GOVERNMENT APPLAUDED FOR REACHING DEBT RESTRUCTURING AGREEMENT
Written by Mafken FM Newsroom on 23 June 2023
Government has announced that Zambia has reached an agreement on a comprehensive debt restructure with its Official Creditors under the G20 Common Framework.
Minister of Finance and National Planning, Situmbeko Musokotwane says this landmark achievement is a significant step towards restoring Zambia’s long-term debt sustainability and it complements the strong commitments from Zambia’s Multilateral Development Partners to support the country’s economic recovery through substantial concessional financing.
And reacting to this development in an exclusive interview with Mafken FM Radio, renowned Economist Lubinda Habazoka has commended the move, stating that, the debt burden was high and the debt restructuring agreement will make it easy for Zambia to restore its debt.
However, Dr Habaazoka says there is still a lot of work to be done, adding that Zambia together with the official creditors needs to carefully sit down and agree on the liquidity and depth of the debt restructuring process.
Meanwhile, the Zambia Chamber of Commerce and Industry –ZACCI- believes that the reported development will trigger increased local and foreign investor confidence and positive sentiments in Zambia’s economic roadmap as well as an actualization and a reboot of a private sector driven economy.
Speaking in a statement availed to Mafken FM radio, ZACCI President, Chabuka Kawesha says this will also trigger the right notes for increased investment and actualization of real sustainable industrialization.
But, the opposition Green Party President, Peter Sinkamba has reiterated that, Government should be more innovative and look for other ways to restore Zambia’s debt.
Mr. Sinkamba states that it is for this reason that his party proposed cannabis and industrial hemp cultivation as a means to help the country generate revenue and alleviate its debt, rather than borrowing additional funds.
The Green Party Leader hopes that the ruling United Party for National development –UPND- Government moving forward, will start saving money which will be paid to liquidate the two loans.
