Chikwanda supports IMF’s stance on Zambia’s debt

48
6,743 views

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

Former Finance Minister Alexander Chikwanda has supported the statement by the International Monetary Fund over Zambia’s sky rocketing debt.

The IMF this week stated that Zambia’s rising external debt put the country at high risk of debt distress.

Mr. Chikwanda who also Chairman of the PF Finance Committee told a PF Interactive Forum in Lusaka today that Zambia needs prudence in its debt contraction.

He also admitted that Zambia needs to slow down on borrowing.

“The IMF has expressed worries about Zambia’s debt profile, those concerns are not far-fetched but anyway, somehow our debt profile is high and going in future, going forward we should be a bit more prudent especially those loans which are not for projects which are single sourced, where there is no tender and so on and so we have to be careful and I think government is doing just that,” Mr. Chikwanda said.

The Former Finance Minister however noted that government had never defaulted on repaying debt saying there was a possibility that Zambia could refinance its Eurobonds when they fall due.

“But you know, even in government there are some skills which some citizens may not be aware so the guys in the treasury, they have been very good at managing the debt, there’s not a single day we have faulted on debt repayment which will mean that we can use that track record going forward for instance when the next bond is due, and I think officials from the Ministry of Finance have already made reference to that, it can be rolled over because the people who have invested in these bonds are making a lot of money,” Mr Chikwanka said.

“But going forward, we must really be a bit more reticent, a bit more prudent and the consolation is that okay, all the money has been borrowed to take the country forward. If there was no borrowing, the country would have stood still and Zambia needs to grow at higher rates, not five per cent, we need growth rates in double digits and some of the borrowing will facilitate that,” he said.

Mr Chikwanda also pointed out the need to grow the Zambian economy by higher margins.

48 COMMENTS

    • First get rid of the clueless president and his criminal govt. Nothing will be achieved if you maintain the same thieving bastards and their b!tches in power!

      0

      0
    • @Nubian
      Get married or find someone to service your danana,,, you lash out a lot,,,it will surely help you,, take my wise advice

      0

      0
    • Good points Mr Chikwanda. Unfortunately Zambia is like a snake without a head. We have no one to take charge of the nation. And 2021 is just too far

      0

      0
    • The stones themselves are now speaking. Chikwanda is an insider who not only inflicted his own damage as Finance Minister, but is also a reliable eye-witness to the rampant stealing by PF since the moment he vacated office.

      0

      0
    • @Ndobo, that Nubian said she was house wife. That was a great advice to her. Let me know if she needs sent on maternity leave.

      0

      0
    • My uncle Ba Chikwanda well said Sir! Despite what some are saying you were a minister during very difficult times and you managed to keep the nation going!

      Well said Sir, you remain one of the few that stood for the vision of the Late Great MCS (MHSRIEP)!

      God bless you Sir!

      0

      0
    • Chikwanda was the Minister of Finance when most of the debt was contracted. So what is he talking about?

      0

      0
    • hmmm chikwanda saying this. iwe you are the number borrower of the century. what are you saying. just shut up. @ndobo – imwe nubian was abused as a child and unfortunately that trauma was not properly healed. there was no counselling whatsoever. so thats why she is this apprehensive around men. we need to heal our sister.

      0

      0
  1. @Nostradamus
    This is what I have always been saying, Edgar doesn’t listen,,,, ,,, unless kaizer, solo and company tell him to steal one million so can they go and dance, otherwise his ears are blocked with,,, I don’t know

    0

    0
    • @Ndobo, I always wished The Instruments of Power were left with Malume Chikwanda, not guys on hangover.
      We wouldn’t even be exposed to Kaiser and his cousin Soko (not Solo naiwe, Solo was better).

      0

      0
    • To be honest PF has made me feel like we are cursed. We have moved from bad to worse. I remember Sata telling then Finance Minister Alexandra Chikwanda that he can not resign because he would be prosecuted for corruption during the rebasing of the Kwacha as he is suspected to have received huge gratifications from companies that printed and minted the new Zambian currency.
      Sources at State House revealed that Sata told Chikwanda on a Wednesday night that it was easier for him to protect his uncle from possible prosecution while serving as Cabinet Minister unlike when he was an ordinary citizen.

