Finance Minister with IMF Delegates
Finance Minister with IMF Delegates

The International Monetary Fund has urged Zambia to cut spending as a way of reducing the mounting debt.

Zambia has been pursuing a US$1.3 billion financial bail out from the IMF for over three years.

But at the end of its latest staff visit to Zambia, the IMF stressed the need for a large, front-loaded and sustained fiscal adjustment that would help set debt on a downward path and reduce domestic arrears.

In a statement, the IMF says Zambia’s spending commitments should also be prioritized in order to meet key development priorities including supporting vulnerable populations.

The staff team was led by Dhaneshwar Ghura and were in Lusaka from November 13–19, 2019 to discuss recent economic developments and the economic outlook for 2020 and the medium term.

At the conclusion of the visit, Mr. Ghura said,” Macroeconomic outcomes have weakened as a difficult fiscal position combined with a severe drought have resulted in projected growth slowing to below 2 percent and an increased risk of food insecurity.

“Discussions covered both near and medium-term policy options to address these challenges, including the main elements of the draft 2020 budget being currently debated in Parliament.”

“The IMF staff met with President Lungu, Minister of Finance Bwalya Ng’andu, Bank of Zambia Governor Denny Kalyalya, other senior government and Bank of Zambia officials; and representatives of the private sector, civil society organizations, and Zambia’s development partners.

“The staff wishes to express its gratitude to the Zambian authorities and the various stakeholders for the constructive spirit in which all discussions were held.”

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35 COMMENTS

  1. No more reckless borrowing, kunya bebele nomba! Instead of trying to borrow some more to create more opportunities for stealing, just prepare to leave office and relocate to either Chimbokaila or to spend the rest of your most useless lives in exile as refugees. As for your your Satan burried at Embassy Park, we shall follow the Spanish route who last month exhumed dictator Francisco Franco from a crypt in the underground basilica and burried him elsewhere. We will exume Sata too and Bisa’s can burry him kwa naBwalya.

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    • US$1.2 billion will end up in Lungu and PF bandits pockets….globetrotting,buying gas gazling huge SUV’s..building mansions in Eswathini…Kaizer Zulu spending nights at Lodges and beating up innocent Zambians…thank you IMF….dont waste your money on these corrupt PF bandits…..Lets keep calling them PF Bandits so that no one lends them money…these organisations go through our comments….no one will give money to Bandits

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    • Walasa mambala especially the exhuming of that riff raff Sata to answer serious questions. MAY HE BURN IN ETERNAL FIRE IN HELL.

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  2. As at 2018, The PF have accumulated $19 billion in foreign debt according to the latest UN report on international debt.
    Why bail out such a reckless bunch of people?
    Just face the consequences of your irresponsible actions.

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  3. Don’t misplaced yourself.The idea of borrowing money from IMF started in 2015 ,due to economic criticality even the government was not in hurry to borrow money from IMF .IMF came with arm twisting economic policies government are reluctant to date.
    Kudos to government.From inception in 1943 no country has ever developed through borrowing money from IMF apart from suppressing and oppressive economic practices which they impose on third world countries.
    Kudos to the president.
    Waiting for insults from UPND stooges.

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    • @Mr P, the IMF is only offering $1.5 billion in bail out funds.
      The PF have about $2.0billion in Eurobond nkongole and over $17billion in debt mainly to China.
      So what harm can the IMF do to Zambia?
      The PF have already messed up Zambia with the Chinese debt

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    • You are dull. That’s not an insult, just being factual. It is not IMF offering bailout to us it is us running after them begging so how can you say ‘Kudos to government?’ Are you normal?

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    • So Why is government desperate for bailout from IMF now huh?. PF government waits for things to get way out of hand before they even start to plan that’s why it is called a government of reaction and not of action. Just advise your government be forward thinking. When the ship is sinking that is when they think about building lifeboats.

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    • MR P. Am sure even you would be careful before lending someone your own money by ensuring you are not heaping more problems on the one who wishes to borrow. IMF has what is termed an invitation to treat kind of dealing. IMF have rules laid down even before countries run to them for help. Their strict policy is lesson enough for heeding countries to learn how to be financially savvy and avoid ever finding themselves in such situations again. IMF is not a charitable organisation for them to hand soft rules to those that wish to borrow because that will be encouraging lazy governments to come back for more.

