers of our people who are symbols of indolence and irresponsibility. Prospects for enhancing purchasing power of our people, in the process growing the economy, are inevitably embedded in the Agro sector. A veritable success story for Zambia will only be possible when people in the primary sector, which is synonymous with agriculture, get what amounts to a fair and reasonable recompense for their stupendous efforts. This matter is beyond producer prices. It is essentially an issue of both apt agronomy and growing crops in the appropriate ecological zones.

 

Zambia’s diversity of soil structures.

The country has a diversity of soil structures. In the savanna areas such as southern province, Lusaka and parts of the central province with average rainfall of 750 millimetres, the humus factor is favourable. But much of the northern sector with high rainfall reaching or surpassing 1,400 millimetres, the acidic levels mean low humus levels of 4 or below which crops such as maize can’t endure except by toning down the acidities through costly liming of the soils to get the ph level to at least 5.5. The country is not without inspiring stories. In the southern province, even small-scale farmers need no assistance with agronomy to grow maize (Mapopwe), just ensure delivery of inputs on time. In 1979, I was in the interior of Kalomo and reached a remote place called Njabalombe – as the name suggests it must have been a difficult place and only tough guys “Bolombe” reached there. The rewarding aspect of the visit was that the small-scale farmers in that area had maize yields higher than on the American and Canadian prairies. Apart from good soils, there was diligence and attention to detail.

Zambia has many success stories in agriculture. The small scale sugar cane producers at kaleya in Mazabuka outdo Nakambala in cane yields, harvesting slightly above 130 tonnes of cane per hectare in comparison to big estates in Kwazulu Natal Province of South Africa with yields of 70-80 tonnes per hectare – the comparison may be distorted because the cane in natal is rain fed whilst in Mazabuka, it is irrigated. However, the favourable cane yields underscore the advantages implicit in irrigation. Our good commercial farmers who grow irrigated wheat have reported yields of 11 tonnes and greater per hectare, outperforming the success stories of wheat yields of 10 tonnes per hectare in the state of Oregon in the United States of America, and that wheat is a genetically modified variety.

Supposing we did not marginalise or criminalise creativity and got small-scale farmers to do a soybean-wheat rotation; this would create viable alternative income possibilities. It is a big step forward to facilitate small scale farmers to benefit from the very salutary nitrogen recycling implicit in a soybean-wheat rotation. Soybeans do not need fertiliser but can be infused with Innoculum, laboratory bred bacteria which our resourceful scientists produce at mount Makulu, a glaring success story. The aforesaid bacteria convert nitrogen from the air into a usable form for the plant. After the soy harvest, lots of nitrogen is left in the soil enabling a much reduced outlay on expensive inorganic fertiliser for the next crop.

Agrarian revolutions are a compelling need for our stagnant continent. India is an outstanding example of a successful agrarian transformation. Up to the 1960s, India relied on international charity for the balance of its food needs. India now has massive food surpluses. Take sugar as an example – the requirement for sugar in India is around 26-27 million tonnes per annum, but currently India has a surplus of over 6 million tonnes which the Indians are struggling to sell on the glutted global markets.

Successful agriculture can transform regions. In Zambia, we can cite the transformation of Chipata as an epitome of successful agricultural ventures. Agriculture around Chipata is very strong and I have personal experience. In 1981 after I resigned from the UNIP government, friends from a UK Company, Interbex, established the tobacco development company. Interbex were experiencing difficulties navigating the local politics so I was asked to assist by becoming chairman of tobacco development company which was eastern province based. First, I agonised over promoting tobacco but high income prospects for rural farmers swayed me in the direction of acceptance. I further salvaged my conscience by donating my director’s fees to facilitate the publication of the Zambia Medical Journal; when publication of the journal ceased, I reassigned my fees to charities. Anyway, for the next 30 years, I was in the east quite frequently to oversee production, principally at Kapara in Chipata and to a lesser extent in Vubwi and Zemba. Not least, it was a good opportunity to monitor the mischief of those easterners!

