Secretary to the Treasury Fredson Yamba has said Zambia’s focus for the 2018 fiscal year is restoring fiscal fitness, so as to reduce the pressure on other sectors of the economy, especially on the monetary side. Mr. Yamba said Zambia’s Gross Domestic Product (GDP) is expected to grow by 4% by the end of 2017 and hoped that Zambia will close the year within single digit inflation.
Speaking when he the delivered a key note speech at the Mines and Money conference in London on Wednesday on the topic “Zambian Economy and the opportunity for innovation and development in the mining sector” Mr. Yamba said Government will continue on the path of fiscal consolidation under the Economic Stabilisation and growth programme, enhancing domestic revenue while refocusing expenditure. He said 68.5% of the 2018 budget will be financed from domestic revenue.
“In this regard, Government will continue with some key revenue measures which include implementation of fiscal registers (retail) and other automation in sectors such as telecoms, implement Property Transfer Tax, rump up land titling in 2018 with 300,000 pieces of land earmarked for titling, roll-out Tolling, modernize revenue collection platforms for non-tax revenue, implement single widow at border and appoint agents to collect withholding tax on rental income,” he said.
And Speaking to the media on the sidelines of the Mining and Money Conference in London on Tuesday Mr. Yamba said Zambia’s prospect is that the economy will grow and the Country will have more revenue that will enable Government provide basic needs for the general populace.
“The economy has performed well in terms of growth, initially we projected growth at 3.8 percent but as we move towards the year we expect to grow the economy by 4 percent of the GDP, so that is a plus. When you look at inflation, we are still at single digit, in September we ended at 6.6 percent of inflation and we hope that we can close the year with a single digit inflation,” he said.
He said the exchange rate has been stable even though there was a minor depreciation, but in terms of the economic outlook, it is projected to be positive.
“Come next year, we hope to build on what we have done this year, where we continue with fiscal consolidation, reducing the budget deficit and ensuring that inflation remains within single digit levels,” he said.
Mr. Yamba further said that Zambia has been performing well in terms of attracting international investments, because a lot of investors were making inquiries through Zambia Development Agency to see in which sector they could invest their money.
“We have relied too much on Copper as a source of Foreign Exchange earnings. Currently 70% of Foreign exchange is derived from the Copper mining activities and 30 percent comes from non- Copper activities, so what the government has done is to put in place a deliberate policy that we try and go into activities like agriculture, manufacturing and tourism. We do not want to rely on mining as the major source of the economic activities but also others sectors,” he said.
And Zambia’s High Commissioner to the United Kingdom, His Excellency Mr. Muyeba Chikonde who was representing the Minister of Mines and Minerals Development Honorable Christopher Yaluma at the Mines and Money Confernce said the diversification that Government has embarked on will not be mere rhetoric but will be practical.
Issued by: Abigail Chaponda (Mrs.)
First Secretary | Press and Public Relations
Zambia High Commission in the United Kingdom.
Great
THis is SIMPLY because of the Hardwork that President Lungu has been putting in
I know I have said this once but I will remind everyone on the work that President Lungu has done
Among them is making sure that the Kwacha is STRONGER than Pula and Rand
Infrustrucure after Infrstructure
He is building the airport
He has brought DUO citizenship
It might be because I live in Europe
But I find it hard to see how you would not want him to remain our President until 2026
Just imagine things he will likely do
Once again the economy has grown
Hallelujah
Thanks
BB2014,2016
Shame on the Zedian Economist, how low can their thinking go making DELUSHIONAL STATEMENTS like the one above. For how year have you been making that as a talking point and yet the bottom 50% of Zedians living in Zed is still below average POVERTY line. You guys love the citizens of Zed during the elections.
And after the election, you start playing games like you’re all better at the English Language than them. A father doesn’t make noise that “I take care of my children” because he supposed to that. GRZ shouldn’t be loud their mouths about Infrastructures etc because that’s their job. Put your head up GRZ and watch out the next election. We’re all coming back.
The conference room was so empty.
ICT infrastructures are hardly exist. I had a tough time trying to stay online last July. Where available it is dear to maintain.
