A latest report published by the respected African Confidential says President Edgar Lungu personally signed a sovereign guarantee for a South African company called Stag Africa to raise US$500 million on behalf of Zesco.
This is despite the fact that Zesco only requested for US$350 million.
Lusaka Lawyer Lewis Mosho is believed to be a local representative of STAG African Renewable Energy, a Cape Town based that has been implicated in shoddy deals with Zesco in the recent past.
According to the report in the latest edition of Africa Confidential released on Friday, the guarantee should have been signed by the Minister of Finance, but the Head of State went ahead to sign it personally.
“As its portfolio of commercial loans balloons, Zambia’s government is also increasingly relying on sovereign guarantees to quickly secure large or risky loans for its bankrupt parastatals, stoking up public debt out of public view,” the report read in part.
“Guarantees should be signed by the Minister of Finance representing the state, but other public officials are attempting to borrow without involving the Treasury. One such is President Edgar Lungu himself, who has signed a US$500 million guarantee for a loan to state electricity company Zesco from South African company STAG, Africa Confidential has learned.”
It stated that STAG agreed to finance Zesco on conditions that when the US$500 million was sourced, only US$350 million would be transferred to the utility.
“Banks were then asked to endorse the guarantee so that STAG – which is not a financial institution – could use it to raise funds for the loan. Zesco had been looking to borrow US$350 million to pay off its arrears and STAG agreed to arrange the sum on the condition that the guarantee was for $500 million, with the remaining $150 million borrowed but not transferred to Zesco. It is not clear whether any bank has complied, and Africa Confidential understands no money has yet been raised.
It is unheard of for presidents to sign guarantees personally, and his signature may not even be legally valid. The deal illustrates the depths to which Lungu’s government will go to raise money. But we also hear that the hunt for credit and cash is also motivated by opportunities for huge commissions,” reports Africa Confidential.
The reported claimed that Zesco’s credit rating was poor.
“Other large loans for transmission lines have been excluded, representing money borrowed by government and on-loaned to Zesco because Zesco’s credit rating is so poor. Since budget funding for parastatals was abolished in 2016, others are likely following suit. State guarantees do not yet require ratification by parliament, unlike in most other countries, adding to the problems of controlling debt,” reported Africa Confidential.
“The current figure for sovereign guarantees is unclear. The IMF was counting about US$1 billion. Made up of Zesco and Zamtel liabilities, but Zesco’s guarantees are now far higher. It secured a US$1.5 billion loan from China’s Exim Bank and the Industrial and Commercial Bank of China (ICBC) in November last year for the Kafue Lower Gorge hydropower project, guaranteed by the Ministry of Finance. A further US$500 million is shortly to be contracted, also with a sovereign guarantee. Zesco created a special purpose vehicle for the project, and the loan is not included in Zesco’s internal loan portfolio, which in December 2017 was recorded as US$1.3 billion.”
https://www.africa-confidential.com/article-preview/id/12326/A_swirling_fog_of_debt
What? Ati shani? ECL has a lot of explaining to do to the voters. I see why he is always happy and dancing unnecessarily
hear say,…
What happened to our dear ECL? I think we have reason to impeach
Just by reading the preamble I concluded straight away that it’s yet another fake story. By them saying a respected African confidential gives a signal that they just want you to believe in the story otherwise which is fake. To begin with how can the entire president descend from his position and skip 100 of his juniors to go and sign a contract as if it’s him to pay back. The only truth missing in the story is to tell us that it was a private arrangement where ecl signed in his personal capacity. If that’s what he did then it will make a lot of sense.
ECL said he will leave behind a broke Govt. he’s corrupt to the core!
Zambia needs to get rid of Lungu now
Another scandal???
This is total destruction… how can Lewis Moyo be making deals for Zambia?
Who said Zambia has highest percentage of FOOLS per capita?
Me am not surprised, Edgar will never change, I remembered when we used to drink together @Nostradamus personally banned all bars from giving Edgar beers on Credit,,, because Edgar ku kongole, he is a champion
Typical PF frogs trying to discredit the article.
When eSwati Gate came up they went into hiding and now trying to resurface by discrediting the article for a fake. BTW, it’s not a free article, it’s for paid members and Africa Confidential is on the scene since 1960. You ended up asking the right questions, but we need him to come forth and tell the nation what was his role in this Zesco Gate? BTW, that additional 150 is a cost for financing the loan, which means, it is used for bribes.
Again, he travels to eSwati as a government official but when it comes to gifts, they suddenly turn into a personal exchange, and you are busy sucking. Kwena fwe ama Zambians???
If this is true, then Zambians have a lot to be worried about. Are there any people in Zambia that can hold this guy Lungu accountable? Why Zambians don’t show concern about issues like this? This is unacceptable. Where is the ACC? And what exactly do they do again? Many countries around the world force their presidents to resign for less than what Lungu is doing. And yet nobody in Zambia seems to care. Please launch an investigation. Why do you have to wait until a lot of damage has been done to the country? Quit this pathetic docility. Do something.
You entrust National Treasury to a man who can stole from a bereaved WIDOW and you get surprised when he loots it.
We’ve been telling you from day 1 that this man is a THIEF. The type of thief who breaks into your home & finds relish in the pot, eats the entire relish, SH!TS in it & puts back the put back onto the stove with lid on.
LUNGU BELONGS IN JAIL
FREE PILATO, FREE FRESHER SIWALE!!
I have always said lungu must by any means.
Fake news. Story stinks UPNDEAD smear campaign. LT nearing ZWD. Insoni ebuntu.
Lungu likuluku
This is sensational reporting and firstly, there’s nothing wrong with the President signing a Sovereign Guaratee it happens all the time.
Secondly, the President is the CEO of the Zambian Enterprise and as such has executive authority to sign and/or counter sign with the CFO (Minister of Finance) severally or singularly.