We made a lot of progress, especially when we recruited a school teacher, Lameck Mangani, as General Manager. The communication with the growers was important and lameck was a big plus before he left in pursuit of political prospects. In good years, tobacco contributed up to $50 million to the economy of the eastern province, especially Chipata. Good application and diligence were crucial factors as we learnt at Kapara. Women excelled while men with social excessed were unimpressive – the women had tobacco yields of up to 2,000 kilogrammes while men averaged a mere 800 kilogrammes per hectare. It was an uplifting experience to see women come to prize giving at Kapara in their motor vehicles bought from the proceeds of tobacco sales.

If distribution of seedlings to the small-scale farmers and the entire cashew nut project are properly managed, the economy of the western province will in 6 years from now be a robust and sustainable venture. People in the province are both diligent and quick to adapt. I have been an enthusiast for the cashew nut project and during my recent tenure at the ministry of finance, I visited the cashew nut project in Mongu several times, the last being for the purpose of handing over a government cheque to the co-operative as an encouragement, especially for the cashew processing component. A tonne of cashew nut fetches a lot more than that of copper. Cashew nut production costs in relation to copper are inconsequential. The $50 million from the African Development Bank is useful to kickstart the cashew project; more should be obtained from the same source and the cashew project should be replicated in several provinces.

Industrialisation will remain a Forlorn Hope, Agriculture is quite a Fast Route.

It is legitimate to desire industrialisation but this for quite a while will remain a forlorn hope. Agriculture is quite a fast route. The economies in eastern Africa – Tanzania, Kenya, Uganda and Ethiopia – have been successfully underpinned by coffee. Northern Zambia, with the most suitable climatic conditions, only delivers 5,000 tonnes. The scheme at Kateshi in Kasama operated by a company with origins in Singapore is a palpably undercapitalized toy venture without a viable out-growers component. All these plantation agricultural schemes have a gestation period which is much shorter than in extractive industries. Having had the privilege of superintending African rainbow mineral’s operations in Zambia until 2010, I can give an example of Konkola North Company (KONOCO), now called Lubambe Copper Mine. The exploration and prospecting started in 1996 and the mine only came on-stream in 2012 – a gestation of 16 years. Several times as chairman of KONOCO, I was in the mines department pleading for extensions to the licence which were graciously granted.

The sad plight of the rural poor cannot be addressed by handouts. No government in Zambia will ever secure a magic wand to ordain the eventuality of resources from the heavens for distribution. There is no alternative to concerted collective efforts to address poverty in our midst!

 

The Versatile Social Media

The versatile social media which has given citizens leeway and latitude for free expression and circumvention of dependence on encumbered media does not generate sensible debate on development options. Social media appears to be dominated by perpetually angry men and women with eternal axes to grind.

I do not patronise social media and my limited exposure indicates a few quite analytical submissions but largely issues which epitomise anger, frustration, and toxic bitterness. The authors or actors appear intelligent and talented in a variety of ways; the worry, therefore, is why should men and women of quite positive attributes not use their immense intelligence to indulge in deeper probes of the problems and weaknesses that bedevil our society. Why should those unique characters choose and take pride in being ardent and overzealous apostles and high priests of malice and ingrained hatred?

 

Zambia betrays signs of being a moral and intellectual void

It is not uncharitable to suggest that regrettably, our country betrays signs of being a moral and intellectual void. Over 50 years after the first university and others that followed later, there are no academicians that are role models for the young people and posterity to emulate. No outstanding publications from academia that catch the imagination of the people. Such social scientists that get into or solicit the limelight merely play to political galleries.

Zambia’s Political Landscape

The change of guard at the end of 1991 did not entail a restructuring of governance institutions. Multipartyism was reintroduced, crafted on the institutions of the one-party system which had its peculiar norms or internal logic, namely power being indivisible and reposed in one institution with its requisite subsidiaries. The logical sequel was the inevitable privatisation of the state. One of the cultural gifts from one-partyism is the hero-worshipping and deification of leaders which permeates all parties, those in power or in opposition.

