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Sunday, November 29, 2020

Dr Kalyalya did not Put Aggressive Measures to Stabilise the Kwacha-Katele Kalumba

Economy Dr Kalyalya did not Put Aggressive Measures to Stabilise the Kwacha-Katele Kalumba

DISMISSED Bank of Zambia (BoZ) Governor, Danny Kalyalya, had lost focus in the last few years and President Edgar Lungu needed to inject fresh leadership at the central bank, former Finance Minister, Katele Kalumba has said.

Dr Kalumba said Dr Kalyalya had failed to improve the monetary policy.

He said in an interview yesterday that fiscal and monetary policies were macroeconomic tools used to manage or stimulate the economy and that failure to improve them had negatively impacted the economy.

He said that Zambia right now needed strong actions to arrest the downhill trend of monetary and fiscal policies.

The former minister said that Dr Kalyalya did not put aggressive measures to stabilise the Kwacha.

Such actions, Dr Kalumba said, showed that the former governor had no new idea that could foster improvement in the economy.

“There was also misdirection by the team led by Dr Kalyalya to position itself to engage the International Monetary Fund, all these are failures.

“I pray that Mr Mvunga will coordinate the team at the Central Bank and the financial institutions. He must ignore the critics and pay attention on improving the economy,” Dr Kalumba said.

64 COMMENTS

    • Well said WDr Kalumba. WDr for: WitchDoctor Kalumba. Once caught up a tree indulging in witchcraft after Police failed to find him for months.

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  1. flag Corruption scandals: 48 Houses Social Security Cash Luxury Presidential Jet Ambulances Fire Trucks Mukula Trees Ndola-Lusaka Rd Malawi Maizegate Fuelgate Swaziland landgate Zesco Loans

    Katete Kalumba, I thought you were clever than this but I realise you are just another cadre misusing the title of “Dr” (maybe Sr in Witchcraft). So what “aggressive measures” could the man do with so much borrowing, spending and corruption by this Lungu government and his minions? No production of anything, just spending and more spending debt money. If you mean printing money and increasing taxes on people with no money, that would just never save the Kwacha’s free fall. If anyone needs firing, it’s this useless Lungu and his minions.

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  2. That’s like wanting a chef to cook a good meal out of rotten food and ingredients….

    The foundation of the economy is messed up and was aimed to be reliant on foreign investment to grow

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  3. Yes Ba Denny is a bit dull, but he looks respectable. Katele and Nawakwi were sober crooks, well dressed but notorious thieves, and we liked them.
    Denny is a too honest sober man, but insult is replacing him with drunk fish.

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  4. This wizard sexologist is still among the living, I thought he was dead!? Whether the guardrails are monetary or fiscal, nothing positive can happen as long as Lungu’ kleptomaniac recking train keeps on breaking them. If what This wizard is saying is right, why was Kalyalya’s deputy, Bwalya, made Treasury Minister? Fuc.king Tribalism!

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  5. Katele stole and was prosecuted by Mwanawasa, not HH. Big difference. Anyway Katele has some respect for HH.
    Going after HH as privatisation thief, is just making him more popular.

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  6. I think the issue should be more about the replacement than about the fired. What value is in displaying wisdom after the fact. What timely advice did he give when it was relevant?

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  7. flag Corruption scandals: 48 Houses Social Security Cash Luxury Presidential Jet Ambulances Fire Trucks Mukula Trees Ndola-Lusaka Rd Malawi Maizegate Fuelgate Swaziland landgate Zesco Loans

    Katete Kalumba, I thought you were cleverer than this but I realise you are just another cadre misusing the title of “Dr” (maybe Sr in Witchcraft). So what “aggressive measures” could the man do with so much borrowing, spending and corruption by this Lungu government and his minions? No production of anything, just spending and more spending debt money. If you mean printing money and increasing taxes on people with no money, that would just never save the Kwacha’s free fall. If anyone needs firing, it’s this useless Lungu and his minions.

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  8. Katele has not insulted HH so why are people insulting him? Zambia is big if the economy fail completely even HH wil come & fail to bring it back to normal.so don’t pray for the economy to fail .that is Satanism wanting to celebrate over one’s failure.

