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Sunday, September 25, 2022

Finance Minister Margaret Mwanakatwe says she is not worried about declining foreign reserves

Economy Finance Minister Margaret Mwanakatwe says she is not worried about declining...

Finance minister Margaret Mwanakatwe has told Bloomberg that she is not worried about Zambia’s declining foreign reserves that have fallen to the lowest level in over 10 years.

Speaking in an interview with Bloomberg TV in Washington on Friday Mrs Mwanakatwe said that she was not worried about the declining reserves because the Government has put in place mitigating actions that will improve falling reserves.

The Minister also said that Zambia’s increasing debt is an investment for the future and shouldn’t be a cause for concern.

“In the main it is infrastructure development, Zambia is vast. The opportunity is out there. If I don’t put a road there, how do I harness the potential that is there. Debt, much as it looks high, it’s a debt for the future.”

According to Bloomberg, Zambia’s external debt climbed to $10.05 billion by the end of last year from $8.74 billion a year earlier as the government continued to spend on building programs despite warnings from the International Monetary Fund and ratings companies that the burden is becoming excessive. Zambia, Africa’s second-biggest copper producer, has failed to persuade the IMF to sign off on a package to boost its budget.


    • Boasting about substandard road construction were bridges are being washed away and ditches appearing on roads sooner than expected.

      It’s a shame this PF government does not want to listen to meaningful criticism and professional advice when advised.

      God bless Zambia.

    • And this is the best Zambia can offer for a minister of finance….? The rest of the world must be saying that’s why these BABOONS are poor

    • “We’ll not spend what we don’t have”, Felix Mutati.
      These are the words of your predecessor, madam disappointing send Zambians as slaves to the gulf. For something to qualify as money, it must possess 3 vital features – the storage of value, medium of exchange and general acceptability. You can’t use your Kwacha to buy oil from the gulf or pay foreign debt for instance. Currencies like the US dollar and other considerations like precious metals can serve the 3 characteristics of money at the international market and are acceptable for international trade. You don’t mine oil iwe Mwanakatwe. In order for you to pay Zambia’s import bills, Zambia needs to maintain a strong reserve of forex. For you to sit there and say declining foreign reserves don’t bother you is…

    • … worrying. One doesn’t need to be an economist to appreciate you’re “incompetenting” right now with that statement. I hope you were not misquoted.

    • I fail to understand these middle age women. Immediately they confirm they can’t get more children, then they start to use that term “I am not worried about it”.

    • Unbelievable raving. Very dangerous for that matter. Alarming narrative by our country’s finance minister. Margarette overzealous as she comes under alcohol seemingly, she has put it before the world that economics is not her forte. President Chagwa please find a placement urgently. Margarette has killed it MoFP is not for her.

    • She’s only worried about her looks, how many time does she definitely honestly checks herself in the mirror?

    • Its disturbing if your mother says “i’m not worried that mealie-meal is finished, the fridge is empty & my bank account is dry”.

      Mwanakatwe was fired from Barclays bank for under-performance. I doubt she even knows why countries have forex reserves.

      The caliber of PF leaders who make decisions after drinking bottles of whisky will sink the country to Zimbabwe level.

    • She’s not worried citing roads construction to unlock potential but where is this road construction taking place? Mostly in Zambian cities townships not necessarily leading to productive areas but shopping malls! Roads opening up production areas are substandard and dilapidated keeping farm produce from accessing markets!

    • Your worship… no matter how hard you try to give us a bombshell look… you are not even close to as pretty as you think. Lmfao!

      You were here supporting and dancing after the appointment of your auntie Maggie by LAZY LUNGU. We told you you that she is a drunk accountant in an economists chair but as usual YOU never listened …look at you now shamelessly hiding behind the door like a pathetic little man who has soiled his underpants. Come out and defend your auntie’s performance on Bloomberg TV silly man!!

    • @Street kid stop being sexist and insinuating that a normal physiological process that occurs in women is responsible for her illiterate comments.So what hormone are you going to blame on Lungu for appointing her in the first place? Talk facts.Elucidate the points in her interview you feel are flawed.Don’t just throw big words whose meaning you do not know around.