      0

      0
  2. The sad part with Zambia’s current situation is that Chikwanda actually appears to be more intelligent than Mutati. Please President Lungu, its time you let go of Mutati, try and nominate Denny Kalyalya as Minister of Finance if you have to turn around the economy before things get really bad. Denny Kalyalya has no political ambition to cloud his brain and he will definitely win over the donor community. Mutati is just not honest and will sink this economy beyond redemtion.

    0

    0
    • I think Mutati is more intelligent than Uncle. The only problem with Mutati is his stomach. His greed will take him to the grave.

      0

      0
  3. good concern. Advice also how they can reduce the spending. One way could be reduce ministries and freeze ministers salaries for some time. Iam just thinking

    0

    0
    • Edward, did it require an insider for you to see sense? Your thinking is always myopic but sounding rather intelligent yet no substance

      0

      0
    • Things are not good. Dishonourable Mutati is the biggest fraud that has ever happened to zambia. This dotard should be ashamed to even open his cob webbed mouth. He started the plunder during the tenure of the late great school drop-out.

      0

      0
  4. I agree with the IMF as well. We are better off being broke, re adjust our spending, fire 7 ministers, then try to borrow.

    0

    0
  5. Magande and Muskotwane clearly steered the Zambian economy better than this current fossil named Mutati and the immediate former one Chikwanda.

    0

    0
  6. Wow how easy it is to sound concerned and intelligent from the outside! Truth be told, 90% of the debt that Mutati is grappling with was contracted by the now-wise Chikwanda and this was despite warnings from several people who were labelled bitter and jealous. Funny how he can now turn around and make it look like Mutati is dooming this country. Looks like it is now common-place to mess up, step aside and blame those that have remained in Govt! That said, IMF should just have felt pity on us and taken us on board because now the next option will be chinese loans which acquired easily and spent recklessly. Do Zambians even understand the mess we are in? For sure ignorance is bliss

    0

    0
  7. Meanwhile Edgar Lungu’s presidential jet never touches the ground. That is jet fuel you are burning sir, and jet fuel is never cheap.

    0

    0
  8. Alexander chikwanda was the waste finance minister of his time. dont make a mistake to get advise from a failure, you will also be a failure.

    0

    0
    • What happened when they took office with his nephew in 2011…i mean MMD left a well oiled machine

      0

      0
    • YOU LEFT OUT SEASONED BORROWER, NOW DAYS IT’S A “SMART” WAY TO COVER YOUR INEFFICIENCY. THAT IS THE REAL FAKE STAR.

      0

      0
  9. A CLEAR SIGN that PF after putting Zambia in the mess is NOW AT CROSS ROADS! We CERTAINLY DO NOT NEED CERTAIN DEBTS!! For example, why should we put ourselves in FURTHER DEBT of $2.3 Bn or a RAILWAY LINE whose ECONOMIC and FINANCIAL VIABILITY has NOT BEEN PROVEN? While I DON’T TRUST 100% ABC’s statements on the issues of contracts, AS HE MAY BE SPEAKING FROM THE POSITION OF “SOUR GRAPES” as his companies may be missing out, he has made valid points for those in leadership to take cue. IT IS NOW CLEAR THAT THE MMD has diverted PF from its earlier objectives and PF and the country have GONE BACK TO THE RB IF NOT WORSE DAYS OF LOOTING!! ABC was a keen supporter of Lungu, him speaking like this means divisions are now consummated, 2021, WILL NOT BE FOR LUNGU

    0

    0
  10. Dr Choas Theory< You have shorter memory, MUTATI started theft activities at the then Hotels Board with Patrick Chisanga, then ZESCO as the in-charge of Finances. He has a great track record for thefts of funds. LT dig into this man. Nothing personal the guy has been fired through-out. Please interrogate this a matter of fact before looting is endocrined – ala ni pompwe ukamamo na menshi. He is trained for cover-ups. He steal at noon!