Some opposition parties have a burning desire to get into government without banishing sectarianism on which they may be anchored. They have no veritable blueprints to indicate a better development agenda or institutional overhaul which would deliver better governance and enhanced dutifulness and probity. The opposition parties are mute on such matters and yet injurious slippages in governance, especially exceedingly large commitment and integrity deficits, may have their origins in flawed and fraudulent governance practices. Assigning inordinate and unfettered power to an institution with very questionable trappings of accountability can never be salutary, let alone cost neutral anywhere. It is very obvious that much deeper reflection is required to devise better governance structures including meaningful “disprivatisation” of the state.

Now the Crunch – The Economy

There is an aura of despondency about the economy inexorably downward spiralling, almost on the verge of collapse. This is the worst case scenario, the reality is that there are still significant prospects for overcoming the current reverses but a bit more seriousness and purposefulness are needed. We also require a bit of help from nature in the form of a good rain season taking care of both the amounts of rainfall and appropriate distribution for the duration of the season, particularly at the pollination stage of crops like maize when moisture is needed to sustain the formation of seed on the cobs.

One of the current vexing challenges is the volatility in the kwacha parity or exchange rate which is essentially the price of our currency in terms of other currencies. Exchange rates have a series of ramifications, one of the most damaging facets being inflationary spirals which result from ever downward trends in the currency – there is, of course, need to guard against exchange overvalue. Some short-term remedies are adjustments in various monetary tools such as policy rates and reserve ratios which can contain speculation by over-liquid banks. However, these measures cannot deal with currency weakening that is a function of demand and supply disequilibrium. In these circumstances, greater government fiscal tightening can help. As a country, we need import rationalisation and export diversification.

We started doing well on this front when non-mineral exports, so called non-traditional exports, peaked at 30% of total export earnings, but there has been a slide since then. This leaves copper still as the main exchange earner.

Mining companies in the past year have reduced instead of ramping up production, partly as a result of misperception in the policy sphere more so as it relates to taxation. This is a matter of profound regret because copper prices have now shot beyond $6,000 per tonne after a series of lows. Copper stocks as captured by the London metal exchange (LME) are reducing quite significantly and there are no greenfield ventures in the offing. It may be expedient to look at a measured mining policy review to foster a win-win scenario for both government and the mining sector. Zambia is still an acceptable investment destination. We still remain the only credible country in the Sub-Saharan Africa without crude exchange controls, investors need free movement of capital. For a long time, mining will remain an anchor of the economy. We haven’t even touched the over one billion tonnes of iron ore in Mumbwa which at 70% Fe (iron) content is the richest deposit in the world. Mining, contrary to popular perception in Zambia, is not a glamourous jolly ride. There is a compelling need to send correct and hopeful signals to the current and future investors in the mining sector.

Indisputably, there are severe or acute challenges in the economy but nothing is insurmountable. There are a host of useful activities in the economy. Fortunately, the activities are private sector driven. A radical departure from expensive government patronage is good for any economy. My hope, not at all pious, is that Zambia has many entrepreneurs including our most diligent women. The regrettable downside issue is just lack of logistical support for our enterprising folk – there are no support financial institutions with reasonable priced money.

The bottom line is that the immense difficulties that we face will be rendered easier to overcome if we all pool our efforts. There will be no easy solutions such as some of our prominent citizens showing their beautiful faces to the outside world and money starts rolling into Zambia with amazing rapidity and ease. Such ideas are naivety par excellence and are only forgivable because most of us Zambians have this trait of seeking refuge in fantasy. Behavioural scientists would have a remarkable field day accounting for our exceptionally rich fantasy complex.