  1. I truly believe that our minister is dull. No wonder she went broke herself and the husband. It’s very true. It’s about investment for the future. We are in the future now. Please tell us one tangible investment of those billions that is earning billions and will continue to earn to repay for funds. The only thing I know of is toll gates that cost a few millions but inflated for theft that is earning money. You need to resign Madam. You speak no difference to a marketeers thinking. Anyway jail is awaiting. Watch the space. As always time is the cure.

  2. …ati kongoleni. …tukafyala bakesa lipila…meanwhile abana bakafyalwa tebakabe healthy bakasandafye ama roads to take them nowhere…shell buildings of health posts, mini hospitals, hospitals, schools and universities they won’t access……kaili parents have no cash……I can imagine going to a bank to borrow with surety of my unborn children to pay off my debt….who does that???

    • Ehhh mwandi please landeniko, bachila abantu aba. This type of thinking is ancient and should not be condoned. Investing into a debt ridden future that the current govt knows will probably not be responsible for.

  3. This woman is a dander head just like her boss and fellow drunk, they have very low IQ, what they know best is to drink and drive the country into a ditch which will take many years to get out of.indeed jail is waiting for these dogs

    • It was skincringeing to watch…she thinks she is talking to kids there on the panel even mentioning Gold and Mukula as Zambias major exports….how can you call building a carriageway for 1.3 billion dollars an investment…how are you going to repay that huge debt? Are you going to turn the who road into a highway with toll gates?

  4. Comment: Indeed what Zambia needs is more than cash money, Zambia needs love and unity to progress as Pilato put it. We have bought into ‘winner takes it all’ mentality a lot.

  5. This lady is nuts inviting a crisi$ like an ostrich with its head in the sand.Zambia’s forex reserves were $3.2bn in RB’s era now its just $1bn. Time has come to bring Magande or Situmbeko Musokotwane back as finance minister.

    • You can bring in the best Finance Minister in the world but as long as Lungu remains President, nothing will change. Lungu will still continue relying more on his ATM Chitotela.

  6. Investing into the future with a half baked school graduates and uneducated population… You are failing to manage our education and health system, who will manage that future for us?

    • Read the book Economic hitman..Zambia is following all the steps leading to disaster and enslavement of economy and future generations to come..Each Zambian will be born with a debt on his head if we continue without secind consideration..

  7. She should consider leasing out State House to the Chinese and move the tenants to Kuku to boost government revenue

    • That is how she thinks. Just eat today, tomorrow ifikaisoza, how. Resign you thick headed baboon, and go and manage sh..holes in Kasama wherever you come from.????????????????

  8. OMG, Margaret, Margaret, is that how quickly you have degenerated into a trib.al? Even in a home a sensible family saves a little money for the rainy day. Aren’t you a banker by profession? Not too long ago were you not telling the IMF what you were doing to shore up the economy including building reserves? We know that your good sense has been overruled by a lawyer whose only preoccupation is re-election? But at this rate he certainly won’t be elected, there are several Roans awaiting in 2021. But Maggie my dear are you personally so desperate that you can’t resign and keep your principles?
    Zambians, you mean our politicians have all become trib.als and we have no hope?

    • @UPND CADRE….

      You were in the forefront calling the opposition as tribal parties and those with divergent views as supporting the opposition. Can you now see where we are going as a country?

      Those are serious indicators that we have no hope in our leadership today.

      Surely borrowing for consumption!!! if the borrowing had gone into agriculture, manufacturing and creation of investment activities, I would have agreed with her.

      but borrowing to repair roads in order to appease others and even be so selective in the appropriation of those roads to be done. What happens when money is no more.

      It is like you get a loan of K50, 000 to do a house and the money only takes you to slab level and then you are broke. Eventually you keep borrowing to reach the window level. You reach…

  9. I always thought some of these people (including Miles) were really smart before they got into government…now even the way they talk hasn’t changed.