    0

    0
  11. Ba Chikwanda with all due respect, you started the raising of debt sealings justifying your GDP ratios bla bla bla. It’s good that after taking a back seat, you are beginning to see what we saw the time you were minister. Nevertheless it’s good that you are speaking out like CK. To error is human. Zambians, RB and HH are to blame for allowing PF to misrule this nation!

    0

    0
  12. Please tell Jonathan and his fellow crooks they can’t borrow any more,the bunch of them can’t count

    0

    0
  13. somehow our debt profile is high and going in future, going forward we should be a bit more prudent especially those loans which are not for projects which are single sourced, where there is no tender and so on and so we have to be careful and I think government is doing just that,” Mr. Chikwanda said.

    So this moron is confirming that PF-Foo-ls are contracting dodge loans.

    0

    0
  14. UP.NDonkeys, we know that you have nothing to offer except noise, empty noise. So the topic for tomorrow is ” Chibwantu” so start preparing your comments.

    0

    0
  15. yes we shall ecl. but that does mean u5 is coming.

    you guys have a rich sense of humor to imagine u5 at statehouse.

    0

    0
  16. Very surprising! BaChikwanda is even worse than CK because unlike CK who did not create corruption, Chikwanda almost single-handedly created Zambia,s present debt.This was against concerns and criticism from many quarters.Today barely a year out of office he is blaming cautioning others.This is not wisdom.

    0

    0
  17. This is the man each time he was advised not to borrow he would say we haven’t reached the threshold. He contracted most of the debts and tirelessly supported borrowing when opposition members of parliament opposed borrowing. During his time they passed the bills in parliament to borrow using arrogance of numbers in parliament. I’m just amazed at how shameless we do politics in Zambia for a man of Chikwanda’s record of contracting debts to come and advise about debt contraction. I can bet if Chikwanda was called to be minister today he will still borrow and defend the borrowing. This is how stupid our politics.

    0

    0
  18. Why can’t Alex Chikwanda tell us what the Zambian Debt Stock was when he ceased to be Minister of Finance last year?How much has Mutati borrowed since he was appointed Minister of Finance? We are told $3.2 Billion debt was concealed and only discovered by the IMF.Why doesnt Minister Mutati issue a Statement to clarify the Debt Situation for the Nation? We need clarity on the actual Debt Stock agreed to between Zambia and IMF after the Assessment was made.Zambia also establish an External Borrowing Criteria and limits. Any external debt should be contracted by the Minister of Finance and Parliament should condone the the borrowing. Foreign Loans are paid in Foreign Currency and therefore export earnings should be an important consideration in the Borrowing Criteria.

    0

    0
  19. That is rich coming from the worst Finance minister ever, his only skill for being the finance minister was that he was an uncle of the former President Michael Sata.
    Not once, but twice ruined the Zambian economy, but still had the nerve to fill his, his children’s and his many young ladies of the nights pockets with Zambian peoples monies… The man should be in jail, end of….

    0

    0
  20. The old man is trying to brain wash us… things will catch up with you old man for robbing from our future and then now trying to preach to us

    0

    0
  21. A CLEAR SIGN that PF after putting Zambia in the mess is NOW AT CROSS ROADS! We CERTAINLY DO NOT NEED CERTAIN DEBTS!! For example, why should we put ourselves in FURTHER DEBT of $2.3 Bn or a RAILWAY LINE whose ECONOMIC and FINANCIAL VIABILITY has NOT BEEN PROVEN? While I DON’T TRUST 100% ABC’s statements on the issues of contracts, AS HE MAY BE SPEAKING FROM THE POSITION OF “SOUR GRAPES” as his companies may be missing out, he has made valid points for those in leadership to take cue. IT IS NOW CLEAR THAT THE MMD has diverted PF from its earlier objectives and PF and the country have GONE BACK TO THE RB IF NOT WORSE DAYS OF LOOTING!! ABC was a keen supporter of Lungu, him speaking like this means divisions are now consummated, 2021, WILL NOT BE FOR LUNGU

    0

    0

Comments are closed.