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Alba Iulia
Sunday, January 17, 2021

Bank Governor Cautions Tito Mboweni: Do not to cause a rift between Zambia and South Africa

Headlines Bank Governor Cautions Tito Mboweni: Do not to cause a rift between...

Central Bank of Zambia Governor Christopher Mvunga has expressed disappointment at the recent remarks uttered by South African Finance minister Tito Mboweni.

Mr. Mboweni has several times dived into Zambian politics and was now recently quoted saying Zambia is a failed state.

Governor Mvunga in a sharp response has not only reminded the Finance Minister of the sovereignty of Zambia but has pointed out that the continued machinations of Mboweni can risk the good relations between Zambia and South Africa.

He observed that it is saddening that Mboweni has continued to put pins in the Zambia and South Africa relations which dates way back with Zambia being an aid to help South Africa gain independence.

As Covid-19 exacerbates the pressure on vulnerable public health systems in Africa, the economic outlook of African countries is also becoming increasingly unstable.

Many African countries are in financial crisis with Zambia and South Africa being no exception, other countries seemingly struggling to include Kenya and Ghana.

Earlier this year, the International Monetary Fund (IMF) projected that the region’s economic growth will shrink by an unprecedented 1.6 percent in 2020 amid tighter financial conditions, a sharp decline in key export prices, and severe disruptions to economic activity linked to the pandemic.

Last week, Fitch Ratings and Moody’s Investors Service cut South Africa’s debt assessments deeper into junk, saying the state may struggle to stick to its plan to rein in spending.

Zambia this month defaulted on its Eurobonds since the onset of the coronavirus pandemic.

But according to the Bloomberg BusinessTech, Mboweni said South Africa can’t implement a pay deal with public servants because it would precipitate a fiscal crisis.

He further picked on Zambia stating that Zambia was an economically failed state and South Africa could head in the same direction.

125 COMMENTS

    • As much as Mboweni is a blubbermouth there was nothing wrong with what he said about South Africa following Zambia’s path to forfeiture. Why do you have such a thin skin Mr Mvunga. Its not like Zambia is a sacred nation that shouldn’t be mentioned anywhere in the world. The fact that Zambia was the first post covid African country to fail to pay up on its Eurobond is well known. We cant expect everybody to be quiet about it. Ni respect yakuti?

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  1. IN ONE OF THE SCRIPTURES GOD LIKENS MAN TO NOTHING BUT A WORM AND SO IF GOD CAN REDUCE AS TO SUCH A LOWLY STATUS WHY ON EARTH WOULD HUMAN REASONING AND THINKING MAKE MY HEART RESTLESS? TELL THAT ***** SOUTH AFRICAN AND ALL THE OTHER *****S ESPECIALLY THE ZAMBIAN ONES WHO KEEP THINKING THAT OUR WELLBEING IS SOLELY DEPENDENT ON THEIR LIMITED, INSIGNIFICANT AND WORTHLESS KNOWLEDGE AND UNDERSTANDING OF THE WORLD THAT MY FUTURE HAS NEVER BEEN DEPENDENT ON THEM JUST AS MY ARRIVAL IN THIS WORLD WAS NEVER THE RELIANT ON HUMAN POWER BUT THE ONE WHO MADE A WAY ON THE RED SEA, WALKED ON WATER AND FED 5000 PEOPLE WITH THREE LOAVES AND TWO FISH. KAMUNTU KAKUTI LELO KALIPO MAILO PALIBE ATI VOTE FOR I WILL FIX YOUR PROBLEMS IWE KOSWE DO YOU KNOW HOW MANY LITRES OF OXYGEN ARE STILL REMAINING BECAUSE IF YOU THINK YOU CAN FIX OUR CHALLENGES ARE YOU SAYING YOU KNOW USED BETTER THAN THE ONE WHO BROUGHT US ON THIS EARTH REMEMBER HE SAYS HE SHARES HIS GLORY WITH NO OTHER BUT ONLY SATAN AND HIS SERVANTS THEY ARE HIS COMPETITION!!!

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  2. Once upon a time the South African Rand was stronger than our kwacha .
    We rebased our kwacha and over night our kwacha was stronger than the Rand . ECL takes over and our rebased kwacha from being. K0.69 buying Rand 1 , nose dives to
    K1.25 buying Rand 1 .. ?????

    If we in zambia are clearly seeing a failing state , IMF is seeing a failing state Eurobond holders seeing a failing state , who are South Africans not to see a failing state .

    Even your the whole BOZ Governor lied to us when you told us you had stabilized the kwacha ????? .

    South African finance minister is calling you out as you are and instead of fixing your problems , you go on the defense .

    The truth hurts .