Thirdly, all seasoned Investment Bankers like myself fully understand that a Sovereign Guarantee is not a loan to be disbursed at 100% of the face value.
You get what we call an LTV (Loan to Value) with a monetizer which is usually between 50% to 80% of the face value.
In this particular case the reason why Zesco will only get $350MM is because the LTV on this Sovereign Guarantee is only 70%.
So, you are either ignorant or being hypocritical to insinuate…
Continued…
So, you are either ignorant or being hypocritical to insinuate that $150MM will vaporize through corruption because that’s not the way these things work.
As for the special purpose entity, that’s the only legal way to set up proceeds from the monetizer coming from a Trade Desk.
This article would have made sense by asking details of the proceeds from the monetizer and how many weeks, what the return on the LTV is and things like that.
It may even be that there are no further proceeds to be expected. Those probes make more sense than the rest of this hogwash reported here.
As someone who works with these kinds of deals everyday I am disappointed with the comments here.
Fake News!!!
@B R Mumbai, I understand you perfectly well.
They said they were removing subsidies for a reason …today they are busy getting loans…really laughable…
Ba Lobyolo … Endita Mukwai
@ B R Mumba stop lying and misleading people about justifying a blatant theft by your not so ‘humble’ kawalala Lisholi president.
At ‘Loan to Value‘, value of what? You forgot to mention that an LTV is a ratio, which is usually a ratio of a loan to the value of an asset purchased. So what is it that ZESCO was purchasing that this ratio comes in? The article says: “Zesco had been looking to borrow US$350 million to pay off its arrears”.
It also says ZESCO requested for $350. They were not purchasing anything. This is not a mortgage.
Besides the LTV is usually expressed in terms of what a borrower actually borrows against the actual total appraised value of a property, usually land or house. For example if I want to buy a house worth or valued at $100k…
continued…
For example if I want to buy a house worth or valued at $100k and I borrow $80k from the bank the LVR ratio is 80%. The lender determines that their risk is covered in the quity or value of the property. In Australia this is usually used to determine if a Lenders Mortgage Insurance is required to be paid by the borrower. Th higher the LVR the riskier that loan is.
So not sure where you blurping about with the LVR about this transaction. Why would ZESCO ask for a $350 million loan to clear it’s debts but sign a $500m loan, does that make sense to you?
As for Lungu signing, the article says the law only allows the minister of finance of the finance ministry as signatories not Kawalala Lungu. The Chief Executive Office, he is not a CEO, he is an illegitimate…
continued…
The Chief Executive Office, he is not a CEO, he is an illegitimate president… but even in private companies, CEOs don’t just sign checks and loans, CFOs do.
So the dumb people of the Zambian sh*thole enterprise should rise up and demand for this Lisholi Kawalala to step down or go to jail.
Iwe Ka Alternative Nonsense fimo fimo … who told you that Zesco has to mortgage something using a Sovereign Guarantee????
Ubu ebututu of the highest order Badala!!! Two things happened here; either an ignorant writer and/or reporter was trying to report on something way above his/her pay grade thus not knowing all the dynamics of a Sovereign Guarantee or he knew that the average audience falls within the ignorant bunch of LT bloggers like Alternative Fimo Fimo here.
You can drain my brain from my skull but I will never give you my tooth ~ Peter Richards Chanshi.
I quoted my maternal grandfather above because I would rather you remain ignorant so I can keep laughing at you when I read you 1diotic blogs than educate you on something so technical you might just find a way to…
Continued…
I quoted my maternal grandfather above because I would rather you remain ignorant so I can keep laughing at you when I read you 1diotic blogs than educate you on something so technical you might just find a way to become wealthy yourself using free advise.
Such knowledge is highly coveted by the top 1% of the richest people in the world and it’s not wise to give it to pigs like you. Besides it’s our secret to maintaining world order while controlling world commerce.
For the record, there is more to Financial Engineering than your purported financing of the simplest real estate assets such as your house with your pledged parity future income using your “Personal Guarantee”.
By the way, I am CEO of Microplus and I still sign checks/cheques and there transactions…
Continued…
By the way, I am CEO of Microplus and I still sign checks/cheques and there transactions above a certain limits that even require a Board Resolution and yet there are other transactions my CFO and his staff can sign without my involvement.
I am not going to dignity the rest of your hogwash and many others like you here with my highly coveted response.
Stay blind … it’s better for you that way ~ B R Mumba, Sr.
Original Content, No Copyrights Reserved.
At ‘highly coveted response’… you is really are a f00l B R Mumba, and a dumb one for that matter. What is coveted about an LVR? I just exposed your garbage and you come back with even more stinking conspiracy poo about controlling the world. What a phoney! Lie to your dumb people of the Zambian sh*thole Enterprise but not to some of us. Where I live, everyone knows about LVR without having to go to school. I suggest you talk to your CFO about what an LVR is (or are you the same phoney dummy CEO and CFO?).
Nothing wrong with the article, your god Lungu is a thief Lisholi kawalala. We knew that already but the only sad part about it is people like you Mumba who know how to type on a computer can’t independently think and see something wrong with that. Or is…
….Or is it because stealing runs and is hardcoded into your DNA.
Ka Alternative Nonsense Fimo Fimo … there’s only one way to prove what is real and what is not; what is true and vice versa.
Your ranting has exposed something alright! Your limited capacities Kikikikiki. Ati LVR!!! What’s that??? Yangu mayo ishi mbutuma … kuti wa seka.
Stay blind … it’s better for you that way ~ B R Mumba, Sr.
I rest my case
NO NEWS HERE ONLY FAKE STORIES FROM UPND! TO IMAGINE SOLWEZI CHIEFS GAVE LAND TO MSWATI AND NO ONE CRIED FOUL!
