the-IMF1

The Zambia Union of Financial Institutions and Allied Workers- ZUFIAW President, Mr. Ackim Mweemba, has observed that the imminent bailout program proposed by the IMF has once again exposed Zambia as a country that it has failed to properly manage its national affairs.

President, Mr. Ackim Mweemba, has observed that the imminent bailout program proposed by the IMF has once again exposed Zambia as a country that it has failed to properly manage its national affairs.

Mr. Mweemba noted that member countries run to Brent Wood Institutions in turbulent times, an act that renders them too weak to negotiate better packages for their respective countries. “An inquiry into how nations get to this level would be prudent and indeed critical in moving forward our beloved country, Zambia” he stated.

He further elaborated that it was at instances of defining moments that nations resorted to IMF bailout solutions, and at that point, it were the workers that suffered the greatest. The ZUFIAW leader challenged government to prescribe the dosage for the country especially that it would only be administered after the 11th August, 2016 elections.

He mentioned that ZUFIAW as an institution that represent the workers, was mindful of excruciating austerities in the policies imposed by the IMF on desperate countries in exchange for such bailouts, which in most cases present serious constraints on the welfare of the already burdened workers.

The IMF are on record of having wrecked misery to many Zambian workers in 1991, by forcing our government then, to implement the infamous privatization of national enterprises, structural adjustment programs (SAP) and deregulation of the market, including the labor market which reduced the collective bargaining power of workers.

Since then, wage suppression has become the order of the day, with political autonomy taken away, the Zambian government was forced to sell national assets such as the Zambia Consolidated Copper Mines (ZCCM) conglomerate to the descendants of those that colonized us. We are now grappling with huge budget deficits because we are at the mercy of the mining companies.

Against this back ground, the Zambian workers need to be resilient, strong and courageous with a positive mind and focus to better times in the midst of hard time at present and in near soon. Hope is assured for their improved conditions of service yet not today, tomorrow but the other day.

He further observed that it will be absolutely wrong for the government to remove subsidies on electricity and pump fuel prices because this would kill small enterprises and the cost of living will be unbearable especially for women and the youths.

He stated that the Removal of these subsidies was, but just a gimmick by the IMF to compel the country to surrender these two important sectors of our economy, just like we no longer have a say on the mining sector. Any attempt to withdraw fertilizer input support program (FISP) by the government will have far reaching consequences on the economy.

The IMF sometimes in their prescription include the removal of subsidies on the staple food of a particular nation by encouraging recipient countries to grow cash crops for export and yet flood that country with subsidized crops from the powerful nations controlling them.

Mr. Mweemba advised that our main objective as a country should be to avoid finding ourselves in this trap, adding that this would be the third time we were finding ourselves knocking on the doors of the IMF for assistance since independence. He stressed the need to examine our spending and investment priorities as well as our borrowing patterns as preventive measures against crippling the economy: the current case of Zambia.

“Our country’s economy is under massive pressure as viewed from the point of view of low copper prices, electricity crisis, and other compounding factors affecting our economy and yet we are boasting of more than fifty (50) years of independence.

These issues go to show that we need to be very prudent in the way we manage our resources. As a Union, we wish to advise our leaders to be more prudent in resource management and invest in high income generating projects leading into the diversification of the economy, a tool for increased financial options and reducing inflation.

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11 COMMENTS

  1. This to me is the fundamental issue regarding the question of who to vote for this August. The imminent IMF bailout which has been achieved under the current PF regime is conveniently not being acknowledged or addressed by Mr Lungu or ba Chikwanda. After dancing and drinking away this campaign season, the reality of the serious economic challenges will re-emerge as that giant iceberg floating in our sea of debt and policy inconsistency. It is important that we look beyond our party fanfares and grapple with the sad reality that WE as a country have ASKED the IMF to come bail us out. That sentence doesn’t sound right, shame.

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    • Of-course, its IMF’s responsibility to punish drunken head of governments, like Chakolwa Chagwa

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  2. This all Greek to PF supporters. All they will see is the name ‘Mweemba’ and then rush to make tribal comments. Just wait.

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  3. Borrowing must alleviate suffering.That is exactly what IMF will do for Zambia. You can only borrow if you are credit worthy. It is not like charity. As an individual, yes you can go hungry and wait. But the nation can not. The funds will be directed to specific projects. You risk losing objectivity in your quest for change. The country is the envy of all struggling failed states. because it allows free expression of divergent views.

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  4. Mr. Ackim Mweemba,why are you just waffling? You are skating around the issue.Why are you not pointing out the people who have brought the economy to where we are now? It is crystal clear,Lungu and PF, are the ones who have stolen the money and now they want to socialize losses.We must get rid of these vultures.

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  5. Briton is looking to build up the commonwealth again. Let’s reapply, so we can have the Pound back in circulation and a better, more powerful representation in the IMF, World Bank etc.

    No African country has prospered after independence! You can’t win against the big elephants and the bears of the world, you can just join a side/team!

    World markets are controlled by the elephants and the bears. $1,800 Gdp per capita will never benefit the common Zambian citizen, no matter who the President is!

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  6. PF cadres have you understood the article. I know being majority kaponya party economics is not exactly your forte.

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    • No you won’t see the likes of kudos. HH Techilema Etal,
      Only when they hear HH theny the congregate like green lies to feaces.

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  7. Corruption never pays, people did all sort of nonsense under Goodluck Jonathan in Nigeria, right now it is believed that the former president is in hiding in Ivory coast, what goes up, must come down, I wish our politicians can take a look @ what has happened to former oil minister cohorts, and I quote “A federal high court in Lagos has granted a Marevainjunction permitting the Nigerian government to freeze assets owned by two Nigerian businessmen Kola Aluko and Jide Omokore, and their company Atlantic Energy. The individuals are linked to formerNigerian oil minister, Diezani Alison-Madueke in a wide range shady business dealings that illegally transferred Nigerian oil assets to them and their companies.”

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