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UPND says 2016 Budget demonstrates the danger of a Government without a Vision for Economy

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Charles Kakoma
Charles Kakoma

UPND reaction to the 2016 budget

9 October 2015

So now we have the 2016 budget before us. Here we present our initial reaction while we prepare a more detailed analysis and alternative proposal for the Zambian people that we will issue next week.

The first thing many will observe is that the budget is bigger than last year now standing at K53.1 billion (US$4.6bn) against last year’s K46.7 billion (US$7.4 billion). However the kwacha is much weaker, having fallen 46% against the USD in the past year, which is very problematic for an import dependent economy such as ours. It is also worrying when you consider that the cost of everything has gone up double or sometimes even triple. For those living in poverty there was nothing in this budget to improve their situation or to help them cope with rising prices. For example on agriculture, this budget is silent on pro poor growth.

To us this budget highlights the missed opportunities we’ve had and demonstrates the danger of a government without a strong vision for the economy, coupled with the will and determination to realise that vision. If the vast sums of Eurobond money the PF has raised during their time at State House had been deployed strategically then we could have much greater resources at our disposal to address these challenges, but this cannot happen without a vision. And so we now face an external debt of $6.3 billion compared to $4.8 billion just 9 months ago. We face this debt mountain without any hope of how we will get over it.

It is hard to credit the Minister with fiscal discipline in this budget. The theme of the budget may be ‘fiscal consolidation to safeguard our past achievement and secure a prosperous future for all’ but yet at a time of economic difficulty the size of the Cabinet has been increased in size by 25% at great expense. This appears to be an unwise investment on behalf of the Zambian people as the Government is not delivering value for money. At the same time the past achievements have been torn to pieces. So what are we safeguarding?

This clear mismatch between stated intentions and spending undermines the credibility of the Minister’s address. This is also the case when they talk yet again about diversification. This is something that has been regularly stated but no serious attempt to deliver has followed. There were other claims on inflation and reduction of budget deficit, the deficit that they have grown exponentially during their 4 years in office, where it was not made clear how they will be achieved and there is still much explaining for the PF to do. Zambians are tired of such claims without explanation, just as our economy is tired.

There was also a lack of strategic focus, something that only becomes more important when your resources are limited. For example, once again the talk of a national airline was packaged as an attractive proposition, but we are already running late on critical aviation infrastructure developments and taxes continue to choke the tourism sector. We must be serious and strategic about such matters. The Minister did not do justice to the tourism sector.

We also wonder where the targeted interventions in areas that will deliver returns, such as youth, entrepreneurs and start-ups, who can go on and create jobs for others are. We may not have vast sums of money to invest as a country but mentorship schemes and programmes to increase knowledge and skills transfer are low-cost but high-impact interventions. Given our limited resources these are some of the areas we must concentrate on, at the same time giving businesses the best chance to succeed, grow and create more jobs through clear, stable and common sense policies.

Finally, it is evident that in the face of current economic challenges Zambians need a Government that is strongly focused on delivering results. Perhaps after increasing Cabinet by another 5 ministers at a time of financial austerity the President could rectify this error by sacking 5 of his worst performing ministers if they do not deliver quickly?

At budget time the question we used to focus on was how can we make things better for Zambians and how can we improve our country together. How have we gone backwards from this to a place where the question is more about how can we stop things getting worse? The PF has taken us here during their four years in office. This should be the last PF budget.

Charles Kakoma

UPND Spokesman

Chilubi to conduct mass elephantiasis vaccination

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elephantiasis
Chilubi District Medical Office will soon embark on a mass drug administration for elephantiasis to prevent the transmission of the disease in the district.

According to a public notice, health officials intend to administer the anti-elephantiasis drug to all persons of two years and above.

The District Health Office has since appealed to people in the area to turn out in large numbers to receive the drug so that they can stay clear of the dangerous disease.

Health officials have also called on people to sleep under Insecticide Treated Nets (ITNs) to prevent the spread of the disease which is transmitted through infected mosquitoes.

ZANIS reports that the drug administration exercise will be conducted for five days starting from Monday October 12, 2015.

Once transmitted, elephantiasis is a dangerous disease that causes body swelling and has no known cure.

And in another development Chilubi district council has appealed to dog owners in Chilubi to register their dogs with the local authority.

The local authority warned that it will work with the veterinary department and State police to ensure that dogs that were not registered are eliminated.