Road network is deplorable. Our roads are being made as if they are disposable. You only use them once and you need redoing them.
Medical system is tricky. You need money to access medical facilities. The reason why ‘they go to RSA’.
Education is too expensive for the ordinary person.
What is readily abundant is corruption.
Let’s try 6% GDP growth, because population growth is 3.5% and poverty levels at 65%. So at 4%, no dent in the negative stats we carry as our national CV
Also wealth distribution. Develop rural areas and improve peri-urban areas. Way to go? Develop provincial centres into morden smart cities and curb immigration into Lusaka in order to stem growth of shanty townships like Chibolya, Kanyama, CHAWAMA, misisi, kalikiliki, john laing, John Howard, mandevu, kuku, George, ngombe….
Improve sanitation. Shame that we get cholera as if it is an annual ceremony.
Let’s improve service industries and get people off the land. Let’s leave farming to a small, dedicated, manageable group of mechanised, educated people who we can support. Let’s absorb the rest in provincial cities and that way, our forests will regenerate.
Stop building schools and clinics in national parks and other bushes….
-Watsan…water and…
With RB and PLM we had GDP in the 7% region without borrowing $17 billion……
4% GDP is pathetic considering the money Zambia owes and is due to start payback soon…….with $17 billion spent we should be seeing at least above 7% GDP growth if investment was targeted
Good. We need to continue monitoring measures in the implementation process. Otherwise, financial leakages in form of financial irregularities cited in auditor general’s report
This people seems to be lost in their quest to bring sanity in the management of scarce resources at their disposal. All I have deduced from this gibberish are increase in taxes as a means of supporting the budget. They are now thinking of taxing even trees, what economic theory are this misfits propagating? Surely, if these are statements that they make even at the IMF, then we should not be surprised as to why they have withheld the US1.3billion bail out. We don’t seem to have a sound macro economic plan that can sell at that level apart from empty rhetoric devoid of any sensible economic meaning. What a shame.
Very true indeed. After squandering a chance at real growth using the eurobonds, the only way forward is tax, tax and more tax by lungu to raise money while they steal.
You UPND chaps should just focus on your alternatives and NOT insulting those practically dealing with our economic issues.
Zambian economy used to grow at 7%. This time we should be talking about double digits. It’s a shame that after Euro bonds and many other loans we are still going down. Where did you take the money?
Many of us are used to bad news and that is why we cannot even recognize good news.
For me, the good news is that our government realises that we can no longer continue to rely on mining as the major source of economic growth but inevitably need to focus on other sectors like manufacturing and agriculture as “spare keys” to unlock economic growth.
While government cannot escape criticism since it is responsible for policies and structures that bring about effective growth, citizens equally have to participate in the process by their willingness to implement these development policies. Social innovations as well as a positive mindset are forces for effective growth in every community.
Growth of 6.6% used to be the norm until PF came to town with politics and “fixin” their rivals as the main focus.From 2011 the economy went south to this day.
Diverting the economy from mining depend to agriculture is not a new song. When I went in diaspora in 1982 that song was the unip major slogan. Coming back in 2015 I found the same tune. With the majority of Zambians living below poverty line, it means only the few working class are part of those contributing to government coffers. Hence the more taxes are increased the more you reduce the purchasing power and that slows the economic growth. Creating more work by sourcing a loan from important partners. Let the youth form companies to maintain our towns and cities. People will be happy to pay more on rates for clean suburbs and location that living in cholera infested areas so shameful even to bring a foreign friend.
They have not stolen the system matters . The mind is about bakapokola ,ama soldiers , bana nurses ecito yabako and they want huge salaries but no production in this sectors . Amalwe ne nkondo capwa efyaba mumutwe .
It’s true Zambian government is full of nonsense, they are sing of improvement everyday but nothing happens, we need beautiful roads and beautiful home which is not very much difficult if we have good leaders toll gets could have been constructed along time ago look at how our roads destroyed South Africa has good road. When u travel from that country and enter Zambia u can feel as if u enter into the bush.