Lungu is a common theif…..he is a fraud convict and you think he can be trusted with Zambias money ???
He will borrow and sell everything to fund his campains because jail becons is he does not campain and bribe everyone hard to stay in power…
Another scandal, this time with that criminal Moyo?
Truly Zambia has highest percentage of fooools per capita?
@Nostradamus
Ati foools per capital,,,hahahahah, that’s mean boi
@Nostradamus,
you made my day…….cool KPI to track
Fwakuti fwakuti dot africa-confidential.com/article-preview/id/12326/A_swirling_fog_of_debt
Is a UPNDEAD vuvuzela. Fake news
Uyo Mutaware, Khoswe ali chwii, chwii, chwii mumpoto.
Just release Pilato NOW, & take yourself a mattress to Chimbokaila!
JONA YOUR ENDING WILL BE VERY SAD!!
Remember Master Sergeant Samuel Doe??
Cadre B.R Mumbai, khosomola (cough) tumfwe!!
YOUR SILLY SMART & DELUSIONAL ZAMBIAN ENTERPRISE IS NOW EXPOSED FOR ALL TO SEE, & NOT ROLLING LIKE YOUR HALLUCINATIONS!
Like one blogger already said, you have scampered into your hole, like a Rat fleeing a field fire.
BEGINNING OF THE END, SHARPNESS HAS GOT LIMITS.
Abena keleni fimo fimo … ubututu!!! The Zambian Enterprise is doing just fine and if we can start issuing Sovereign Guarantees at this stage in our development, we are heading in the right direction.
For your information, it took Europe 1800 years to realize the power of Sovereign Guarantees. It took the United States 150 years and the smart people of the Zambian Enterprise are only 54 years young from independence.
The problem with ignorance is that it wants to sound intelligent while all the more dull. When I don’t comment on something, it means I don’t have enough details and/or knowledge on the subject matter unlike some who comment even on things they have no clue about.
For instance, eStwani Gate is something I have no details on and besides I don’t live and work at LT!!!…
Continued…
For instance, eStwani Gate is something I have no details on and besides I don’t live and work at LT!!! I have a Sweet Life of my own, no rat hole to hide from.
Like I said earlier, it would make sense to ask the right questions. Such questions as, who is going to own the special purpose entity. Is it going to be a subsidiary of Zesco and can we turn that into a Sovereign Fund?
Those are the right questions, not this nonsense here … Sancho
Give us physical proof and names, not hearsay. Nonsense moving on.
Did you ask the same question in eSwati Gate?
Yes I did General Kanene? I do not support PF or UPND. Like President Sinkamba, I am about facts.
Fwakuti fwakuti dot africa-confidential.com/article-preview/id/12326/A_swirling_fog_of_debt
Is a UPNDEAD vuvuzela. Fake news iwe.
Do you know what this means if it’s true? It means that they will never allow political power to be lost no matter what because they fear the consequences. Not even Chiluba reached these levels. But it’s sad that only Harry Kalaba chose to walk away from this govt. Kambwili was fired so he cannot be trusted. Women whom we are told would be good for the country if given power are there putting up with this sort of corruption. Even the lady of God, the suitably named Godfridah Sumaili sees no evil. And the Church never learns its lesson. It’s happy to be used. At least my old Church the Catholics are able to demur.
In the advent of fake news only the strong survive. The feeble and fainthearted believe cooked up trash.Kaleza this story stinks UPNDEAD.
@5.1 Thorn: Your repeated trashing of Africa Confidential report to the extent of linking it to UPND just shows your deep ignorance about the activities of Africa Confidential. Try to educate yourself a bit before you start jumping up and down in support of your masters.
The moment your minds get glued to some online publication, newspaper, TV or radio thinking all they are saying is gospel truth without checking whether the source is credibe or what is written is gospel truth we have a problem. It doesn’t matter whether it’s government propaganda too or some independent media house. If you believe everything LT writes, I’m a sad man. Equally, if you believe everything ZNBC news, I’m worried. M’membe’s Post openned my mind. The agenda was sick.
Remember all media platforms (all forms) are there to inform and educate; to enlighten. Also don’t be f00led or coerced to thinking that that’s their sole agenda. They are in it for the money too. Business. Now that’s what a business man like double h want to capitalize on. You can’t imagine games rich kids play and the favours they enjoy from their pals. If you’re blinded from this fact, I’m flabbergasted. Be awakened.
PF are eating. Soon they will be eaten alive. Wait and see.
There is nothing eaten alive. It is a hoax kwasila!
It’s a metaphor, not a hoax; an adage, not an end.
Seems like ECL is the artful dodger of ethical leadership requirements and a Phd holder in conmanship.Lots of explaining to do Mr ECL.
It’s too much on one person. Try everything but just wait for 2021. By the way what has happened to the citizenship nonsense? It’s gone with the wind.
Your problem is your lungu does not bother to deny these allegations…………..in high level propaganda they say if lies are repeated often enough they become truth…..lungu and his team are either guilty or media ignorant.
The article is a total make up. Full of rainbow colours lies.
The sheer sound of fake news.
Let’s hear ZESCO deny this, are you a ZESCO spokes person ?
Why should he bother to deny every nonsense at the expense of more important issues. I don’t know your age but I’ll tell you that KK was accused of national plunder but to the disappointment of the accusers, it was discovered that the man didn’t even own ka cabin. That reminds, Levy the most revered ” president ” was on the verge of bankruptcy when FTJ anointed him his successor. By law he was not eligible but FTJ liquidated all the debts our beloved president to be. Not anything of it was mentioned by Levy as cataloged to parliament the “abuses ” of state resources by FTJ.