The council has also stressed the importance of taking dogs for vaccination.

Last week, three suspected rabbied dogs viciously attacked a 72 year old woman of Kabango village in Chilubi district leaving her nursing serious wounds on both of her legs.

The woman who experienced difficulties in walking after the injuries has since been put on medication at Muchinshi Rural Health Centre in Chilubi.

Ordinary citizens have since appealed to government through the veterinary department to eliminate stray dogs that have been freely looming the streets of Chilubi attacking people and livestock.

DEC arrests 7 Miraa peddlers

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decThe Drug Enforcement Commission (DEC) has arrested seven people in Muchinga Province for trafficking in more than 500 bundles of Miraa.

The seven who were arrested and jointly charged include Estella Bwalya, 43, a business woman and Steven Maloba, 42 both of Ntindi village in Nakonde District, Charity Nakamba, 22 and Catherine Nakamba both of Chiyanga village in Nakonde District for trafficking in 319 bundles of Miraa weighing 81.9kg.

The four were arrested at a bus stop in Nakonde as they were about to board a Lusaka bound bus.

Others are Helen Mwanza 32, of Ntindi village in Nakonde district and Moses Sikanyika of Ilendala area in Nakonde District for trafficking in 202 bundles of Miraa weighing 45.8kg.

This is according to a statement made available to ZANIS by DEC Public Relations Officer Theresa Katongo.

And in a separate incidence, the Commission in Muchinga Province has arrested Kennedy Siwila 19, a businessman of Ntindi Village in Nakonde District for being in possession of K1, 000 counterfeit notes in K100 bills.

Meanwhile, the commission in Lusaka has arrested two people for trafficking in cocaine.

The arrested are Collins Sakhile Bhebh 28, of Zimbabwean origin residing in Luangwa District was arrested for trafficking in 10 rocks of cocaine and Anthony Daka 30, of Matero East was also arrested for trafficking in 24 rocks of cocaine.

I am not afraid to hold Press Conferences-President Lungu

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President Lungu with members of the Hot FM team shortly after the interview at State House
President Lungu with members of the Hot FM team shortly after the interview at State House

President Edgar Lungu says he is not scared of holding a press conference to address critical national issues.

President Lungu said he is ready to address the media through a press conference when need arises.

Mr. Lungu clarified that he has not yet held any press conferences because he feels that Chief Government Spokesman Chishimba Kambwili and his Special Assistant for Press Amos Chanda have been adequately responding to issues raised by the public.

The Head of State was speaking Saturday morning when he featured on a live special breakfast show from State House on Hot FM to celebrate the station’s 10th anniversary which falls today.

“At the height of the energy deficit, at the height of the kwacha depreciation, i was thinking that i hold a press conference and it was on the verge of opening of Parliament so i said look, it is better i reserve whatever i want to tell the nation in my address to the nation through Parliament,” President Lungu said.

President Lungu added, ‘I have been urged by people saying Mr President, why don’t you have a regular press briefings, i will think about this, am a user friendly person particularly to the media and i consider you colleague, isn’t this a press briefing, aren’t you getting what you want?’

He continued, “If you feel you want to petition that i hold press conferences, i will respond but my style is my style and i will govern in the manner i feel is appeasing to me, some people say we don’t want to be listening to Amos Chanda but what is Amos Chanda there for?.”

President Lungu also castigated the Millers Association of Zambia for announcing a hike in mealie meal prices.

He described the Association as a cartel that is attempting to arm twist the government by unjustifiably increasing mealie meal prices.

“I wanted to address the media the other day when i became so incensed after i heard that they wanted to increase the price of mealie meal but the Minister of Agriculture told me that he will issue a statement on the floor of Parliament which he did,” he said.

On the proclamation of October 18 2015 as the Day of Prayer, Fasting and Repentance, President Lungu said he was moved to make the proclamation after realising how fast the country had drifted from the face of God.

“What drove me to seek God’s intervention is that I noticed that we are drifting away from the face of God. It’s by the grace of God that I’m President. It’s by the grace of God that we have peace. This is a wakeup call and we need to get back to God. It’s a decision I took with great faith and is a sacred one,’ President Lungu said.

He added, ‘We need to periodically go before God. I’m a Christian and we meet here at State House every Sunday. I have bishops who come here, although I haven’t been recently. I hope we can establish a chapel here at State House to avoid all the logistics of me going out of State House to attend church outside.”