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  9. According to Keynesian economic principles
    the government must deliberately ran a deficit to keep people out of unemployment, to stop mortgage repossessions, to stop business bankruptcies, this must be properly understood by the Zambian population. Just look at the level of mortgage repossessions or loan default in Zambia. How do you resolve this without central bank intervention? Government must ensure this is properly communicated to the people. It is the right policy to print money under these circumstances; printing money is not a crime. UPND has come in with this false truth, this false accusation that Zambia is running a deficit and unsustainable debt. It is completely false, completely inaccurate. USA and other major economies have printed money to keep their countries afloat.

  10. This Chiengi wizard is not taken serious these days. His opinions are politically connected to PF.

    These are people who follow the wind but not knowing where it is coming from.

    He has lost relevance.

    PF must go!

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  11. Guys Lungu had planned the firing of the BOZ Governor a long time ago and to be replaced by a PF minion. Lungu is a genius in wickedness. He moved out Dr Ngandu then brought in Dr Chipimo with no intentions of promoting him. The moment he moved Dr Ngandu he started counting and looking for someone to appoint in the position who is aligned and amicable to follow instructions. When that was in place, he moved and swung the axe. Not that he was doing something legal. He doesn’t give a f***, about the constitution. Remember what Guy Scott said in 2015 when they adopted Lungu to be PF president. The opposition should start watching what the PF cadres say. The Cadres expressed unsatistfaction with Dr Ngandu online saying when Mwanakatwe left the Kwacha was still stronger than under Dr Ngandu…

  12. It’s the President that knows why Kalyalya was fired anything else is just speculation. However, I agree with the observation that BoZ under Kalyalya lost its vigilance in its oversight functions. Just look at the way banks behave! Put as little as K5,000 into your savings account, by the way I don’t if such an account ever exists now, and leave it there for 5 months. Go and check your balance then come we discuss Denny Kalyalya

  13. And people think the president has time to fire someone on personal grounds. The president knows that if he gives the reasons why denny was fired, it may lead to him finding it hard to find alternative employment because if you are known to have failed as a governor in the economics field, many organisations will be very sceptical to employ you. The denny supporters are too dull to see this

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  14. Actually coming to think of it, it took Habazooka to raise alarm over the various charges depositors into Zambian Banks were suffering – before BoZ came in to correct the situation.

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  15. According to Keynesian economics , countries can deliberately ran a deficit to keep people out of unemployment, to stop mortgage repossessions, to stop business bankruptcies. This is an aspect Denny Kalyalya and UPND never properly understand. Printing money is the right policy when COVID 19 is creating economic chaos globally. HH and UPND Cadres come in with this false truth that printing money is a crime, this false accusation that Zambia was running a high budget deficit and debt not to get out of the financial crisis. This is completely false, completely inaccurate, USA and the entire G7 countries have printed money in this period of covid 19. KK’s government printed money to sustain government operations. Can someone tell us why Zambia not responsibly print money?

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  16. Ayatollah AND FAKE KZ , YOU ARE USELESS Human beings…. Am beginning to wonder why this boy KZ is always given top priority…He is part of LT. I challenge LT to deny this…But anyway HE CAN RANT AS MUCH AS HE WANTS…2021 IN BALLY CHABE!!!

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  17. According to Keynesian economics , countries can deliberately ran a deficit to keep people out of unemployment, to stop mortgage repossessions, to stop business bankruptcies. This is an aspect Denny Kalyalya and UPND never properly understand. Printing money is the right policy when COVID 19 is creating economic chaos globally. HH and UPND Cadres come in with this false truth that printing money is a crime, this false accusation that Zambia was running a high budget deficit and debt not to get out of the financial crisis. This is completely false, completely inaccurate, USA and the entire G7 countries have printed money in this period of covid 19. KK’s government printed money to sustain government operations. Can someone tell us why Zambia should not responsibly print money?

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  18. Katele was a very good finance minister back then, he certainly understands economics better than some people who are busy name calling him. Help where you can when consulted ba Kalumba, you’re intelligent regardless of other social opinions.

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  19. He’s right that there has been too much of a focus to position us to engage the International Monetary Fund.

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  20. AT the heart of the hotly debated topic pertaining to the successor of Tan Sri Dr Zeti Akhtar Aziz as Bank Negara governor is the apprehension that the new person would be someone with leanings towards Putrajaya in managing the monetary policies of the country.

    In the last few months, Bank Negara has not only been seen as the institution that has managed the stability of the financial system well, especially post-1998 crisis, but it is also seen by the man on the street as the guardian of integrity in handling public funds, distinctly after its probe into the affairs of 1Malaysia Development Bhd.