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    • “Only HAZALUZA HAGAIN can make our economy strong like that of GERMANY!” HASKANCE & BOSPAKATA Group 4s.

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  4. True @Mr P.. Thankfully I am not UPND so no insults here. No country has developed through stealing from its citizens. We see acquitting of people who cannot account for their accumulation within a very, very short time. Countries HAVE borrowed from the IMF and HAVE developed. They have just been stringent in their application and governance models. UPND will not insult I hope. Hopefully they will indicate what should be done… not what others have failed to do.

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  5. Hello there,
    Are you in need of any type of loan to help meet your financial obligation?
    If yes, then let’s introduce you to Altara Loans firm. We give out loans to both government and nongovernmental employees alongside businesses and farmers at just 8% interest rate.
    Does that sounds too good to be true? Then why not try us out? You can reach us via email at [email protected] or WhatsApp +3197005030217. Trust me when I say that you’ll be glad you did.

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  6. peee yeffuuu(pf) go to altaraloans.com or call or whatsapp +3197005030217Trust me when I say that you’ll be glad you did.kikikikiki heheheheh hahahaha check up there not IMF.

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  7. It’s too late anyway, the thieiving Poofs did not want to listen. Up to today they still want to fill their pockets. And the chief poof howson signs of repenting, doesn’t see a problem with unsustainable debt. The IMF team should have seen this that is why they cannot even start talking abail out,all they are saying is first align the Poofs then we can talk.

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  8. What is the cost of these useless negotiations? Eventually bailout will amount to travel & per diem expenses both ways i.e. Chambia going to U.S & IMF coming to Chambia!
    These dullards are just wasting resources. How many times have both OPPOSING TEAMS (Chambia & IMF) travelled to & from each other’s camp?
    Chambia to US 10X (Chikwanda 4X, Mutati 3X, Aunti Dizzy 2X & N’gandu 1X)
    IMF to Chambia 5X (twice 2015-16, 2017, 2018 & 2019 once each)
    Can’t u realize the resource wastage & that IMF is playing games on u? IMF maybe waiting for their preferred man to be installed if his votes won’t stolen before bailing out Chambia.
    Wake up from ur slumber!

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  9. Hehehe.Let PF keep showcasing their dance skills to their doomed song dununa reverse maybe IMF might give them the funds.

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  10. The fundamentals of the Zambian economy are very weak.That explains the IMF’s reluctance to bailout Zambia in the absence of a clear cut economic recovery plan.The observation by the IMF is spot on.Our debt stock is becoming unsustainable and requires remedial measures ASAP.

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    • @RudeMonk. I agree, it’s all in a gutter! President Lungu you are sorrounded by 1diocyy. Drop the whole cabinet entire and appoint a new cabinet capable of implementing austerity measures. Let’s support one great civil servant Dr Simon Miti. He is draining the swamp. Actually, give him a cabinet position preferably in finance. This way to prepare him for presidency.

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    • @Pimbilimano. Speaks volumes. Nevertheless, that is the person of presidency we have at the moment. Perhaps in the sense of way forward, president Lungu should act. He still has power to hand pick elements capable of doing the work.

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  11. Dr Miti for president, atase! That man is a stinking thief who was arrested during Levy’s reign! Though it doesn’t surprise me that some people in this country have a thieving culture thus are wedded to stinking thieves like Miti!

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    • Haha, laughable! ati “atase” apparently where I hail from, that’s insolent. Where’s Kapokko a criminal candidate co-accused with others. You are innocent until proven guilty. Was Dr Miti found guilty? The country is riddled with corruption and civil service is rotten with it. To find one able to fight it, generates a great sense of relief! In fact this is a great job appointment President Lungu has made in the recent past. In PF we debate presidency and for now that’s my proposition and my choice! Understand fluidity of politics and it’s unfortunate you do not! Don’t waste your energy in characterizing others as thieves, save it lest you lose next election and for just now save it to protect yourself against xenophobia. You so skewed, strike a balance, who is your choice?

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