President Lungu said October 18th is an occasion to simply say thank you God.

He announced that going forward, Zambia needs to have Thanksgiving Day just to say thank you.

“Yes, I am a Christian, I do go to Church. We have since set up a prayer meeting here although lately I have been attending. We invite Bishops to come and pray on Sundays, this is to avoid the hustle that it takes for the President to go and congregate outside State House,” President Lungu said.

President Lungu said although he has settled in very well as Head of State, he misses his past life as an ordinary member of society.

He said the presidency is a very lonely place.

“I really miss out there, we used to have good times with my friends, I miss you guys, sometimes I try to sneak out of State House, it is not easy here, I wish I would be as free as I was before State House.”

President Edgar Lungu says he will not succumb to pressure to fire any of his ministers from government or his staff at state house just to prove that he has power to do so.

President Lungu has insisted that he has a competent team which is addressing the challenges the nation is faced with.

He also has defended the appointment of Vice President Inonge Wina as Minister of National Planning that she is ably qualified to handle with the additional task.

UK Development Minister arrives to support Zambia in its efforts to improve gender equality

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Baroness Verma, the UK Minister from DFID
Baroness Verma, the UK Minister from DFID

Baroness Verma, the UK Minister from the Department of International Development (DFID) arrived in Zambia last Thursday on an official visit to see and hear first-hand how the UK’s development programme is supporting Zambia’s poorest and most vulnerable.

During her visit, she met with Honourable Vincent Mwale, Minister of Youth, Sports and Child Development. Baroness Verma has championed gender and inclusion issues throughout her career, in particular around the empowerment of women and girls as well as the rights of people living with disabilities.

The UK Minister said:

“I have been deeply moved to hear how women, disabled people and other vulnerable peoples tell me directly about the challenges they face in their daily lives. I am proud that my Government is supporting inspiring projects to give marginalised people greater control over their own lives.”

During her stay, she visited the government supported Social Cash Transfers programme in Kazangula which provides regular grants to extremely poor and vulnerable households (often elderly, disabled and women headed). She was able to hear how these grants are being used to improve recipients’ access to education as well as meet basic food needs. She also visited a Government primary school to understand how DFID support to sanitation has improved girls’ access to education and reduced school drop-out rates.

She also visited Monze district where she was able to see how DFID has helped to improve access to better sanitation and hygiene for poor, rural communities. The programme demonstrates how working with villagers and their local traditional leadership can deliver widespread changes in behaviour around latrine use and handwashing. Women in Zambia disproportionately bear the burden of poor access to water and sanitation. They are overwhelmingly responsible for the collection of water and caring for sick children.

As a champion of gender and inclusion, Baroness Verma was particularly interested to understand some of the challenges faced by women and girls in our country. As such, she met with a group of influential women from both the private and public sectors.

She visited Ng’ombe One Stop Centre for survivors of gender based violence and spoke to a number of survivors about how support to the Centre has increased their access to a range of legal, medical and counselling services.

As today is the International Day of the Girl, Baroness Verma visited an adolescent girls empowerment programme programme funded by DFID. She was accompanied by Honourable Vincent Mwale, Minister of Youth, Sports and Child Development. The programme is helping more than 10,000 vulnerable adolescent girls (aged 10-19) in both rural and urban Zambia, through the acquisition of social, economic and health assets.

Police hold Kalulushi man for impregnating sister

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zambiaPolicelogo
Police in Kalulushi are holding a 26 year old man for allegedly committing incest and impregnating with his 19 year old sister.

This was after discovering that she was pregnant and claimed that her brother had made her pregnant.

According to police sources Brandon Phiri, 26, and unemployed of 60 Lalafuta road in Kalulushi District allegedly had sex with his young sister last month.

ZANIS reports that when the 19 year old girl discovered that she was pregnant, she told family members that her brother had sex with her.
The shell-shocked family members reported the matter to police and demanded that the law should take its full course.

Police have since detained Brandon Phiri and will appear in court soon.

HH is not a leader, it’s by God’s providence that he is not President-Sunday Chanda

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Sunday Chanda
Sunday Chanda

Patriotic Front (PF) has said that United Party for National Development (UPND) President Hakainde Hichilema is not a leader suited for Presidency, but a micromanager as revealed by his Interview on Radio Phoenix where he had a spat with Information Minister Chishimba Kambwili.