Zambia is our individual and collective responsibility. We should never outsource this responsibility even to the most benevolent fairy gods, also known as donors! We must do the right things to arrest the slide in the economy with due expedition. The ugly reality of life is that just as progress has useful multiplier effects, regression also has exponential propensities. De-escalating the rot is the only viable script for survival!

 

The Author was a Finance Minister in both the UNIP and the PF Government

Now Chitotela also volunteers to have his pay cut

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Ronald Chitotela
Ronald Chitotela

 

Tourism and Arts Minister Ronald Chitotela has become the latest senior government official to voluntarily surrender to have his salary cut by 20%z

Mr Chitotela has emulated Lands and Natural Resources Jean Kapata who was the first high ranking government official to publicly declare that she wants her salary cut following the example set by President Edgar Lungu.

The move is said to be in line with austerity measures being implemented by the PF government.

In a Facebook post, Mr Chitotela said he will be writing to the Secretary to the Cabinet to implement the salary cut.

“Public life is service above self and mostly it is imperative that those who have ought to share with those who do not have,” Mr Chitotela said.

“More also there comes a time that we at times need to make critical decisions to offer service to human kind. Such decisions must be taken swiftly for the good of mankind,” he said.

“I want to join my colleagues who have already made this decision and those that are yet to make in regards to the directive by the head of state to cut our salaries.”

He added, “I will be writing to the Secretary to Cabinet tomorrow instructing him to effect the cut on my salary with immediate effect.”

Plans under way to open up milling plants in all provincial centers to address the high price of mealie-meal-Mabumba

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Minister of General Education David Mabumba
Minister of General Education David Mabumba

Minister of General Education David Mabumba says plans are under way to open up milling plants in all provincial centers to address the high price of mealie-meal.

Speaking during a meeting with the business community in Mwense, Mr Mabumba said currently government has no milling plant except the private sector hence the high prices of mealie-meal.

And the minister assured the local businessmen and contractors that once the Mwenda-Kasomeno road project starts, their businesses will no longer be the same as the local economy will grow.

Mr Mabumba also encouraged the contractors to start putting their documents in order in readiness for the Constituency Development projects which will start soon.

He disclosed that both Mambilima and Mwense constituencies have received a total of two million, two hundrend thousand kwacha Constituency Development Fund (CDF) and that soon the projects will start.

Mr Mabumba who is also Mwense constituency Member of Parliament said CDF and the 20 percent equalization fund empowers the local businessmen and contractors as it helps to keep money circulating in the local economy.

He requested the council secretary to prioritize the local contractors when awarding contracts and further appealed to the local contractors to do a good job if they are to be given future projects.

The minister said contractors and businessmen are the engine to the local economy in the district adding that they should implement projects which will stand the test of time.

RTSA grants motorists and fleet owners extension for 2020 licences

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RTSA Head of Public Relations Mr Fredrick Mubanga
RTSA Head of Public Relations Mr Fredrick Mubanga

The Road Transport and Safety Agency (RTSA) has given a grace period of 18 days within which motorists and fleet owners should acquire motor vehicle and trailer licences (road tax) and Road Service Licences (RSLs) for the year 2020.

All motorists, fleet owners and Public Service Vehicle Operators PSVs) have been given an extension of up to 20th January, 2020 to pay for the required licences.

Therefore, effective Friday 3rd January 2020, there will be no enforcement of the validity of the said documents until the stated grace period has expired.

The Agency is providing this grace period to accommodate the licencing needs of all motorists and fleet owners.

However, the extension does not include the certificate of fitness and the test certificates as the two relate to road-worthiness and the safety of the motor vehicle.

The RTSA hopes that the public will utilise the extension to comply with the law.

The Agency further wishes to urge motorists to renew and pay for motor vehicle and trailer licences for the year 2020 in accordance with the provisions of the Road Traffic Act No. 11 of 2002.

Luapula Miller reduce mealie meal prices

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Government’s recent move to release cheaper maize from the Food Reserve Agency (FRA) to selected millers in Luapula Province has paid off, with Jambara Milling slashing mealie meal prices.