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    • Chola Chisanga
      But regardless of the window dressing measures . After ECL took over the economy has nose dived to alarming levels . From $ 3.5 billion to over $20 billion in debt alone over just 7 years but the pockets of those running our economy have registered tremendous amazing prosperity from 2 million kwacha to over 20 million kwacha in just 1 year

      I mean what mathematics or formula is PF using that gains then incredible amazing personal wealth in the shortest time ever recorded but they fail to apply the same formula to the economy on a grander scale .
      ?????.. makes no sense .

      Zambia is a failing state yes .. but the ones running the failing state are not failed business men / women they are all prosperous individuals.

      Take for example that government affiliated football team that was requesting help to hire a ZAF plane for K900,000 and had a tough time trying to raise the money when on the other hand one Bowman Lusambo considered k2,000,000 as pocket change shopping money ?????

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    • Shi Chilambe South Africa is a mess its like there is war in the streets ,from service delivery protests,organised crime,big unemployment rate,car hijacking, Bushiri humping bail I mean the SA government has o control over the affairs of the country,its sganeful that Tito ignores all this and like Trump posts anything on twitter when the titanic,is sinking.

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    • Zulu Themba Isaac they’ve got serious potential & so can’t be compared with us in any way. The rand is has gained against all major currencies past about close to 3 weeks now. It has battered the kwacha big time. Let’s avoid denial of the situation we find ourselves in today as a country because of lack of foresight & carelessness by our leaders. Mboweni is very right – he is cautioning against falling in the situation zambia has found itself in. We learn from others & so citing examples is no offence in anyway

    • Mat Gupta Zambia hasn’t got serious potential?currencies fall and rise all the time right?if we go back into time the ANC took over the political affairs,has SA progressed ,stagnant or made a lot of steps backwards?when you look at the asset base SA has you bet it would have economic influence in Africa as the USA to the world but SA is a mess so if you compare with the Zambian assets there is a chance Zambia has actually done well.SA shouldn’t be heading to the IMF for a bailout ideally.

    • Zulu Themba Isaac when did the kwacha start to fall? Years & years now nothing happening still in nosedive mode. What are you talking about? We are all zambians. We love our country but we should be able to point out ills. We are unfortunately now being used as a case study

    • Mat Gupta listen Tito comes out perfect bit is the SA situation ideal?comparoson on a like with like basis,should SA struggle because of covid-19 with the resource base?Tito should introspect before he starts running his fingers on twitter because he too lives in a glass house.By the way I know what am talking about,hope you do?

    • Zulu Themba Isaac I very much know what I am talking about. I wouldn’t have taken you on if I was blank. We are now a case study as Zambia. South africa is on the right trajectory to recovery whereas we as Zambia are clueless. Truth be told & the people doing the country a disservice are people like you who misinterpret patriotism

  3. A case of blaming a messenger, we have failed to manage our affairs and it’s all out there for others to see and judge. Do not blame him, he is simply giving an example that ours is a failed state and he is simply cautioning his relatives.

    Instead of retaliating to what he is saying, let’s ask for guidance from him, he seems to know better. We all know that SA can not be sanctioned by us.

    Current economic hardships are a result of massive looting and incompetence.

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  4. Our dear BOZ governor has forgotten he no longer a politician and must always remain impartial within and outside Zambia away from politics. For a BOZ governor to find time and comment on these type of issue shows we are on path to problems. The economy is on its knees and instead of focusing on that he has time to respond to what a South African politician says.

  5. I can’t remember when a BOZ governor got himself commenting on international politics. That should have been left to foreign affairs. Just goes to show how misplaced this guy is. He is out of his league. Should really be somewhere doing data entry.

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  6. When a Bank Governor doesn’t know his job description he answers to everything.
    This subject specifically falls under Ministry of Foreign Affairs not a ba Governor awe. Mind your lane.
    Now it’s showing that your qualifications are a challenge to the position.

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  7. Governor stock to your mandate. You are no longer in politics & leave this matter to Lungu. If I was President I would fire u for talking politics.

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  8. I personally feel Mr. Mboweni should be the least of our worries.

    We need to get together as Zambians and openly discuss how to transform our economic trajectory, using local resources and talents, instead of looking to more foreign loans e.g IMF bailout.

    BOMA should be honest and receptive to advise from Zambian experts. So let BOMA call for a national economic indaba.

    That defensive statement by The BoZ Governor will not improve the country’s economic performance and indicators. The best way of responding to Mr. Mboweni is through improved economic performance.

    Our officials can talk all they want, but numbers simply do not lie.