Mutaware at it again. This misfit masquerading as a leader is a disaster in the making. PF die hards are hiding in holes like infuko, come out you dimwits you have been hindig for far too long, scandal after scandal, I don’t blema you. BR Mumba, economic refugee, you have run out of semantics? Kkkkkkk.
Ok if this is true this bum needs to be impeached and then imprisoned as a matter of utmost urgency
The trouble with Rats is that they bite deep and soothe at the same time! Bakabolala balipama!
Mutaware give us a break its too much ooo!!! What will you benefit you to gain the whole Zambia & part of esithan & loose your soul in mukobeko.
This man’s parentage needs to be investigated…he is creaming off the top on everything.
And we wonder why Zesco never makes a profit!!
Anglo, Hichilema and Obasanjo are now firing on all engines, watch the space.
@ Ayatollah
Be careful with your long fingers, you may loose hands
This was cancelled a long time ago. Africa confidential is run by the Oppenheimer with Brenthrust Foundation mastermind Greg Mills
Let zesco deny if it is not true otherwise …..
PF Counter propaganda machinery coming up now in full force after their meeting….check out how they start playing it down on HH, Oppenheimer
Malicious source, fake news. Thanks.
Since he personally signed, he will personally pay & not the zambian pipo. Please let these creditors get the address of where he will be staying after leaving state house so that they can follow up on him for their money.
Remove CK’s Oath of Secrecy so that we hear what has been going on behind Boma curtains. Ichimbala nacho chilocha! We need to check all the countries he has been frequenting. There could be more undeclared ‘gifts’ out there – China, Saudi Arabia, Dubai, Uganda, Mozambique, Angola, Isle of Man, USA and all the places he has visited! Chagwa must be arrested and prosecuted now! Even if his salary was $100,000 per annum inclusive of allowances, he can only accumulate utmost one million USDs in ten years. Now, we need to remember that he cut his salary by 50%! He has a lot of explaining to do! This is not about PF or UPND! This has to do with the future of Zambia!
Kambwili doesn’t respect anything and he could have come out in the open on the issue. The guy can’t any secret. Please don’t delude yourself.
OMG!, Is this true ….? …. Is fugitive Lungu THIS dumb and s.t.u.p.!.d? US$150m vanishes just like that, and Tax-payers have to payback in the years to come? Is fugitive Lungu being blackmailed? … I am lost for words.
To be perfectly honest, even if for argument’s sake, the originators of this story i.e. African-Confidential were only 50% accurate, this story would still be a complete abomination to the office of the Head of State’s integrity, and more than enough grounds for impeachment.
What on earth is going on? There is NO spare Mother Zambia on planet Earth to fall back on. House of Parliament, where are you?
Amos will simply come out and state that this is malicious; that will be the end of it…you wonder why ZESCO and ZAMTEL are not publicly forensically audited, why the promote from within… they are simply cash cows for Ruling Parties.
As for Parliament I doubt Old Hen Inonge is going to hold on much longer trying to defend things she hardly understands
Malicious story and fake news iwe. So you know. ZWD style iyi.
Thorn in the “£$%^ – I think you should ask Sunday Chanda to refund you the money you paid for “blogging for dummies lessons”…your fellow learned friends have been quiet for a reason over the past couple of days leaving it to dingbats like you!!
Objectivity matters here. Your a’ attacks on the head of state is subjective. If it is not an LT adsense stant, then it’s purely a UPNDEAD smear stant period. Who’s using who? We are not fainthearted.
Day dreaming is allowed iwe. Dream on. Fake news kwasila.
You lie like a serpent and you know it.
Hahaha thorn in the a.n.u.s running around like a demented clown trying to defend the bigger clown in state house. Funny but also.sad
Thorn in the Tu.v1, akali ku sabaila, when all his P.F cadre cheerleader mates have gone into hibernation, as ma scandal yafulisha.
Thorn in Tu.v1 has shown us he has learning disabilities, poor soul.
I am the THORN in your flesh. Definitely not done with y’all.
I am my own man. When you feebles get untangled in the web of confusion and character assassination, I the THORN stand in the gap as I enlighten those who care to separate truth from lies and keep LT afloat. I objectively dispel rumor before it destroys blogspots. You evil chancers from ZWD and UPNDEAD spread terror and are a disservice to the unsuspecting bloggers. Children of darkness have chance. This article is a hoax. I thank you.
UPND is a cursed party and they will reap what they have been sowing. I repeat what I have been saying that only UPND sycophants and lapdogs will be believe this crap I am aware that BR Mumba sr advised against using the word lapdogs and this the last time I am using it. Only time will heal these Sadists
Inga imwe naimwe finshi mulebwata? Just sit down if you cannot put up a logical argument to defend that I.d.I.ot in state house..ala
Ba Fwanya … you’re the best. Stay the best. Natotela!!!
When they go low, we go high ~ Michelle Obama
@ !mbecile above #19.2
Did you wash your hands before typing “Michele Obama”?
There was a report from PF Secretariat just after 2016 elections that UPND have created a complex network which will continue releasing attacks against PF in particular President Edgar Lungu, top among the plan is to amplify the corruption message so that people may eventually believe its true. I thought this was just politics as usual but to seeing the rate at which corruption accusations against ECL it appears that message was actually true. Where is this contract the president signed? At Bank of Zambia or At Zesco or Ministry of Finance or is it in his bedroom such that no one has seen it except the so called ‘respectable’ African Confidential. This organisation was formed in 1960 and is owned by a British company. When you go to their website and read…
Hahahahah uluse
FAKE NEWS….FAKE NEWS!
Dullness is shouting Fake news without giving an alternative argument or explaining why it is fake news. Ubo bupuba the hallmark of this stup1d violent vision less PF curse
Daily Nation – 31 December 2015.
A LETTER published by the Post Newspaper purportedly authored by special assistant to the President for press and public relations Amos Chanda over a Zesco tender to STAG African Renewable Energy has turned out to be a forgery.