In a statement released to the media and signed by Vice Chairperson for Media and Publicity Committee of PF, the ruling party said that, instead of focusing on the bigger picture of how to govern the country, Mr Hakainde came across as a more process oriented technocratic who believes in “trickle down” economics and the economics of “cutting out everything”, including key social infrastructure like hospitals, roads and schools which clearly according to him are not productive sectors and have to be sacrificed as part of his aggressive fiscal measures.

Mr Chanda concluded by saying that it was not an exaggeration to state that it is by God’s providence that some of these people are not Presidents.

Below is the full statement

PF IS PROUD OF THE BUDGETED PRESENTED BY GOVERNMENT, CITIZENS AND STAKEHOLDERS ASKED TO SUPPORT THE MEASURES

STATEMENT BY SUNDAY CHANDA, VICE CHAIRPERSON, MEDIA AND PUBLICITY COMMITTEE

Lusaka, Zambia, 10th October 2015 – The Patriotic Front (PF) is proud of Government’s proposed K53.14 billion in 2016 National Budget, representing 25.8 percent of GDP. The proposed budget which will be financed through domestic revenues of K42.11 billion and grants from co-operating partners of K550 million, is in line with His Excellency President Edgar Chagwa Lungu’s address to the Nation on 18th September 2015. The Budget’s attention to the Health, Education, Agriculture, Energy and among others, confirm of Government’s dedication to transforming Zambia for the better. We therefore ask Zambians and stakeholders alike, to support the proposed Budget presented on 9th October 2015 because it serves the Country’s interests.

The PF wishes to respond to UPND leader Hakainde Hichilema’s sentiments on Radio Phoenix’s “Let the People Talk” program yesterday where he clearly showed that he is a more of a micromanager than a leader suited for Presidency. Instead of focusing on the bigger picture of how to govern the country, Mr Hakainde came across as a more process oriented technocratic who believes in “trickle down” economics and the economics of “cutting out everything”, including key social infrastructure like hospitals, roads and schools which clearly according to him are not productive sectors and have to be sacrificed as part of his aggressive fiscal measures.

We want to state that while President Lungu has articulated a transformative agenda which aims to make Zambia a prosperous middle income country by 2030 and a developed country by 2064, Mr Hakainde and UPND have failed to articulate a long term vision for the country with clear timelines and outcomes. They seem only trapped in the politics of “here and now”.

While Finance Minister Hon Alexander Chikwanda presented a fiscally responsible and development oriented budget in the midst of economic challenges Zambia faces mainly due to global economic forces and climate change, Mr Hichilema and UPND, have failed to present an “alternative budget” which they claim is a secret they have been hiding.

Zambians have realized by now what Mr. Hichilema and UPND represent, and that is an organization purely focused on polemics and political games, but seriously lacking a clear long term development agenda which ties in with Millennium Development Goals (MDGs). On the other hand many stakeholders including UN Secretary Gen Bam Kii Moon and other global leaders have praised President Lungu’s vision for Zambia. In case UPND has one too, we challenge them to present it to the Zambians now.

Lastly, Mr. Hichilema has also clearly failed to articulate how he would have tackled the diminished copper and other commodity prices which are due to economic slowdown in China and the global economy. Neither has he explained how he would have ensured the Kariba dam was full and generating electricity since we all know he is not a rainmaker.

In another strange act, he is strongly opposed and has opted to politicize the National Day of Prayer, Fasting and Repentance declared by President Lungu. In Mr. Hichilema’s wisdom, it is acceptable for UPND to set preconditions before they can join the entire nation in prayers. Mr. Hichilema and UPND must accepted that Zambia is a nation dedicated to God as is pronounced in our National Anthem. On this score, PF is strongly appealing to Zambians to seriously pray for some of these people who seek to become Presidents. It is not an exaggeration to state that it is by God’s providence that some of these people are not Presidents.