    Due to the second factor, any outsider being appointed to the top position in Bank Negara would be viewed as a person “unfit and improper” to hold the position as the independence of the…

  21. central bank may be compromised.

    While the view may hold water, it should be noted that in the past, there have been several external candidates who had been appointed as Bank Negara governor, with the country’s financial system being managed well.

    All the candidates had the endorsement of the Prime Minister, who advises the Yang di-Pertuan Agong on the appointment of the governor.

    Why, even when Zeti was appointed as Bank Negara governor in May 2002, she was seen as a figure aligned to the-then Prime Minister, Tun Dr Mahathir Mohamad.

    Her appointment as deputy governor in September 1998 came at the time when the central bank was in crisis mode.

    Dr Mahathir wanted to impose capital controls on Sept 2, 1998, a move that reportedly did not go down well with the-then…

  22. Dr Mahathir wanted to impose capital controls on Sept 2, 1998, a move that reportedly did not go down well with the-then governor, Tan Sri Ahmad Mohd Don. The governor, together with his deputy Datuk Fong Weng Phak, resigned.

    Tan Sri Ali Abul Hassan Sulaiman from the Economic Planning Unit was made governor, while Zeti was made deputy. Ali Abul lasted less than two years before Zeti took over.

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    When Zeti assumed the post, not all were convinced that she could live up to what was expected of a central bank governor. The often-heard comment then was that her background was only economics and she knew little about the…

  23. background was only economics and she knew little about the financial system.

    How wrong have the sceptics been?

    After 16 years, Zeti’s stature as a central bank governor has preceded far beyond local shores.

    She is well-regarded on the international front and is considered as one of the best central bankers in the world. She has done an impeccable job as governor and gained the admiration of many.

    Since May 2000 when Zeti assumed the post, the Malaysian financial system has sailed through a consolidation in the banking sector, the US 2008 financial crisis and shocks brought about by the collapse of oil prices since June 2014.

    The primary task of a central banker is to ensure that the financial system is able to withstand internal and external shocks. This Zeti has ensured…

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  31. AUGUST 2020

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  32. YOU CAN MAKE YOUR OWN ASSESSMENT BUT DR PACHIPOMO IS BETTER TO LEAD CENTRAL BANK AS GOV AND INSTILL FINANCIAL STABILITY BUT IF ONE CAN MEASURE UP OKAY THE OUTGOING HAD HIS CHANCES

  33. Dr. Katele Kalumba please qualify “aggressive measures!” I don’t care about what those who have had a stint in the corridors of government say for they sure know the role they played in the continuing down spiraling of the economy! Advances in world economies are dynamic and so are the managing minds. Katele knows better and when you have a dullard who lacks acumen on how fiscal policy works would one with the expertise have it easy compelling adoption of “aggressive measures?”

  34. i aggree with Dr katele kalumba and i made my observation a long time , this DR kalyalya was the worst Governor of Bank of zambia
    we have ever had
    president lungu had clear conscience and good intentions to have appointed danny but it took long time for the president to realise that danny.s activities at BOZ were working against his government, just look at his tribal mates reactions on the media even HH came to his defence who has never supported PF policies
    what a coincidency .very funny indeed

  35. Kaizar Zulu you are used to being employed by your drinking mates, Be reminded that Denny Kalyalya is a global player, his sacking by a president who’s legitimacy is still questionable has raised his prospects,

  36. You critics are just making noise. He has been relieved of duty just like any other former Bank of governor, Finance Ministers etc. We move on now.

  37. You critics are just making noise. He has been relieved of duty just like any other former Bank of governor, Finance Ministers etc. We move on now.

  38. You critics are just making noise. He has been relieved of duty just like any other former Bank of governor, Finance Ministers etc. We move on now.

  39. The problem is as Zambians we fail to acknowledge, is that the president as the appointing authority has the powers to relieve anyone he appoints whom he deems doing a disservice to the country. There have been vice presidents, ministers, generals in all the military, Inspector Generals, bank of governors before and etc.

  40. The man ECL wants to put Easterners in all big positions. Denny’s firing is not about performance. If it was, the Deputy BOZ Governor should have been appointed, but he is not an Easterner. For now he can act as Parliament approval is awaited. It’s just another Fufuveve kind of Analysis from Katele. Welcome to One Zambia, One Chipata!