The Ministry of Energy and Water Development has disclosed that it had not received any instructions from Mr Chanda to consider awarding a Zesco Power Purchase Agreement tender to a company called STAG African Renewable Energy.
Ministry of Energy and Water Development Permanent Secretary Emelda Chola told the Daily Nation that it was not true that Mr Chanda had authored a letter directing her ministry to award a Zesco Power Purchase Agreement tender to a company allegedly linked to prominent Lusaka lawyer Lewis Mosho…
This name STAG keeps popping up …the daft Lazy Lungu thought closing Post will put an end to being exposed now he is dealing with International media houses.
Malicious story and fake news iwe. So you know. ZWD style iyi.
about Zambia you only find negative reports against Edgar Lungu and the government. They have not talked about anything good in Zambia. An outsider reading will think this country is worse than Syria or Somalia. But surprisingly they write positive things about HH and they portray him as one who is making effort to rescue Zambians from the ‘corrupt’ regime they seem to be portraying. For this I can’t trust them because theres a British embassy here from whom they can collect the truth about this country. Yes things are not as we want them to be but again they are not as UPND want to portray them. On this we must be sincere. Both those who support PF or UPND when they engage in business they are doing well. Zambians buy goods from a seller who
has them regardless of their political affiliation. And those who are in the country have decided to concentrate on going about there lives and wait for 2021 elections but people from outside want to set this country on fire through the social media. Its not fair. Is it by force one should be president. How many times did Sata feel elections were stolen from him? Did we see him divide the nation the way HH has done? NO. He soldiered on, he avoided going to courts because he knew nothing will come out them. He continued convincing every Zambian he meets until he managed to bring Western province on his side and Victory was delivered. Is this too difficulty for HH to emulate? Why bent on setting this country into civil war , tribal hatred? Why HH? Why?
hh will die a terrible death because he’s hoodwinked his supporters who are in group think that he will live forever according to their warped minds
There is no hidden thing on earth ,everything will come to light.If he is clean,then the truth will set him free .No need to worry countrymen
For those unaware or living in small spaces, oblivious to the broader horizon, AFRICA CONFIDENTIAL has existed for a long time as a seeker of facts on the true on goings in African regimes. In most times it has been vindicated or at least led to civil society in some countries to take governments to account.
In Zambia, civil society is weak, opposition fragmented, Parliament impotent and a lot of ordinary Zambians hapless, compromised, ostriches or unenlightened as to their rights or entitlements.
It is not for sheer criticism that we point out things, it is to try and highlight and call for action before we get to a stage where we awaken one morning and Zambia is dead broke and all has ground to a halt.
You sound m.i.s.e.r.a.b.l.e son. Now tell me, are you a 9th grader, I mean ny Zambian standard? You have a lot of learning to do. Stay focussed, be careful with jealousy and envy. Your great grandpa lived on free things from one David. When David told them to go back to the land, they cried just like you’re crying now. Govt doesn’t issue coupons any more. You got to toil son. That’s the new Zambian order.
When your fellow youths are seeing white, you’re seeing black. Believe the world is moving. Rethink your perception about life. How can you honestly have a sense that things having ground to a halt. Are you dead? I see double h has managed to get hold of your brain. There is prenty of stuff that school won’t teach you. You somehow got to figure it out yourself. Start with the YOUTH policy for starters.
“Africa Confidential is a fortnightly newsletter covering politics and economics in Africa. It was established in 1960 and is owned by the British company Asempa Limited. Founded by a group of six individuals under the banner of Miramoor Publications, Africa Confidential was originally printed on blue airmail paper and was thus nicknamed “The Blue Sheet”. It is available by subscription only.”
These dingbats think African Confidential was founded yesterday or 10 years ago..really laughable
Who cares about what you think you know about these double h bought wwws. We don’t give sh!t ’bout semi MAST online media news dung. This is the 21st century man. We don’t believe every rumour we hear especially when your double h has earned himself some international attention seeking stants. We the elite Zambian citizens don’t give a damn ‘ bout the 5th to 6th time rejectamentas turned m.i.s.e.r.a.b.l.e now wanting to torch our Zambia. No chance iwe!
One question for people who comment “hear say” “fake news” “propaganda” “haters” etc… why don’t you defend your points with facts, numbers, statistics, case studies? Stories of poor leadership won’t keep springing up if there is nothing to hide. Mansions being given as gifts, 42 million dollar fire trucks, secret loan signings… for once think about what this does to the future generation. If you don’t plant a tree today, how will your kids know how high it can grow? Let’s not ignore the facts, and let’s act.
No need. Enough of these smears. You are making us immune to real whistle blowing situations. Matter of facts you are honestly sounding like broken records with these senseless accusations. You sound like ” the boy who shouted L I O N !”
No need. Enough of these smears. You are making us immune to real whistle blowing situations. Matter of facts you are honestly sounding like broken records with these s.e.n.s.e.l.e.s.s accusations. You sound like ” the boy who shouted L I O N !”
This is why he cant leave office even if he is not eligible.he gonna make sure thosr puppets in constitution court gives him another term.he knows that Zambians are not happy n may stay in power ti cover corruption.we dont need such a president.Inongw wina is doing nothing to stop this man.Ba mambilima tapali toothless.iwe mawandi thee country is gone sue to these corrupt Judges but the gonna regret
He is the main man for the moment. Simple double h, no chance. Thick CK the penitentiary dreader, no chance. ECL is back in 2021 haunting your tuma little egos and baby hearts.
I wonder what you gonna do now. No wonder you are trying so hard to destruct. Evil destructionists. You’re finished, you’re dusted.
This is very frightening indeed. For those supporting Lungu out of spite for HH or out of tribal bigotry, please wake up and realize the fact that this stupid ***** has driven you deep into a sewer tank of stinking debt!