Jimbara Milling Chief Executive Officer, Jimmy Chisenga, told ZANIS in Mansa that his company has decided to reduce wholesale prices of mealie to respond to government’s good gesture.

Mr Chisenga explains that a 25 kilogramme bag of breakfast meal will now sell at K130 while roller meal will be sold at K125.

He disclosed that his company has since asked retailers across the Province who are getting Jimbara mealie meal to sell 25 kilgramme bags of breakfast and roller meal which were fetching as high as K180 and K170 respectively to be slashed to as low as K137 and K130 respectively.

Mr Chisenga who extolled government’s move to cushion mealie prices in the Province said the benefits should now trickle down to retailers and consumers.

And some Mansa residents spoken to have praised government for offloading cheaper maize to millers like Jimbara Milling.

Aledy Mutambo has however urged other millers to emulate Jimbara by bringing down the prices of mealie meal.

A beneficiary, Micah Chitika has said that the money saved as a result of the price reduction will go towards buying other home requirements.

Another resident, Peter Mwanda says he is happy because he can now afford three meals a day following the reduction.

Government to Strengthen Environmental Governance in Mines

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Government through the Zambia Mining and Environmental Remediation and Improvement Project (ZMERIP) is reviewing the policy and legislative framework on Environmental governance in the mining sector.

ZMERIP is a US$65.6 million, World Bank funded project being implemented by the Ministry of Mines and Minerals Development, whose objective is to reduce environmental health risks, including Lead exposure, to the local people in critically polluted mining areas in Kabwe, Kitwe, Mufulira and Chingola whilst strengthening the environmental management and governance in the mining sector.

Providing an update on ZMERIP’s performance for 2019 at his office, Permanent Secretary in the Ministry of Mines and Minerals Development, Barnaby Mulenga said the project has embarked on the development of technical guidelines for mine closure and progressive maintenance of mines.

He said ZMERIP in collaboration with the Project Implementation Units at the Zambia Environmental Management Agency (ZEMA) and Mine Safety Department (MSD) is also working on operationalisation of the Permanent Environment Fund at ZEMA and improve the Environmental Protection Fund (EPF) under the Ministry of Mines to minimise Government expenditure on environmental liabilities.

“We are aware, as a ministry that some mines have in the past not been technically closed and that is why this intervention from the project is a useful one. When closing a mine there must be certain processes that will ensure that environmental liabilities are reduced after operations come to an end and that is why these guidelines are important,” Mr Mulenga explained.

Mr Mulenga further said one of the objective of ZMERIP is to build capacity among regulatory institutions such the ZEMA, MSD, Radiation Protection Authority (RPA) and the four municipalities to enhance enforcement regulation and improve effectiveness of environmental monitoring and information dis-closure.

“As a ministry we noted that there was a gap where Councils were not involved in environmental matters will be capacity built so that they are able to support environmental monitoring mining activities and provide useful data to the project for monitoring of compliance year by year,” He added.

Mr Mulenga said, “Mining is an expensive exercise which if not properly managed has consequences that impact local environments negatively. Environmental liabilities that arise from mining need a clear strategy and through this project, it an opportunity to put in place policies and legislation that will ensure going forward we manage the environment better.”

Remediation of contaminated Hotspots and infrastructure improvement
Mr Mulenga said the project has launched Environmental and Social Impact Assessments (ESIA) studies for environmental remediation and infrastructure improvements in Kabwe and the Copperbelt for the rehabilitation of the Kabwe Canal, construction of an Engineered Sanitary Landfill and Voluntary In situ remediation for Lead hotspot areas in Kabwe and rehabilitation of Tailings Dam 10 in Mufulira and Overburden Dump 54 in Kitwe.

The Kabwe Canal which transverse five townships is a channel for effluent discharged from the Kabwe mine which also carries storm water containing Lead elements during the rainy season.