  41. The man ECL wants to put Easterners in all big positions. Denny’s firing is not about performance. If it was, the Deputy BOZ Governor should have been appointed, but he is not an Easterner. For now he can act as Parliament approval is awaited. It’s just another Fufuveve kind of Analysis from Katele. Welcome to One Zambia, One Chipata!

  42. Its not helpful for Katele Kalumba to merely say Dr Kenny Kalyalya failed to put in place “aggressive measures ” to stabilize the Kwacha. What are those Measures? Does Kalumba know Monetary Policy alone doesn’t affect the Exchange Rate. An expansionary fiscal Policy,excessive borrowing, export performance,external inflows etc all impact on the strength of the Kwacha. The refusal by IMF to lend Balance of Payments support accelerated the depreciation of the Kwacha. The fund was unhappy with Zambia’s fiscal profligacy,unsustainable Debt levels and the absence of good macroeconomic management of the Zambian Economy. Excessive and Reckless Printing of Money will not be a panacea to the Kwacha’s instability.

  43. Its not helpful for Katele Kalumba to merely say Dr Kenny Kalyalya failed to put in place “aggressive measures ” to stabilize the Kwacha. What are those Measures? Does Kalumba know Monetary Policy alone doesn’t affect the Exchange Rate. An expansionary fiscal Policy,excessive borrowing, export performance,external inflows etc all impact on the strength of the Kwacha. The refusal by IMF to lend Balance of Payments support accelerated the depreciation of the Kwacha. The fund was unhappy with Zambia’s fiscal profligacy,unsustainable Debt levels and the absence of good macroeconomic management of the Zambian Economy. Excessive and Reckless Printing of Money will not be a panacea to the Kwacha’s instability.

  44. Honestly, I think Katele Kalumba must keep to his expert trades of wizardry and sexology because finance and economics will just confuse him. There is not enough fiscal or monetary instruments any governor of the bank of Zambia can engage that will ever save the country as long as Lungu’s loose train keeps on recking havoc to the guardrails. The PF regime is shameless in its kleptomania, that’s where the problem is, not BoZ as Katele’s horoscope of wizardry magic seems to be telling him. The other day it was Nawakwi who claimed HH stole, my foot! Who sold those companies, was it not Katele, Nawakwi and Penza? HH gave advice, theirs was to take it or leave it. Maybe we should know better next time not to se sexologists, green marketeers and SITET convicted thieves to negotiate for us.

  45. It is a matter of principle. In politics, bad results and poor performance must be met with alternative players. In the case of financial and monetary down turn, automatically Minister of Finance must choose to resign or be moved. This explains why following Hon Chikwanda, a number of players have moved. These are Hon Mutati and Hon Mwanakatwe. However, the time had come also for BOZ Governor also to move in order to prove political will and political leadership. It would be really wise for the public to give support to the new team at BOZ. It was time time to pass the ball, so to speak. The country has a new date: August 2021 to compare with August 2020 and then start making informed opinions regarding the capability of the new team at BOZ.

  46. Kalyalaya is being supported by UPND cadres.The man wanted to destroy the economy so that HH can come into power.The most use—less governor in the world for the last 5 years.The president made a big mistake.Kwacha would not have gone beyond K10.We don ‘t know why it took years to fire tis HH’s friend.The only issue which would have made UPND to win is the econnomy and HH was succeeding through this man.If Lungu can make the kwacha come to K17 before election he gonna win by landslide.The thief of privatization gonna lose again for 6th time.

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    • Swallow your bitterness. Do you know that not being truthful is a sin. Stop attacking people. You have very limited knowledge of what you are talking about as usual. Just do sit down. As usual you are dragging the famous name of HH in your petty and trivial thinking as usual.

  47. I doubt 150% if Mr katele is saying what he believes…wat he’s saying is just meant for the ears of Mr lungu..

  48. I LIKE THE COMMENTS ELSEWHERE FROM Dr Makasa, BUT ITS WORTHY TO NOTE the central bank has the main responsibility of managing the monetary policy of the country. Maintaining price stability and inflation. Central bank need to have the following significant qualities Transparency Independence from any political influences if they will able to combat inflationary pressures. Credibility and public confidence is key in an inflation-targeting eras. Its suffice to Politicians and central banks sometimes have the same goals and objectives that of Combating inflationary pressures Increasing economic growth and employment levels

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