Cadres trying hard to defend something they have no idea of and they are trying hard to kill or discredit the messenger. These people in power should know that there are no secrets especially when you borrowing other people’s money
You’re brainwashed by hh cos you’re a sycophant who believes in any trash written by a white man
The problem is that you lack evidence and the killer punch. If ECL has committed those sins you keep singing about, why don’t you nail him. There is numerous clauses in your constitution to halt an erring leader. Let’s start with you Chona or Choona, the UPNDEAD cadre, stop trumpeting and do something about those problems you got about ECL. Your yelling ain’t gonna solve a thing. Be man enough and we will call you a hero. Otherwise you are just a bunch of empty tins. Please don’t try the streets, you will be celled or jailed.
My dear dull Thorn in the brain please relax walapena pa last. In case you never heard there is an impeachment coming. That is how we will nail your dull president so just chill wamvela? Efyo wapena someone would think dull Lungu is your dad.
Fwanya you seem to be a bit more dull than Ba Thorny abakamba so won’t waste time on you.
Pwahahahahaha kujukujukujukuja kikikikikikikukukukuku!
Nice try. Not so fast though. It has come to my attention that you need to iron out those tuma trumped up grounds needing the COURTS attention. The path to impeachment is narrower than broad. That’s the drama I enjoy watching nevertheless. Remember that when the impeachment fails, you got another polling in 2021right atcha urgly face. You gotta be ready, nephew. Wondering what you have done to GBVM, he is slimming rapidly. I don’t like it, trust me.
So out of over eighty comments only hysterical thorn in the test!cles and his three friends have come to the defence of the bum leading this country to nowhere? Wow.
Calm down nephew. Have respect for elders now. I told your mama to take you to a good school so that you could articulate issues with your brain and not adolescent driven emotions. See, you’re embarrassing yourself on this podium. Don’t worry though, we gotta upload a 2gig stick of data in your corrupt construct of your brain. We will upgrade ya’.
33 is yours little Dude.
Africa confidential, I read that magazine quite often, they always have sensational stories without basis, especially about black Africa. I cannot remember any of their stories which has turned out to be true or worth following up. Try it for yourself!
Hello Dumb ox, Its called Africa Confidential for a reason…do you want them to publish stories about Trump..really laughable
Calm down nephew. Have respect for elders now. I told your mama to take you to a good school so that you could articulate issues with your brain and not adolescent driven emotions. See, you’re embarrassing yourself on this podium. Don’t worry though, we gotta upload a 2gig stick of data in your corrupt construct of your brain. We will upgrade ya’.
ZAMBIANS ..CONTINUE ASKING FOR PROOF until muzadya dothi
It is a humble request in the 21st century -the RULE OF LAW era. Act civilised. Stop embarrassing your a’ self. You don’t drive your hand deep down somebody’s throat because you heard a rumor about him. Every crime committed leaves tracks of evidence physically or medically. With money, it’s “document’ ally”. Act smart dude. You can do better, it is not rocket science. You have a lot of learning to do.
If you’re smart electronically, hit the audit trail. We were born before computer yet we can not be cheated some of us. It’s a humble pie. We don’t support corruption; neither do we support unfair accusations. I mean, it’s propestorus. You gotta act like civilised people here. If investigators are sleeping, maybe its merry Christmas for office abusers. Situations like this make people study to stop crooks from draining or milking Govt coffers. Don’t just yap, use institutions.
If institutions are not living up to peoples’ or citizens’ expectations, call for reforms. This can be achieved using various vehicles of delivery. You could also use parley or the dialogue process currently being shunned by one unprogressive grouping. If institutions are okay, we need sensitization through every means possible. We cannot allow immigrants like spaka and double Jay (The notorious UPNDEAD sympathisers) and the others to champion ill causes on this podium. LET THOSE WITH EARS HEAR.
Wow! Unbelievable, just shocking! This Lungu Kawalala Lisholi thief is really trying hard to auction the entire country for his own benefit and his minions’.
And these scandals are just a tip of the iceberg and the only few that have come to surface. Imagine the loot that we aren’t aware of stacked away somewhere?
We need brave and fearless men and women from the church, civil society, opposition groups and ordinary citizens to mobilize themselves and demonstrate to demand accountability and the removal of this Lungu man and his minions from State House right now.
This is the reason he closed The Post so his looting can continue without being exposed. Thanks to some international media groups.
Thorn in Tu.v1, lelo wafunta zo-ona!
Jona must be your close relative, & these revelations of The Slimy Corrupt Jona coming out in the open are causing you sleepless nights, & your Corrupt fungus infested brain simply cannot cope.
Debate like a mature. You been hurting since double h lost elections. You feeble nerves are still convulsing. Grow a sense of reasoning then come and try blogging.
Please someone translate the national anthem to that lazy crook in State House sucking the nation’s coffers dry.
Stand and sing of Zambia, proud and free,
Land of work and joy in unity,
Victors in the struggle for the right,
We’ve won freedom’s fight.
All one, strong and free.
Africa is our own motherland,
Fashioned with and blessed by God’s good hand,
Let us all hear people join as one,
Brothers under the sun.
All one, strong and free.
One land and one nation is our cry,
Dignity and peace ‘neath Zambia’s sky,
Like our noble eagle in its flight,
Zambia, praise to thee.
All one, strong and free.
The Post
Government turns to Mosho for $50m loan … STAG to ‘help’ DMMU purchase helicopters
GOVERNMENT is negotiating a US$50 million loan from Lusaka lawyer Lewis Mosho’s company, STAG.
According to a loan agreement which was scheduled to be signed in the first quarter of 2016, the government intends to use the money for procurement of helicopters under the Disaster Management and Mitigation Unit (DMMU).