Issued by: Sunday Chilufya Chanda, Vice Chairperson, PF Media and Publicity Committee

Arsonist to hang

 

court

NDOLA High Court judge-in-charge Jane Kabuka has sentenced a 38-year-old peasant of Samfya to death for setting a house on fire and burning to death five members of one family.
The incident happened after the now convict, Mweni Kope, of Chilekwa village had a brawl at a bar with a member of the affected family.
Justice Kabuka last Thursday, convicted Kope who was appearing in the Ndola High Court of five counts of murder after the prosecution proved their case against him beyond reasonable doubt.
Kope was initially charged with two counts of murder, and three counts of attempted murder, but all the charges were changed to murder following the death of the trio.
Particulars of the offence are that on December 21, last year, in Samfya, Kope murdered Mwape Chibesa, Musunga Chibesa, Theresa Chibesa, Robinson Chibesa and Eunice Mumba.
He denied all the charges.
In delivering judgment, Ms Kabuka said evidence against Kope was overwhelming. She said it was odd that the accused went and hid in the bush after the incident and only resurfaced two days after hunger had taken its toll on him.
“The evidence in this matter discloses a lot of odd circumstances. The accused was heard picking a quarrel with the deceased which erupts into a fight. After being restrained and the fight stops, accused declares that the fight is not over yet and threatens an explosion. He goes to buy two boxes of matches, barely seven hours after the accused’s threat, the deceased’s house is set on fire and all the immediate family members who were sleeping in it sustained fatal burns from which they subsequently die.
Ms Kabuka observed that the prosecution had proved its case against the accused beyond reasonable doubt.
“I direct that accused the be hanged by the neck until he is pronounced dead by a certified medical practitioner,” Judge Kabuka said.
The evidence before court was that Kope was drinking beer with Robinson Chibesa (victim) and other people.
A verbal exchange and later a fight ensured after Mr Chibesa, on his way outside dropped a chair, and thus infuriating the now condemned inmate.
The two were separated but Kope later went to Mr Chibesa’s house and set it alight while the latter was sleeping with his wife and children.
Mr Chibesa and one of his children died instantly, while his wife and two children died at Samfya General Hospital where they were admitted.
Before her death, Mrs Chibesa said she heard Kope daring Mr Chibesa that: “Come out of the house we fight if you are man enough.”

Michael Kaingu’s Kozo Lodge in Choma catches fire

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General Education Michael Kaingu’s Kozo Lodge
General Education Michael Kaingu’s Kozo Lodge

General Education Michael Kaingu’s Kozo Lodge in Choma was on Friday afternoon razed to ashes after fire swept through the entire property.
The fire is believed to have started from nearby fields and came rampaging to the Lodge as workers watched on helplessly.
No one died in the inferno and it was unclear the value of the property lost.

General Education Michael Kaingu’s Kozo Lodge
General Education Michael Kaingu’s Kozo Lodge
General Education Michael Kaingu’s Kozo Lodge
General Education Michael Kaingu’s Kozo Lodge

Nawakwi Calls on Communities to Unite and ensure Community Projects are Completed

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FDD President Edith Nawakwi
FDD President Edith Nawakwi

FDD President Edith Nawakwi was on Thursday in Monze District to inspect the progress on the Bana Kaila maternity wing which the FDD is building.

Ms. Nawakwi called on communities in the country to unite and ensure that community projects being implemented are completed whenever materials are provided.

She said it was imperative that communities take charge of their own projects as doing so would give confidence to Government to consider giving them future projects as opposed to importing the Chinese to do the work that locals can do.

“We must unite and ensure that we finish our projects when materials are there. This lack of unity gives the Government no option but to bring the Chinese to do the work that we can do. If you don’t finish your project properly people will say in Bana Kaila they don’t know how to work when there is a big project to build a secondary school they will bring the Chinese.

This is a small job which we should complete before the rains commence but if you don’t do your job properly it goes on your record that you are not united, you are fighting amongst yourselves and worse still you are not focused as a people.” She said.

Meanwhile Tujatane Women’s Group of Bwengwa Constituency in Monze has commended FDD President Edith Nawakwi on her commitment to helping women come out of poverty.

Speaking when the FDD President donated 120 x25 bags of soya beans seed and 20 goats including 4 hybrid he-goats.

Mavis Zimba who spoke on behalf of the Women’s Group said the opposition leader continues to set examples of what women can do if they united and work hard together.
Ms. Zimba explained that in her entire life the only thing she had received from politicians was Chitenges but that Ms. Nawakwi had not only empowered the group economically but left them with valuable lessons on how they can benefit from resources around them.

“I have never seen any President in this country who has done what President Nawakwi has done today. What all the politicians that we know do is that they promise you and never fulfil what they promise but you have fulfilled what you promised us,” explained Ms. Zimba who could not hide her joy.

She further said ” A good person is a person who wants you to move from poverty by teaching you and empowering you and today we are receiving assistance which will help the community because with the knowledge we have received and the Soya Beans seed and goats we will help our villages move from the monotonous Agriculture system of growing maize.”