  10. …No, not all hope is lost. We still have good people, if we can extract them away from trib.als and reorganise them into a formidable force. I see an MMD-1991 like revolution on the horizon, could even be the MMD itself given that trib.al upnd and trib.al Hacks are no option for us. Even Chimbwili knows this for a fact.

    • Do you get erections each time you mention HH ???

      Looks like a deviant sexual obsession by you to mention HH …..looks like you get off saying his name.

  11. Kutiwatampa ukwipusha nga ukalanda good engrish ekusambilila nangu ekukwata amano. She is a menus to Zambian economy and the future of this country at large. How do you consider rhetoric measures as a mitigation you fool. The moment the prices of minerals tumbles, all that stupid engrish will melt out. Foorish woman.

  12. Some people had the privilege of going to a white man ‘s school. English and accent are not a sign of intelligence. I like the thinking of the new PS in general education. Engrish bane is justbut a language. Thru the years intelligent people have been denied an opportunity to contribute in this country because of the so called blood “engrish”

  13. If today we experience global meltdown with no foreign reserves, yoyoyo!! That will be the end of zambia. This woman is very dull. How did we end up having Lungu Edger as President. The calibre of his ministers leaves much to be desired. Fumyenipo akansoni bring back Magande. He was the best ever minister of finance.

  14. Really, this is the dumbest finance minister that this country had ever had. A clueless cannon devoid of any sense of reasoning. Is this the kind of leadership that this country needs?

    • This is why Lazy Lungu appointed her…this woman can’t tell them to cut spending in a cabinet meetings. She is not ashamed of her reputation as she is retired…these are wasted Lungu years!!

    • That is how she thinks. Just eat today, tomorrow ifikaisoza, how. Resign you thick headed baboon, and go and manage sh..holes in Kasama wherever you come from.????????????????

      My my my, with all the UNZAs we have now in Zed, the best we can get is this woman leaving on a high interest rate Credit Card? She is out of her mind. Maybe we should ask for salt to put in porridge from our next door neighbor, that s why Prez tRump calls us, sh..hole. Does she understand what a revolving debt means, even in a home. She needs to be Fired or just resign you sick woman or go home, or whatever she can do, so she can mount up her own debt for the future of her family, and not Zambia.

  15. Is this from a Finance Minster ? May God help Zambia.Anyway what do you expect when people cant tell the difference between a s.. worker and a Finance Minister.The future is her children and grand children in case she has forgotten.

  16. A lot us Zambians are not ok because if we were we would be much better than we are. The major problem is that we are good at “ kubwata, bwata” yapping without knowledge. MMD built a national reserve of close to US$3 bn people said they are not doing anything Banda this Banda that. According to CIA report Zambia grew by at lest 6% annually and inflation was under 7%. But we wanted faster development more roads, electricity, hospitals. The PF came they borrowed to develop what we don’t have. And all of a sudden everyone understands so much about debt and development. How much debt does America have? We will not develop if we sit and say we have no money. Everything is small in Zambia because we are used to thinking small. Even those of us who are economic refugees living outside zambia,…

  17. When Maggie resigns, the next Finance minister will be Freedom Sikazwe. Anything is possible under PF if Sikazwe can be presidential affairs minister cum presidential advisor. Unless you tell me that Sikazwe’s job description is clowning, posing for pictures next to his boss, and assisting or interfering actually, with the presidential security. I may be wrong but I seem to be comparing with the days of Hon Eric Silwamba SC, as presidential affairs minister under Chiluba. Some quality there. But then this is PF under Sata’s “vision”.

  18. …Even those of us who are economic refugees living outside zambia, do not want our country to develop. Look at our so called Lusaka international Airport which looked like a bus terminus until PF came they borrowed it now looks like a small airport. Someone borrows to improve, we yap and yap that is what we know best. Our understanding of a lot of things is so low so much that we are a danger To ourselves. Every economy goes through rough patches during development. But Zambian small minds want to defy that and have it easy. We must just work hard. Others are even saying we are the future my word. It is this that kind of mentally that has made zambia to be where it is, at more than 50 years after independence. Those who are in the future have nothing to offer because they have arrived…

    • Do you not see that KKIA is an overpriced project…no way should we be paying more than $80 million for that structure.