Correspondence also reveals that there was a final negotiation meeting on March 4, 2016 after which the loan agreement would be signed.
In a letter dated February 26, 2016, Ministry of Finance permanent secretary for budget and economic affairs Pamela Kabamba invited STAG African Investments Zambia Ltd and JMAAC Financial Services, a newly licensed company serving as the…
a newly licensed company serving as the facility agent, to a final negotiation meeting last month.
“Reference is made to loan negotiations that were held on 10th December, 2015 for a loan facility to finance the procurement of the helicopters for Disaster Management and Mitigation Unit (DMMU) for its emergency operations in the amount of up to US$50,000,000,” read Kabamba’s letter in part.
“The government negotiating team has completed the process of evaluating and reviewing the documentation you submitted. In this regard, we wish to invite you for further negotiations scheduled for Friday 4th March 2016 at 10:00 hours in the office of Director- Investment and Debt Management Department. Please be advised accordingly.”
According to the loan agreement, the loan must be repaid…
According to the loan agreement, the loan must be repaid within 10 years with a grace period of two years.
“The loan will be repaid by MoF over 10 years as specified in the repayment schedule (Annexure 2) annexed hereto; a grace period of two years will apply to the repayment of the capital amount. Interest during the grace period will be paid bi-annually in accordance with clause 12 of this agreement,” read the agreement in part.
“An interest rate of 6.25% per annum, calculated monthly in arrears, on the total balance of capital and interest outstanding will apply. Interest and capital will be paid bi-annually in accordance with clause 12 of this agreement and for a period of 10 years. A once off initiation fee of 15% of the loan amount paid is payable on the disbursement date. A…
A once off management fee of 1.25% of the loan amount is payable on the disbursement date.”
The agreement also has a confidentiality clause which bars government, STAG and JMMAC from disclosing details of the loan.
“The tripartite (finance ministry, STAG and JMMAC) hereby agree that any information obtained from any party in connection with this agreement shall remain the exclusive property of the party from which it was obtained, and the tripartite undertake to refrain from using or disclosing or revealing any information obtained or generated by the tripartite together for this cooperation without prior written consent of the other party,” read the agreement in part.
“The tripartite shall impose on their representatives, contractors, employees and agents to whom information…
referred to in this clause is required to be disclosed for the purposes of the cooperation, the obligation to keep such information confidential to the same extent as the obligation is undertaken by the party itself.”
The agreement also stressed that the wording was subject to STAG’s approval.
“This agreement is subject to STAG, and STAG’s Funder/s’ confirmation in writing, that they are satisfied with the wording of Clause 8 of this agreement, provided that; STAG confirms its acceptance of such wording by no later than 25 March 2016, failing which this agreement shall lapse and be of no further force or effect. This condition has been inserted for the benefit of STAG and STAG may waive such condition in its sole discretion,” read the agreement in part.
However, according to…
However, according to sources involved in the transaction, the annual financial statements for 2014 and 2015 which were attached to the said agreement and submitted to the Ministry of Finance, were for STAG Holdings, which is registered and domiciled in South African and not the Zambian registered firm based in Lusaka.
STAG Holding CC has a registered office at 2201 ABSA Centre, Heerengracht, Cape Town, while STAG African Investements Zambia Limited, headed by Mosho is registered at address number 758 Independence Avenue, Woodlands, Lusaka.
Last year, STAG African wrote to Mosho assuring him that a technology company called EPC would pay US$17 million to him and others if the Zambian government awarded a Power Purchase Agreement to STAG.
Later, State House ordered the Ministry of…
Later, State House ordered the Ministry of Energy to award the US$800 million Zesco Power Purchase contract to Mosho’s company, STAG Renewable Energy Zambia Limited.
The letter headlined “1,000MW SOLAR POWER PLANT BY STAG RENEWABLE ENERGY ZAMBIA LIMITED” signed by President Edgar Lungu’s special assistant for press and public relations Amos Chanda, stated that the South African-based company needed to be considered for the award of the contract because it had already committed to advance US$120 million to the Ministry of Finance for disaster management.
Before the Zesco board was appointed, Mosho of Lewis Nathan and Advocates had submitted his curriculum vitae to the government, with a cover note explaining that he desired to be the Zesco board chairman because he had, among other…
Fake data. Give us the actual name of the news organisation, not this rubbish ati African Confidential.
Again, UPNDead, u have failed with your propaganda. It won’t work. God who sees in secrecy will judge u.
U can peddle all your lies but come 2021, nafuti nafuti tiwina. As for u, the equation has not changed. It has remained H+H (UPND) = Haluza Hagain.
Get used to it dear friends.
There is such a thing as DUTY TO CORRECT THE PRESIDENT and what is being written here is not true and its like sponsored
The president is always corrected and guided to do the correct thing He does the correct and made to do the correct thing
Backman v. Polaroid Corp., 910 F.2d 10 (1st Cir. 1990)
Stransky v. Cummins Engine Co. Inc., 51 F.3d 1329 (7th Cir. 1995)
In case there is any suspicion or misleading s in the alleged article There is also ratification by authorized officers Nothing wrong with that
But we know there is nothing wrong the president has done above its just malice against him
Ackerman v. Schwartz, 947 F.2d 841, 848 (7th Cir.1991).
