Top Four Ranking Cheers RB

9 June 2011

PRESIDENT Rupiah Banda has welcomed the announcement by the International Monetary Fund (IMF) that Zambia is rated among the top four high-performing African countries.

Mr Banda said the announcement was an indicator that the Government was committed to uplifting the living standards of the people.

This is contained in a statement released in Lusaka yesterday by special assistant to the president for Press and public relations, Dickson Jere.

“The IMF’s announcement underlines my Government’s commitment to driving steady growth by creating jobs and opportunities for all Zambians, but there is still more to do.

“We will continue to work tirelessly to build on this accolade and so achieve an even better place for Zambia in the world. Above all, establishing security, stability and prosperity for all Zambians,” Mr Banda said.

Under President Banda’s leadership, Zambia has taken major strides to encourage foreign direct investment, with a projected influx of more than US$10 billion from exports, compared to the $900 million it earned 10 years ago.

The Government was also in the process of establishing multi-facility economic zones and industrial parks to promote the manufacturing industry and create more jobs for the Zambian people.

“As a result of the improved economic climate in Zambia, there has been considerable investment in the provision of better schools, hospitals and access to basic facilities,” the statement reads.

Since President Banda’s assumption of office 31 months ago, more than 300 new health centres had been commissioned and 3,600 health workers recruited, while the academic performance of young people under the guidance provided by more teachers and education facilities had greatly improved.

The economy was expected to continue growing at around seven per cent this year, with the expected revenue being put back into the country’s infrastructure to encourage a continued cycleof growth and development.

And the Private Sector Development Association (PSDA) has projected that with further revenue collected and put into various sectors, the country’s economy would continue to grow.

PSDA chairperson Yusuf Dodia said his association was pleased and welcomed the statement by the Government that Zambia’s ability to repay debt had tremendously improved and that the country would not fall back into unsustainable debt because the treasury expected to rake in an additional K800 billion from the mines this year.

Mr Dodia said PSDA was delighted with the pronouncement because such huge revenues came as unexpected from the mines and it would enable the Government finance several development projects.

In an interview yesterday, he said the revenue from the mines would be a direct empowerment on capital resources needed for the Government to finance various projects in Zambia.

He said PSDA was impressed with the Government’s continued commitment to improving the economy and its dialogue with the mines, which had resulted in repayment of arrears to the Government.

He said the revenue from the mines should be applied to areas like road networks to promote further trade and industry that could help the Government maintain the country’s economic growth.

On Tuesday during a Press briefing, Finance and National Planning Minister Situmbeko Musokotwane said Zambia expected to raise $500 million through the sale of its debut Eurobond which would go towards infrastructure construction such as the rehabilitation of urban roads, upgrading power stations and water sanitation.

Dr Musokotwane said people who were saying that the Government would accumulate unsustainable debt through the various development projects being undertaken were doing so from an uniformed position.

He said at the time the Government introduced windfall tax in 2008, mining companies threatened to drag it to court, and further argued that the development agreements that had been signed with them when they bought the mines had been abrogated.

Dr Musokotwane said the Government then opened up talks with the mining companies after which new taxes were agreed upon and that arrears would be paid.

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