And FDD President Edith Nawakwi says crop diversification was the only way that small scale farmers would make money from Agriculture.

She said growing high value cash crops would ensure that families did not only grow crops for food but that they would remain with some money for improving their lives.

She added that a caring Government should be the one helping people diversify their crops. She bemoaned that the current crop of politicians in charge of the country did not have a clue on how to move the country forward.

In photos President Nawakwi with Bana Kaila clinic nurse in charge Stephen Musana and Ministry of Health Environment officer Emmanuel Meleki and Ms. Nawakwi presents seeds and goats to Tujatane Women’s Group.

FDD President Edith Nawakwi
FDD President Edith Nawakwi

Government targets GDP of 5.0 % in 2016.

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Finance Minister Alexander Chikwanda
Finance Minister Alexander Chikwanda

THE Government is determined to reduce the high levels of unemployment and poverty in the country by promoting the development of the productive sector, which will lead to the achievement of the real Gross Domestic Product (GDP) rate of targeted 5.0 percent in 2016.

The State is also targeting to increase domestic revenue mobilization to at least 20.4 percent of GDP from 18.1 percent projected in 2015.

Finance Minister Alexander Chikwanda said when he presented the 2016 National Budget that the Government was determined to reduce the high levels of unemployment and poverty.

The Government also wants to ensure that many Zambians participate in various economic activities as it strives to lay the foundation towards a smart economy, as espoused by President Lungu.

He said the Government was also targeting to reduce the budget deficit to 3.8 percent of GDP and limit domestic borrowing to 1.2 percent of GDP.

Inflation would be maintained to single digit rate with an end year target rate of not more than 7.7 per cent.

Next year, Government is targeting to accelerate the diversification of the economy, particularly towards tourism, energy, agriculture and agro-processing.

International reserves would be maintained at not less than four months import cover.

The Government would create employment opportunities through the accelerated implementation of programmes such as the Industrialisation and Job Creation Strategy and the Youth Empowerment Action Plan.

On agriculture, an additional 5,000 hectares would be brought under irrigation in 2016, bringing the total area under irrigation to 22,000 since 2011.

As a demonstration of Government’s commitment to diversification, the electronic voucher system will be implemented during the 2015/2016 agricultural season in 13 districts.

The Government will also enhance extension services and livestock disease control measures.

To achieve self sufficiency in fish production, the Government will continue establishing fish hatcheries in each province and encourage the establishment of private-owned hatcheries.

In the health sector, the Government will focus on completing the construction of health facilities, recruitment, retention and training of Frontline personnel.

The Government will also continue with the construction of drug storage and distribution of essential medicines through construction of drug hubs.

The Government will also focus on completion of the various education infrastructures currently under construction as well as continue to roll out the revised education curriculum.

The Government will operationalise Robert Makasa University and commence construction of King Lewanika University, Luapula University and three university colleges in Katete, Nalolo and
Solwezi.

For water and sanitation, the Government plans to increase rural access to clean and safe water from the current 67 per cent to 69 per cent.

2016 Budget lacks the punch to give youths hope about business opportunities-Mutati

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Felix Mutati
Felix Mutati

Former Commerce Minister and MMD Lunte MP Felix Mutati has said that the 2016 Budget presented yesterday by Finance Minister Alexander Chikwanda lacked the punch to give youths hope that there were business opportunities next year.

However, Politician Mbita Chitala said the Budget was pro-poor as Mr Chikwanda reduced tax on property transfer from 10 percent to five percent.

Dr Chitala said the Budget outlay was well done especially in the area of taxation as the move to enhance productivity in the manufacturing sector.

Dr Chitala’s words were echoed by Civil Society for Poverty Reduction (CSPR) executive director Kryticous Nshindano who said the Budget speech clearly spelled out the measures that will improve the country’s social and economic welfare.

Patriotic Front (PF) Deputy Secretary General Mumbi Phiri said she was happy the Budget addressed the Eurobond sinking fund.

Ms Phiri said it was true that the Eurobond had been channelled towards infrastructure development but it was equally important that the Budget had an allocation for the sinking fund to pay back the funds.

Chembe MMD Member of Parliament (MP) Mwansa Mbulakulima however said the Budget did not discuss how the mining sector would be revitalised considering that it was the only main income of the country in the meantime.

Mr Mbulakulima said he foresaw the country remaining static economically if it did not go worse.

