The Ministry of Finance has revealed that Zambia’s external debt rose to $9.1 billion through February from $8.7 billion at the end of last year.
According to a report posted on the Ministry’s website, the fiscal deficit for the first quarter of 2018 was 3.7 billion kwacha ($361 million), compared with a target of 16.9 billion kwacha for the year.
And International trade expert Trevor Simumba has warned that the country should expect its foreign debt to rise further.
“Zambia’s external debt now $9.055 billion as of February 2018 and it still preliminary. Expect another change come end of second quarter,” Mr Simumba warned.
Oh dear why is the debt increasing? Why are you taking the borrowed money?
We’ve consistently said our national problems are not insurmountable except that expertise is now but all gone systematically overlooked. Rather than solely entrusting cadres with critical roles, continuing with over dependence on foreign goodwill conditioned on the dogma of buying into open-door liberal economic policies of turning African economies into a full blown-up import oriented economies and indeed concentrating on short-term fixes, the Lungu administrations has a historic opportunity to courageously settle for lasting solutions and priorities. Time to embrace experienced Zambians also leverage highly educated expert minds in the Diaspora community to help reform the under-performing current outfits and embark on depoliticizing them altogether.
They are just slowly revealing the truth …..the IMF has withheld BOP support due to suspected hidden debts
Sadly, the country in liberal democracy has outgrown some catastrophic patronage networks which President Lungu must urgently help destroy if mother Zambia has to survive. Corruption and lack of expertise as issues at the center of endless financial leakages, are certainly ruining Zambia’s national capabilities.
Did they include $150 Million stolen from Zesco by Lungu & Lewis Mosho?
It’s so saddening to helplessly watch our beloved country being driven to the garbage heap by humble CROOKED thieves. From having $3 billion in reserves in 2008 to being bankrupt & $9 billion in debt with nothing to show for except incomplete white elephant projects.
Where did we go wrong? Are we cursed? Is poverty our Siamese twin?
Loyal ~ Chris Brown
Actually Zambian debt surpassed the $9billion mark in 2014. I knew about this and commented about it but PF minions insulted me. I have always said PF lies has short legs.What ever PF says the direct opposite is the truth.
Why can’t they tell us that Zambia ‘s debt stands at £45billion plus. And Lungu and his cronys have stolen two third of it and now want to tax every one to pay for for their theft.
This is Alexander Chikwanda-created fiscal shambles but now he wants to appear clever as usual. I am surprised that people do not know his prose.
It will increase.God help us! Lazy is Lungu and his colleagues
Zambia’s foreign debt now is up to over $9bn and its forex reserves down to just $2bn – that’s PF economic mismanagement class 101 for you.Where’s the astute Rupiah Banda and Magande to save us now ?
#3 Mzamani, Sata and HH with the help of crooked Mmembe made sure that RB was removed so that they get power. One vulture of the two won over the other. Now live with it boy! Don’t blame Lungu, he simply inherited what he found, rotten and ignorant party cadres, rotten economy, rotten ideas, corruption and all. The other vulture has been crying rigging since 2011.
RB was not promising at the time he was voted out. He needed to be stopped in his tracks because people had got used to LPM’s style of governance and had began to like what they were seeing. Instead of holding his ground, RB started changing course for no reason and he paid the price. Sata took advantage and romped home in 2011.
Eswatini Mansions, zayenda ndalama.
IMF warnings and Fitch Ratings downgrades… downloading. Please wait ,tighten your belts and don’t interrupt the painful process. Roadside kantemba PF economy indeed.
Apply aggressive fiscal policy.Stop procuring vehicles with V8 /V6 engines for any government officials, cut on seminars/workshops, cut on foreign trips, any procurement above $100,000 should be approved by the president or his delegate, freeze recruitment unless “essential departments” like doctors, remove Deputy Permanent Secretary’s position (like Patrick Mwanawasa” , reduce the staff in foreign mission, suspend or fire all those with suspected frauds/corruption, no creation of new districts, fund essential projects only, disband ministry of religion, probe makula tree /fire trucks scams.Be aggressive like the way you handled cholera, then you are assured of some “reserves” and confidence from stakeholders.
“……any procurement above $100,000 should be approved by the president…”
Hehehehehe, myweee
..putting a theif as a cashier ….how do you think we got into this mess in the first place…?
So according to you each section or department should be approving on itself? How those CEO;s or MDs in some institutions who even approve little cash such as “cash advances” , do you think they are cashiers? Approval by the presido or his delegate instills discipline in the dealing officer any irregularity or exaggerations will result into dismal.I understand you probably you have never been involved in cost cutting projects say in multinational companies hence you don’t what systems work for such.You might understand that if you are into senior management.
You can blab on about cost cutting but lungu is not the one…..dont forget lungu approved spending $1 million on a fire truck that costs $288,000 , 42 times.
For Zambians will just have to brace for impact and tighten belts…..maybe in 10 years if there is a change in GRZ sanity will come.
The debt is increasing
Economic maladministration at its best. The truth always come out in the end. In fact this US 9.1 billion is what is documented. They have simply added the US500 million that the visionless visionary signed in darkness now that they have been caught pants down. The level of obfuscation and false hoods are reminiscent to the PF.Covert loans obtained from China if added to this figure, we are in the range of US13 to 14 billion in external debt. If we add local debt the amount is slightly above US20 billion. With reserves of US1.8 billion, one does not need to be a rocket scientist to fathom that something is terribly wrong with our economic managers and the back stops at Mutaware wa Lungu.
Does this include the Chinese debt? As that doesn’t go through treasury.
Disaster…..eveory international financial agency mentions corruption when they think of lungu…..even lungus calls of fighting corruption seem fake
I have been telling lungu that your silence is damaging you…..
Ba Trevor Simumba why do you issue a warning on something that has been announced?. I wouldn’t call it a warning when everything is in the public domain.
Back to square one! The MMD under Mwanawasa managed to get us out of this debt trap. The change we voted for. What a huge mistake we made!
That debt was written off. It wasn’t paid off. Don’t overrate Mwanawasa who sold kcm for $25m.
PLM was the best president after KK then RB …….lungu even lags far behind FJT…
Ala we r in problems
A lot of which has ended up on building sites in Swaziland and other sites in Lusaka.
A lot of which has ended up on building sites in Swaziland and other sites in Lusaka.
Rome was not built in a day. Lets slow down on borrowing so that we do not end up being held at ransom by the lenders. Because one missed his supper does not entail one to eat double his daily amount. So if the past governments did little, we should not rush without caution to the limits of the game.
This is the legacy of Sata & Lungu; drowning Zambia in unsustainable debt.
Keep repaying and keep developing the nation. One good thing, he (the chronic loser) will NEVER be president! That is good news!
@ Dununa Reverse
Chiluba fought for debt cancellation. Mwanawasa was president when the actual debt forgiveness took place. What did Mwanawasa do with this wind fall? Nothing.
If this Government or most of African leaders were smart, they would invest in their own natural resources instead of relying on foreign investors to do it for them. How can the wealthiest (natural resources-wise) continent in the world be the poorest?? Africa is forever stuck in development because of corruption and stupid leaders who would rather depend on handouts.
@ sharon.are you straight up in your head iyi