Its like this case here when you speak and make representation make sure you speak the whole truth The duty to correct and update is always valid in all circumstances be it in simple commercial or business transactions and those who write and represent
Thorn in the fresh. Are you Zambian if at all you are which I doubt do you have children? Am asking you these questions cos if you we’re a patriotic & concerned Zambian you wouldn’t be targeting those querying Jonathan in all these shody deals he is doing, instead you should have been in a queue amongst us patriotic Zambians who are concerned with what Zambia will become after this chewa Jonathan leaves office. You don’t just keep ignoring or rubbish such magnitude of allegations when there are alot of examples of the kind of person Jonathan is. He stole from a poor widow & a thief will always be a thief no matter how many words you are going to use in his defence in our belief he will always be that what he is. You matter how much you hate HH it will change what Jonathan is. A…
The moment your minds get glued to some online publication, newspaper, TV or radio thinking all they are saying is gospel truth without checking whether the source is credibe or what is written is gospel truth we have a problem. It doesn’t matter whether it’s government propaganda too or some independent media house. If you believe everything LT writes, I’m a sad man. Equally, if you believe everything ZNBC news, I’m worried. M’membe’s Post openned my mind. The agenda was sick.
I am glad you called them allegations son.
Definition.
An allegation is a claim or assertion that someone has done something illegal or wrong, typically one made without proof.
So then we can have a conversation on this one seeing that a firm foundation has been made. An allegation should be followed up with an investigation to prove or disprove something.
Whether or not I have children is inconsequential. Zambians future lays in strong foundations of Institutions that check wrong doing vis, Courts as they interpret the constitution, Parley, CID, ACC, DEC, Anti Robbery Units, Civil Liberty Organisations, various interest groups, Police etc etc and an educated society.
Also, understand that people change. When you claim that once a thief always a thief, you are being judgemental and your stereotyping attitude just shows how sick you are. People reform. I recommend that read my other comments too.
Some of the bloggers are either showing their ignorance or just enjoy discrediting ECL even if they know the truth. The many of us who understand how the money markets work, financing and economics, know that there’s nothing fishy going on here if at all the report is true. This is just another acceptable way of raising capital to finance your projects. Yes, it’s an expensive way but if for various reasons you can’t borrow money at a lower interest rate because you’re a high risk person or company, you unfortunately don’t have many options but to use this expensive financing option. I’m using very simple language to help others to understand.
Could the government have done better to avoid this kind of borrowing? Definitely, but they didn’t and it has come to this. Either they use…
…. Either they do this to keep the lights on or they don’t and the whole country recedes to the stone age.
@Thorn in the flesh
Do not rush into conclusions to divert attention.
This company is looking for 500m usd right now and u need now to ask where this was all coming from.
There is possible truth in this issue and it will be seen if true.
Interest with workers from thisnintitution coz right now they are very mute after reading this issue.
The skin and the flesh…….not the skin alone my friend
I don’t see why the seating head of state should be answering to everyone and every no sense to this small boys give him time to work rather than your nosense
This R.B. Mumba character is truly hallucinating. Does he even know that the reserves for his Zambian Enterprise hve gone below US$2, a historical low and hence the Kwacha losing value. There are signatures Presidents are associated with and they are all constitutionally binding as an exercise of executive powers. Guaranteeing a loan now falls under executive powers? No wonder the Chaiperosn of Zesco is not even aware of this signing; the current now falls under the likes of R.B. Mumba
Its so sad to see UPND getting lost in everything. This is a party that is suppose to be an alternative but they have no strategy. How can a serious political party keep on creating lies day and night against one man in a country with over 13m people. Instead of UPND politicting against PF, they have chosen to do it against ECL. By the time they will realise, PF will have won the elections under the leadership of someone else. This is the same mistake they had during Sata’s time. They were fighting an individual instead of PF and in the end Sata was no more and ECL caught them un aware.
B M Mumba Jr does not know what he is talking about. In a lot of cases, states issue financial guarantees in order to financially promote a project/s that are deemed to be in the public interest like building a new dam for electricity, new housing project to alleviate housing shortage or a mall for a new housing project knowing that it is necessary and the money won’t go into salaries like ZESCO. ZESCO financial distress is not due to new projects, but the government and PF financing. The guarantees are used as economic incentives for the capital market to finance the projects. What capital project is ZESCO undertaking that needs $350 million.
What this is Zambia is borrowing for its operations, not ZESCO. The government is using ZESCO to borrow but financing government. There’s no…
… There’s no need for ZESCO to borrow had it not been government using their money.
B M Mumba you don’t need to be a bank teller to know this. Very rarely do state or local governments in the US work with tellers or receptionists to deal with such transactions. Tell us something else. What are those stupidd percentages for? Sir, we have been to school and we can read. The process is simple and it does not involve the guarantor tagging $150 million of his own on behalf of the borrower. Who is going to pay the difference? ZESCO? This a simple concept of Co-Signer. Stop trying to be another Trump. STOP YOUR STINKING LIES.
The first criterion in providing sovereign guarantees is a long-term assessment of the Beneficiary’s
performance showing a reasonable probability that it will generate sufficient income to recoup its costs. ZESCO is capable and Lungu knowing what he can do if the government fails to pay back is to shift the burden on the people by ZESCO increasing tariffs. We are not simple-minded as Lungu. Know that ZESCO as a company cannot guarantee government, Lungu signed the borrowing as for ZESCO indirectly making ZESCO the guarantor. What a nation? Where did all the money they borrowed go? Buildings in eSwatini?
Kalos 2020: BR Mumba Snr posted something that should make all of us doubt his claim that he works in investment banking. I have looked at the sum involved and the cut the arrangers will get. 150 million dollars is 30% of 500 million dollars. Tell me any place on planet earth where a US dollar loan is priced at this rate? And BR Mumba says this is normal and everyone keeps quiet. Zesco should be asked to explain why they are getting such expensive money. It’s possible to send the Zesco board directors to jail. And the reason this has happened all over again is because late Chiluba escaped jail as RB fixed the court outcome. We may need a tribunal to investigate how Chiluba escaped jail by probing the magistrate who freed him and the DPP who did not appeal the flawed verdict.
Now you have a serious ground for impeachment. Not the nonsense that was in that letter. I would advise opposition to investigate further and place maximum pressure on this.