Overall, the Budget has been received with a sigh of hope as it has addressed most of the issues that were thorny to many people. The budget is said to have given hope to all sections of society, including the youth, which demonstrates the seriousness of the Government in making Zambia a smart country both in appearance and in economic terms.

Some analysts, cautioned those who are bent on finding faults with anything coming from the Government, that under the prevailing circumstances, this can be considered the budget of hope, which is likely to bring economic growth and increased employment for the youth.

The Government is advised to walk the talk.

Government will limit domestic borrowing in 2016-Chikawanda

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Finance Minister Alexander Chikwanda
Finance Minister Alexander Chikwanda

The Government will in 2016 limit domestic borrowing to maintain public debt within sustainable levels, FINANCE Minister Alexander Chikwanda has said.

The government is also reviewing the modalities for implementing the Constituency Development Fund (CDF) to ensure communities participate in identifying projects.

In his budget presentation to Parliament yesterday, Mr Chikwanda said the Government would instead focus on accessing external financing with lower interest rates and longer repayment periods.

In addition, the Government would strengthen the project appraisal processes so as to ensure that borrowing is directed to projects with high returns.

To ensure timely repayment of the three Eurobonds issued in the international capital markets, the Government had established a Sinking Fund for the purpose of redeeming the bonds.

The Treasury would act to ensure that the Government expenditure was primarily financed from domestic revenues.

In this vein, the Government has drastically reduced allocations for non-core recurrent allocations by more than 50 per cent and has taken measures to enhance revenue mobilization.

“Consequently the fiscal deficit in 2016 is projected to reduce to 3.8 percent of the Gross Domestic Product (GDP).

“To create room for private sector credit, more room for private sector credit, domestic borrowing by the Government will be limited to 1.2 per cent of GDP in 2016,” he said.

To further strengthen domestic tax administration, the Government would put in place measures that would require Value Added Tax (VAT) registered vendors to use electronic fiscal cash registers that would be interfaced with the Tax Online System.

This would allow real time capture of transactions for VAT compliance and reduce under-declarations.

The Government would also enhance monitoring of cargo movements transiting through Zambia to mitigate revenue leakages.

Overall, financial performance of the banking sector is expected to remain satisfactory in 2016 and the Government is working out modalities to further improve stability in the sector.

The inflation rate was expected to remain single digit in 2016 and upward pressure was expected to come from the effects of the depreciated exchange rate and higher demand for grain in the region.

El Nino was also likely to contribute to upward pressure on food prices, while international reserves were projected to remain at US$3.2 billion even in 2016.

Monetary and supervisory policy formulation would remain focused on supporting Government’s broad economic objectives.

Under structural reforms, cooperatives would be enhanced in all districts and Government would also continue to uphold Public Financial Management through the public finance Act, among others

No Zambian Journalists Nominated for CNN Award, Minister blames Journalists

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Local Government and Housing Deputy Minister, Forrie Tembo
Deputy Minister, Forrie Tembo

GOVERNMENT has urged the media to focus on issue based reporting if they are to attract international awards like the annual CNN African Media Awards.

Information and Broadcasting Services deputy minister Forrie Tembo said scandalizing personalities or defaming individuals would not earn the local Journalists international recognition.

Mr Tembo told journalists during the welcome dinner ahead of the CNN MultiChoice African Journalist Awards 2015 that there was need for individual journalists to invest their resources into issue based reporting.

“You don’t expect to get nominated and eventually win an award with a defamatory story but issued based and investigative stories that help to shape society in the right direction,” Mr Tembo said.

“You don’t expect to get nominated and eventually win an award with a defamatory story but issued based and investigative stories that help to shape society in the right direction,” Mr Tembo said.

About 40 journalists from Zambia entered the awards but none was nominated. There are 31 finalists from 15 countries are expected to walk away with an award.

Mr Tembo, cited also the lack of exposure as one of the factors that led to none nomination of local journalists to the annual prestigious award.

He said it was against this background that Government decided to carry some local journalists so that they could learn from their counterparts and make a difference in future.

Mr Tembo said Government would continue working with partners like MultiChoice to help local journalists acquire and sharpen their skills for them to compete on the international scene favourably.

Mr Tembo, who is accompanied by information permanent Secretary Godfrey Malama, Director Media Development Isaac Chipampe, are here to witness the event which marks the 20th anniversary of the African media awards.