The ESIA studies will inform the appropriate remediation works to be implored during implementation, taking into consideration comments and suggestions from the communities in project areas.

Mr Mulenga said ZMERIP recently conducted a pilot environmental remediation at Mine Primary School in Mutwewansofu using the deep tilling technique which involves the turning of soil upside down and applying phosphate to bind the Lead contents.

He said the pilot exercise was successful and interventions will be extended to selected schools with high Lead levels in the soil within the hotspot areas.

Mr Mulenga explained that although the project was centred on Kabwe, ZMERIP was also addressing environmental liabilities on the Copperbelt where the project plans to rehabilitate selected mine waste facilities to minimize potential pollution threat to the surrounding communities.

ZMERIP will also undertake phytoremediation in Kabwe and Chingola, a bioremediation process that uses various types of plants to remove contaminants in the soil and groundwater. Kabwe is faced with Lead pollution where as Chingola suffers from Copper sulphate water pollution.

Reducing environmental health risks

Mr Mulenga said Government has procured, through UNICEF, $2.5 million worth of medicines for the Blood Lead Level (BLL) treatment exercise in Kabwe aimed at reducing high Blood Lead Levels in people, particularly children, exposed to Lead pollution.

He said the project with the support from Ministry of Health will next year roll out the testing of 10,000 people and treatment of 4000 people with high blood Lead levels in Kabwe.

Mr Mulenga said ZMERIP in partnership with the Technical Working Group (TWG) comprising experts from the University of Zambia (UNZA), District Medical Office and JICA-KAMPAI has developed a health manual and lead treatment protocol for use by medical staff and community volunteers.

He said TWG also trained over 30 health workers in Kabwe and Kapiri Mposhi Districts in preparation of the lead test and treat health intervention. To support the health interventions, ZMERIP has launched the Livelihood Interventions which will empower vulnerable women and unemployed youths groups in Kabwe, Kitwe, Mufulira and Chingola whose livelihoods have been negatively impacted by mining.

The empowerment is aimed at providing alternative sources of income and discourage local people from health threatening activities such illegal mining and stone crushing among others.

Stakeholder support

Mr Mulenga said Government cannot achieve much on its own and appealed to mine license holders to safe guard their operations and ensure environmental and safety compliance. “It is the responsibility of every mine license holder to ensure that they mitigate against any environmental liability in their license area.”

He also urged stakeholders and communities in project areas to support the interventions saying environmental health risks associated with mining pollution affects nearly everyone.
He said ZMERIP has developed a Feedback and Grievance Redressal Mechanism (FGRM) to allow affected persons to provide feedback and concerns related to ZMERIP to the project.

Observe fish ban-Sikazwe

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Part of the remaining infrastructure at Kasaba bay along the shows of Lake Tanganyika in Nsama district of Northern Province yesterday. The place is famous for the beautiful attractions the area is endowed with
Part of the remaining infrastructure at Kasaba bay along the shows of Lake Tanganyika

Mpulungu District Commissioner Dennis Sikazwe has appealed to fishermen in the district to observe the fish ban.

Speaking to ZANIS in an interview yesterday morning, Mr. Sikazwe said the exercise is aimed at allowing fish to breed in water bodies.

He explained that if the exercise is not observed the fish in Lake Tanganyika will deplete hence the need for fishermen to adhere to the ban.

He has since called on fishermen in the district to cooperate with authorities for the benefit of all stakeholders in the district and the country at large.

He further urged the fishermen to take all the necessary steps required, such as the registration of their boats to avoid being in conflict with authorities, once the breeding season comes to an end.

The Ministry of Fisheries and Livestock has effected a one-month fish ban on Lake Tanganyika and Lake Kariba which is running from 1st January to 31st January 2020

Zambia Police Chief Kakoma Kanganja accused of failing to Enforce Court Orders

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Inspector General of Police Kakoma Kanganja
Inspector General of Police Kakoma Kanganja

 

The Movement for Multi-Party Democracy (MMD) has accused Zambia Police of failing to enforce the court orders the party obtained.