    • We do not condemn borrowing mune we condemn the inflated project costs. Right now government is broke and there are a multitude of unfinished projects littered across the country so how will these be completed? You borrow prudently, you come up with a debt management policy and you do not overprice projects. PF have not borrowed prudently, they do not have a debt management policy and they inflate project costs so I think us small Zambian minds are justified to complain, don’t you think? Coz the way you are talking one would think Zambia has been transformed and looks like New York coz of the PF borrowing when it’s far from it.

    • These foooools dont see why China is lending them money for overpriced strategically placed projects…its like going to a bank for a business loan for your existing successful business you tell them you want £50,000 they said let our people do the expansion for you for a loan of £100,000…pay our company.
      Wake up!!

    • We could have built the airport, roads, hospitals without borrowing. If we had used our reserves to award contracts to zambian construction firms instead of Chinese, the money would still be in the country.
      Now all the contracts were awarded to Chinese & we’re using our reserves to pay China which has destroyed our economy.

  19. …Those who are in the future have nothing to offer because they have arrived and cannot invest to develop. All they want is eat now. China has 100 years about their future. We plan only for five years at a time and others are saying we are the future God help us.

    • I particularly have no problem with the infrastructure development being rolled out by PF government. Even when people say that the projects are overpriced that to me, as you have correctly observed, is just the nature of people wanting to criticize even where there is no cause. However, what has befallen our country now is beyond infrastructure development. People are now denied salaries with no explanation. Our universities are threatened with closures even by the Head of State himself just for the government to avoid funding these public universities. There is untold arrogance from those who are supposed to listen to plight of people which you can even tell from the Finance minister presentation above. We’re not trusting each other any longer. The situation is getting out of hand…

    • You have no problem that most money is going to debt servicing which goes back to these overpriced infrastructure

  20. #18 Kelvin Mulanga, everything in life and in the world is about balance. Is that difficult to understand? Of course, yes, if you are a trib.al.

  21. You are the in government announcing such a huge amount with building infrastructure,my question is why consider building road which strong enough instead of building things which most people who benefit.roads who benefit are only people who have car what of those who can not afford to buy a car.you as government you have failed to build up city market which many people can benefit and you are their busy announcing a huge amount of money infrastructure which infrastructure. If you have money can go and build city market and moreover many organization funded over city market where is that money that you can’t build city market and are busy correcting money through tax payers road are washed way with a little rain of this year what a fack road government.

  22. Great job Maggie, many of your critics would freeze when interviewed by Bloomberg let alone white men. Most are accustomed to blogging under pseudo names with at best bar room analysis. Good job getting invited to the forum and letting them see an immaculate and well articulated Zambian in charge. With the West and it’s investors, image and eloquence are everything.

    • You think simply seating there and opening your mouth and making sounds is a good job….no wonder this country is gone to the dogs…people are not getting paid for several months and she is talking about investments when the government is living hand to mouth who are you cheating?

    • I can’t believe a grown person is praising her handling of the interview instead of being concerned about how m0r0nic her reasoning is.

    • This is why BUFFOON CK ridicules them like little children…you have this fooolish blogger praising her when s/he has not sat down and digested what nonsense she is talking about…you see those muzungus you think I will just talk rubbish about beautiful Zambia…she talks about Rosewood and mukula wood as if GRZ has benefited, even using words like steal to describe bills her govt as introduced to combat corruption…those muzungus do their homework on Bloomberg so are the viewers.

  23. We were told investores will come pouring in, tripping over them selves , when we build $1 million/km roads, very few came , and you are still dreaming of the to come……

    PF and lungu are the most hopless GRZ ever, they want foringners to do all the work for them.
    It ain’t gonna happen , GRZ has to take an active role in setting up key industries. But they are too lazy and corrupt to do the hard work of setting up industries…….that is why they are waiting for foringners yo do it for them….and they recive bribes.

    The way GRZ is keen on setting up Zambia airways is how keen they should be setting up other manufacturing plants.

