As the debate around the infamous Bill 10 rages on, one of the issues being hotly contested is the proposal by the PF that Parliamentary oversight on respect of debt contraction must be relinguished.
They want to enjoy the latitude to borrow and plunder as they please. Simple.
The public may wish to know, that the expensive market loans the PF have been contracting are motivated by the Two (2) C’s: Commission and Corruption.
These market loans, alongside the avalanche of opaque Chinese loans – Chinese loans whose terms remain unknown, have the least due diligence requirements in and around procedure for contraction, as well as how the debt money is subsequently applied.
There remains very strong indications, to the effect that much of the $20 billion the PF have borrowed has in fact been borrowed illegally. Not only this, there are strong signs that only a very small proportion of this debt has actually gone into public projects such as building roads, hospitals and enhancing public service delivery.
The Americans and other sound financial jurisdictions where much of corporate debt is issued are contemplating a system that will hold INDIVIDUAL governments, and NOT the people of their respective countries, accountable for ALL loans obtained against requisite procedural requirements in those countries.
This is key in holding corrupt governments and the officials that serve therein accountable.
An estimated 63% of this debt money has either already gone or will eventually be sucked out by self-interested political actors and their business associates in private assets within 5 years of project implementation.
This is why in Zambia, there is a huge mismatch between economic growth and debt.
Primarily, for every $1 Zambia has borrowed, 63 Cents is stolen.
This means many, if not all of the projects linked to the $20 billion debt, will never be able to repay their own debt!
Question is, who will?
By Anthony Bwalya – UPND Aspiring Candidate for Kabushi.