In a statement to the media and the party cited other cases where the police chief has failed to enforce court orders despite being given the necessary documentation.

 

The party accused Lusaka Province Commissioner of Police Nelson Phiri of issuing a permit to Mr Nakachinda to hold a meeting as ‘MMD National Secretary’ despite the court judgment.

The party said that failure by Police to enforce court judgments will understandably lead to the hiring of gangs to enforce Court Orders if the police continue to refuse to protect them.

Below is the full MMD Statement

By Alexander Miti

I cannot agree more with Counsel Dickson Jere (Former Press Aide to H.E President Rupiah B Banda), on the issue of the failures and weaknesses of the Police under Inspector General Kakoma Kanganja.

Jere wrote…. (His facebook page)

“_Something is amiss with our police. And the top command seem not bothered with their inability to protect citizens. Just few weeks ago, an officer from the Sheriffs of Zambia office was badly attacked by suspected cadres when he tried to enforce a Court Order – the Inspector General of Police is very much aware of this incident. And he is quiet!_”

It is true that the level of lawlessness that we are now witnessing in our society is due, in part, to the weak leadership being provided by the Inspector General of Police. He is at ease and is not bothered by the wrong indices increasing on his watch.

Our experience with the IG is similar to that of Mr Dickson Jere. After the High Court held in our favour and nullified the illegal Convention organised by Mr Nakachinda and others, it became necessary to enlist the assistance of the Police Command in Lusaka and across the nation to assist with the recovery of Party property which is in the hands of unauthorized individuals. From nowhere, Lusaka Province Commisioner of Police (ComPol) Nelson Phiri halted the exercise and instead started demanding for a “court order” (very laughable). Then he went on to try to set up a meeting with Mr Nakachinda (who he was friends with) to try and resolve issues away from the Judgement of the High Court or which may not have been addressed by the Judgement. ComPol Phiri just refused to accept the Judgement of the High Court and wanted it reinterpreted. That has remained his position to this very day.

While all this was happening, ComPol Phiri issued a permit to Nakachinda to hold a meeting as ‘MMD National Secretary’. It did not matter how many times he was reminded that what he was authorising for his friend Nakachinda was illegal. He just used his uniform and rank to let it happen.

It appears that, as long as you have friends in the Police Command, it does not matter, if you have offended the law and even if there is a court ruling against you, you will be allowed a go Scot free.

When the matter was reported to the IG, he was simply unable to provide leadership. He is so comfortable in his air conditioned office to be bothered by small things of law enforcement. He only moves to escort the President here and there that is all. He could not even guide his clearly compromised Commisioner. The IG is sleeping on duty and criminals are running the show.

Only the IG and Commisioner Phiri have not heard about the ruling of the High Court in the MMD case. Even though IG was among the first people we availed the full Judgement of the High Court, he still does not know its contents. The only version that matters to the IG and to his Lusaka Province Commissioner is the one Nakachinda gives them.

Well, it is not difficult to understand why Dickson Jere says, “People will opt to hire gangs to enforce Court Orders if the police continue to refuse to protect them”.

Mr Kangaja and Mr Phiri are incompetent. They do not belong to the top circle of the profession. They are fragile. Now we see why Chilufya Tayali dragged Mr Kanganja to court.

For 3 years we tried to understand the Police Command’s reasoning with regard to our party. Their argument was always that Mr Mutati’s name was at the Registrar of Societies. But now after the matters were settled by the High Court and the Register at the Registrar of Societies rectified, we just cannot believe the incompetence. There can only be one explanation, either these are political operatives or they have a bad habit of conniving with lawbreakers to circumvent the law.

We may soon have no option but to cite both the IG and his ComPol for Lusaka for contempt together with their friend Nakachinda.

Well, the darkness is fading away and the dawn is soon coming.

