Government plans to issue a K8 billion Covid bond whose proceeds would go towards paying suppliers, retirees and contractors.
At yesterday’s cabinet meeting held at Mulungushi International Conference Centre, Cabinet approved in principle the establishment of a K8 billion economic stimulus package that will be financed through the issuance of the COVID-19 Bond.
Cabinet sources say the allocation will go towards payment to retirees, contractors and suppliers.
Cabinet resolved that it is necessary to provide an economic stimulus through the issuance of the COVID-19 Bond in order to improve the liquidity levels in the economy that have reduced due to the Coronavirus pandemic.
COVID bond will be additional intervention from the April central bank stimulus package and May benchmark interest rate cut to boost growth.
“Tata Kaunda somone abana bobe, abana bombe bachula, balelala mu mpanga, kwati ninama shamumpanga… “
Bushe nayaamba IMF-Zambia consultation? Nangula tulelolela ukukaka ama youths? Or better still ukubacita break ama bonzo ?
Bushe IMF nasumunisha?
Good move. Instead of going for village banking the haves can assist the have nots. This is trading on debt though. From a less expensive debt to a slightly expensive debt in the hope that the economic recovery outweighs the interest on bonds. Quite a good gamble and better than doing nothing.
This is one reason why moderate borrowing by the state is always encouraged. Whn crisis strikes and u are found to hv borrowed too much already, u find yourself with no room to borrow. I hope this ends safely.
Very good decision. Best to act early rather than dithering like the way the British government have done in dealing with Covid 19. Look how many deaths they now have just because they were slow to act and decide what was best for their country. Meanwhile for us here we are taking a proactive approach to economic issues. Instead of those few youth who protested brainstorming and giving us their views on such pertinent issues, they would rather be bought off by opposition. Who can want to employ such people
African democracy is in crisis – VJ
DEMOCRACY in Africa is in crisis, says Vernon Mwaanga.
The veteran politician said the new generation of African leaders had developed atrocious habits of treating national resources as personal and thereby lowering the bar of integrity.
Mwaanga said many of them use their offices to amass wealth for themselves, their families and friends.
“They use national wealth not for development or the banishment of poverty, but to satisfy their greed, power and prestige, then they cross the red line. It is immoral for wealth no matter how little, to tolerate poverty. The pattern we have been seeing in many African countries is ruthless competition between close subordinates of presidents, not to acquire money to feed, clothe or house themselves, but to give…
Money has never been a problem in Zambia whether borrowed by the state or generated from its own taxes and fees for public services such as immigration, air navigation services etc. The problem lies in how govt spends money. You can have all the money in the world but if u spend it carelessly, u won’t be better off.
PAY RETIREES AT PSPF NOW ITS LONG OVERDUE.
Another bond issue? God have mercy
Man matter
Let government consider giving this money to zsic life because the state owned insurance company has not been paying claims dating back to 2018 , when in fact these should be paid within 27working days like napsa the way it is paying. I think this will also increase liquidity in the country and reduce the impact covid19 has on the economy.
Man matter
Government should consider giving part of this sitimulus bond to zsic life insurance because the company runned by the state has been falling to pay claims dating way back to 2018 ,so imagine how much it holds for it’s customers and I think this will increase liquidity in the system hence reducing on the impact covid19 has on the economy.
Mmmmm
really, but where is the K10 billion??
Yahoo! More money to steal! It’s Christmas!!!!
No one should ever believe what these guys say. They will borrow and the money will disappear and they won’t even bother give an explanation. This is just one of the usual scandals.
Let’s vote these guys out
The decision is good. I hope and pray that it’s not another strategy to loot or false hope for votes.
If only the Economists can manage to tell the “Students” what Covid 19 Bond means I will be grateful. Ala fwebambi…tatwaishiba. Twakula landalandafye.
Good move but apart from the retires, suppliers and contractors. GRZ must seriously include public service workers for there allowances, claims and gratuity,has this has potential to stimulate the economy since the risk is none. Schools are opening but parent have nowhere since lending institutions have since stopped giving credit to civil servants