  24. Much better job than economic analysis and opinions fielded as an unqualified anonymous blogger. Maggie has substance. As it is Zambia suffered from voices of economic saboteurs whose motives were political and not objective and the country is suffering for it through high costs in interest rates that trickled down to individuals pockets. Any effort to repair the damage is welcome. The rest of people’s disagreements should be settled at the ballot not as voices of bitter opposition pundits masquerading as objective informed bloggers.

    • An anonymous blogger condemning other anonymous bloggers, you are really pathetic. Deal with the substance of the points being particularly out rather than the insignificance of anonymity.

  25. Such is expected from such a useless drunk of a woman with no economic focus…. Minister of disaster economics

  26. Mrs mwanakatwe ,

    if GRZ showed the same eagerness to build other manufacturing and assembly plants that they are showing to build Zambia airways , we would be well on the way to highest employment and exports….

    Solar assembly plants, bottle manufacture and textiles should have been established with SIs for grz to prioritise buying from those plants and high duties on imports ….tax paid by workers would have swelled coffers to atleast double what it is now.

    But lungu and his gang are waiting for foringners to do all that for them…..

  27. We need to order more alloys to make trophies for the St.upid Prize. Each time a minister in this government opens his or her mouth they qualify instantly. The trophies are flying off the shelf! Ndipo wene Zed muza kaulilatu! From Ouvrier exports to the Middle East to Kongola wantu wazalipa kusogolo! I have this sinking feeling in my tummy.

  28. I dont believe time to come we will be in freedom we have today due to the incrementation of these debts.

  29. Kelvin Mulanga sit down & think my bro I know you really think that you are smart but from the summary of your comment you have exposed your ignorance .Zambia has a $25bn GDP a 1km road cost around $1m to build the pf govnt wanted to build a 346km road at $1.2bn do the summation that’s a road worth 20 times your countries GDP when it should cost max of $400m ,Your president bought a jet at $65m while UNZA students were starving which resulted in that female student dying at the same time a Chinese man opened a mine at $25m in Muchinga province we are not against development we just against public theft a, misplaced priority , state capture, corruption it’s quite evident that if PF continue beyond 2021 we might be the next Zimbabwe if it’s about Mwanakatwe I will not say much because…

    • #The Zambian mindset. How do you know the cost of 1 km tarred road? What do those people, Zambian Engineers say? What are the specifications of that road? What does it include? If you were a middleman like most Zambians are how much commission would you charge? We know all these problems what we are saying is let us be ingenius and suggest solutions and not just condemn ignorantly. Infact the Chinese have made road making cheaper by providing automated stone crashers. How much would one kilometer cost (K) and time? if your sister and mine where sitting by the roadside breaking stones (like we did before) with a hand held hammer to supply the construction of one km?. Some of these costs arise as a result of our laziness us Zambians we want everything easy easy including leaked exam papers…

  30. Continued……… she was recently caught lying in parliament about debt servicing if what the PF where doing was ok there would not be so much public outcry after all does not want good infrusture. Moreover if your minister of finance is lying to you , you must be very worried it’s a symptom of very huge hidden problems you don’t know about .All symptoms in Zambia show a failing economy.


  32. Even those who didn’t even listen to the interview are yapping.

    Maggie did her job very professionally.

    I NOT her job to tell the world how much pressure our economy is under OR to send distress signals to investors.

    Sending distress signals and publishing negative news about Zambia is what a useless opposition leader does.Not a finance minister.

    Her job is to paint a rosy picture of Zambia regardless of what pipo from dundumwezi planet think.
    That’s what she did.She is a finance minister with ‘balls’ bigger than Akainde

    • A rosy picture of pure lies ??

      Why should opposition leaders lie ???

      The economy is in intensive care , why do think civil servants are not getting paid….