Zesco United Get Their Man , Were Stays, Akumu Leaves

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Goal machine Chris Mugalu has finally left the comfort zone of Lusaka Dynamos to join Zesco United in this seasons worst kept secret in a flurry of activity at the Ndola giants barely two days into the new year.

Mugalu, who score nine goals in 2019, 14 in 2018 and won the 2017 golden bot with a clutch of 21 goals, joins the defending FAZ Super Division champions on a two year deal.

“It is with great excitement that we announce the signing of Chris Mugalu on a two-year contract. Mugalu adds to a number of marquee signing that ZESCO United has made in recent years. We are positive Mugalu will add great firepower to our striking force,” Zesco CEO Richard Mulenga said.

Mugalu’s arrival lifts a burden upfront on his fellow goal king Jesse Were who currently leads the on ten goals despite his current goal drought.

Were too has extended his stay with Zesco for another two seasons ending rumors of his exit from the eight-time champions.

Mugalu, though, has by his very high standards, only found the back of the net in the 2019/20 season three times.

Meanwhile, Were’s Kenyan compatriot Anthony Akumu has left Zesco after three seasons at Levy Mwanawasa Stadium.

Kaizer Chiefs is believed to be the midfielder’s next stop.

Cut My Salary Starting this Month in support of President call, says Jean Kapata

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Minister of Lands, Natural Resources and Environmental Protection Jean Kapata
Minister of Lands, Natural Resources and Environmental Protection Jean Kapata

DEDUCT my salary starting this month in support of President Edgar Lungu’s call for senior government officials to sacrifice part of their perks, Minister of Lands and Natural Resources Jean Kapata has said.

Ms Kapata said there was need for patriotic Zambians to die a little for the good of the economy.

She said in an interview that the deducted funds would help cushion the poor against the increased prices of essential commodities.

Ms Kapata said Government should effect the Presidential directive to cut salaries immediately and that she was ready to surrender a chunk of her salary even this month.

“I want to support President in the salary deduction and I also offer my deduction starting this month because it’s for a good cause and money should be directed or given to the poor especially women,” he said.

Ms Kapata called on Zambians not to politicize the President’s directive as he had the plight of Zambians at heart.

“I am of the Catholic faith and my church teaches that we give alms to the less privileged so the presidential pronouncement is timely and I thank the President for this good gesture,” she said.

Ms Kapata also wished Zambians a blessed new year, saying that God would favour Zambia in all its endeavours.

 

Source: Daily Nation

Amos Chanda and Zindaba Soko in Court on allegations of receiving bribes

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Amos Chanda in the company Chilufya Tayali after Appearing in Court
Amos Chanda in the company Chilufya Tayali after Appearing in Court

Former special assistant to the President for press and public relations Amos Chanda and Road and Transport and Safety Agency (RTSA)  CEO Zindaba Soko today appeared in the Lusaka Magistrates’ Court before appeared before Chief Resident Magistrate Lameck Mwale, on charges of corrupt practices and possession of property suspected to be proceeds of crime.

In the charge read out in Court, it is alleged that Mr. Chanda jointly charged with former RTSA Director and CEO, Zindaba Soko received a sum of $11,000.00 and  $10,000.00 respectively from the promoter of speed cameras project, Mr. Walid El Nahas, from Intelligent Mobility Solutions (IMS), the firm he owns.

On the first charge,  it is alleged that Walid El Nahas on dates unknown but between August 1, 2017 and May 31, 2019 corruptly gave US $10,000 to Soko, a public officer, as an inducement in order to facilitate the award of a contract to Intelligent Mobility Solutions Limited by RTSA.

In the second charge, it is alleged that Walid El Nahas on dates unknown but between August 1, 2017 and May 31, 2019 corruptly gave US $11,000 to Chanda, a public officer as an inducement in order to facilitate the award of a contract to Intelligent Mobility Solutions Limited by RTSA.

Both Mr. Soko and Mr. Chanda denied the allegations that they possessed money suspected to be proceeds of crime, and will be back in court on January 28th