  33. …#Zambian mind set.
    Some of these costs arise as a result of our laziness us Zambians we want everything easy easy including leaked exam papers. Am not saying there is nothing wrong in Zambia, of course we must be part of the solution. Example, there is Zambian chap whose son graduated and was looking for a job. He had to go to a named ministry to get someone to give his son a job, finally his son was corruptly given a job and he was very happy bragging that he has managed to “organize” a job for his son. But he is so loud to condemn corruption in Govt. 99% Zambians are like that. It is only corruption when it is someone else. Unless we realise this, we will keep on wallowing in corruption for ever. Some of the example you have given my brother are typical of the Zambian thinking…

    • Kelvin Mulanga I know you have eyes see my bro we are heading for disaster how I wish I could just speak directly to you with out typing I recently gave you an example of Mr Lungu buying a plane worth $65m while a Chinese man opening a mine worth $25m in Muchinga that’s what is wrong with our current government misplaced priorities , how does someone justify buying a fire truck at $1m what solution do you want people to provide is not the above solution not enough, stop spending aimlessly ,you talk of working hard but my bro ask those who have experienced economic failure when the economy fails it does not matter if you work hard your business will go nowhere please I know you must have had some basic economics in school ask Zimbabwe ask Greece when the economy fails even big companies…

    • Continued…………. even big companies shutdown operations and leave your country unless you have oil don’t act naive.We are not f00ls or uneducated this is how you destroy a nation. Do you even understand why America with all its debt does not collapse please research before commenting my advice is first Google history of gold backed economy and understand why counties like USA are smart counties from their research on foreign reserves then finally on state debt because i sense you a little uninformed about the issue at hand

  34. I listened to the interview, I’m a banker by profession that has worked for some of the big banks in corporate at a senior level. Perception is everything. That interview was well articulated and with the confidence required to elicit a good perception. The west understands debt, and that it is a catalyst to development. Which is why I question the caliber of the analysis in criticizing her performance.

  35. China in one decade 1989 to 1999 changed about 781,424,000 people from lower class to middle class further about 418,620,000 people moved from adjective poverty. The Chinese government economic success is encouraging exports which bring in the country foreign exchange. Now am surprised the Finance Minister Margaret Mwanakatwe saying she is not worried about declining foreign reserves. Such kind of money can be used to:
    1. To pay salaries and fund the education sector for tuition and research.
    2. Funding the agriculture sector; buy products by paying on time. Not after 17 months
    3. Spend on using your own money. Not been praised for using borrowed which we are struggling economically
    Already we are in darkness economically

  36. #40 Price, what is adjective poverty? Makes me wonder whether the rest of your post is factual fake news, or whether you know what you are talking about!

  37. This knee jerk don’t care response by our Finance Minister to a well thought through inquiry by Bloomberg about status of our economy has exposed our Kwacha to significant stress and very likely will worsen it’s performance to USD

  38. The President has directed Agriculture minister to ban the export of maize or mealie meal until government checks the reserves. Barely four weeks ago the same government (PF) directed that exports can begin as the country had enough stocks even for relief maize.
    PF fast degenerating to the levels of trib.al parties, i.e. not knowing whether they are coming or going … kwendafye mungulu mungulu…. or chipante pante…. kikikikiki …. especially after Roan … kikikikiki

  39. #41 upnd cadre.I meant to write Absolute Poverty thanks for paying intention to my post. I know you confused with my details 56% of China population and about 400,000,000 Chinese standards of living improved. I also doubt whether your argument is making sense or you just confused. My main point is to link economic progress been translated in improving the standard of living and reducing the cost of living, but you are concerning the spellings. Some are using abusive language which seems to satisfy you or just ignoring deliberately.

  40. I don’t comment unless I have to. Wasting time is not in me. We must all understand that citizens of a country are accountable for what government does. Government does not go out to cast a vote on itself. Good or bad performance of government is due to a a vote that was cast. After government is formed and things go wrong, we must not complain but wait for the next election. That is going by the standard of democracy. Let us not put people in power who we know have no reputable character and are uneducated. If you are reading the comments for the first time, don’t waste time just focus on the following: #20.3 &20.1 Jay Jay, #20, 33.1, 37 Kelvin Mulanga, #20.4 Maloza, # 26, 38 Ndeloleshafye, #20.2 DudeLove, #12 Denkede. Let us be logical in what we write. Like someone has already said,…

  41. The reserve of voters for the opposition is dwindling very fast.

    Progress has been trumping pseudo knowledge in bye-elections.

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