    • Vincent Cheembe The big man is settling in his job. we don’t need to be hard on him but to continue to give him progressive counsel. Unfortunately, sometimes we do politicise everything. Bank Governor is not a political job. So we should all be free to comment on his job so as to assist him. United as brothers, without terrorising each other, we can move this country forward. Blessed advent

  9. Tito Mboweni is on weed and as Julius Malema has warned President Ramaphosa that this man will pull him down. His comments not only about Zambia can only be attributed to someone who talks under some influence of something he has taken. He exhibits very strange behaviour, at times unusually and extremely in another world and then comes back to earth. Zambia might be poor but defiantly at the moment a better place to live than South Africa where crime in the cities and farming areas is at its peak.

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  10. RSA is in a mess, the colonial rating agencies just downgraded them into further junk status. The G20 countries except China and Australia and a few others are all in recession. The global economy is sick. But in RSA’,s case, Cyril and his friends like Tito thought kicking out Zuma and co was going to bring instant prosperity to their country. Tito is failing, using Zambia as a scapegoat will not improve his status quo and that of his country. Chris is very right. Cyril and co have up to date failed to sort out ESKOM while ECL and PF are about to commission Kafue Lower. The pressure is getting to Tito’s mental status for sure and Zambians are learning of the consequence of thinking Tito’s friend kainde will bring instant prosperity!

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  11. It is not fashionable (not sure about ethical) for a Central Bank Governor to comment on such matters. Unless he doesn’t care what happens to the markets when he decides to play politics with the institution.

  12. This is what happens with us Africans, when you are fished from the floor and given a position then you think you know it all. It is not long ago that Tito was given the job as reserve Bank Governor of South Africa through the South Africa Black Economic Empowerment Sceme (BEE) to address the economic embalance between black and white counter parts. Tito who was treated with Kids gloves during his reign as reserve bank governor thinks he knows it all. He does not even understand his responsibility as a finance minister. He thinks he is still in the BEE mode. Tito Mboweni was just an appointed minister he has no clue what diplomacy means that is the down side of these guys who rise without any effort, they usually dont know whether they are going or coming. It is a very dangerous path for…

  13. It is a dangerous path for this appointed minister to take. Tito does not even understand the relationship between Zambia and South Africa and the southern Africa in general.

  14. If at every given opportunity you pick up a stone to throw at a dog that barks at you, you won,t reach your destination.
    The BOZ Governor would do well to prove statement to the contrary.
    As things stand the statistics on ground favour the statement of the South African Finance Minister.

  15. There is nothing wrong in citing Zambia if its leaders are irresponsible! We have a leadership that loses no sleep on mismanagement of national resources. Let them be reminded that the world is watching circus happening in Zambia.

  16. Story izibika. This guy tito his wlfe was very popular in the night scene in south Africa. We used to play with her many times and sometimes my brother mvunga used to attend our parties. It is from here where rumours started that titos wlfe was in love with our current governor. Titos wlfe was the one chasing after our governor. That woman was something and very open. So this is a personal matter.

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  17. Let me do a @Kazhila Croffat Chinsembu here: We have defaulted. It is in the public domain. We are a case study. SA has its problems. They are scared they might become like us. Greece used us as a case when defaulting with IMF. So let’s address the situation and not the man. Kazhila is my hero right now on this blog. Reminds me of one Brig. Gen. Miyanda when he would field questions on here.

  18. @Ben Kauzen, 55, If at every given opportunity you pick up a stone to throw at a dog that barks at you, you won,t reach your destination. Very befitting proverbial phrase indeed.

  19. Christopher, he is not talking about relationships!! He is calling the economy what it is and warning his comrades not to follow that example. Is it wrong to warn your children to be careful on how they use time and use the example of your neighbors child fails the exam because he was not spending time wisely. It has nothing to do with how you relate with your neighbour but a good example they can look at and learn good lessons. Napwisha!

  20. Actions speak louder than words.
    The BOZ governor is a party cadre.Let politicians like Bwalya Ngandu deal with the south African minister.

  21. This issue should have been left to the Minister of Foreign Affairs to respond to in consultation with the Minister of Finance. Tito Mboweni made the comparison as Minister of Finance for South Africa. Its not a Secret that Zambia has defaulted on the Eurobond Holders Debt so what is Chris Mvunga’s beef with Tito Mboweni? The truth hurts but that will not make Zambia Credit Worthy. Bankruptcy is contagious. Just wait and see!

  22. If you want to avoid being as a bad example improve the economy and the indicators will change. Guess what? You will be used as a good example! So your focus should be improving the economy north i chibuku responses. Ilyashi lyamu chibuku will not turn the economy around! Learn, learn, learn.

  23. I surprised that the Bank of Zambia Governor is the one responding to the state not one of the ministers. This just confirms the “failed state” status.

  24. Tito sounds personally upset about something else when it comes to Zambia. However, he’s just not bold enough to say it; hence his attacks on our economy. It must be to do with a woman…

  25. Ba lusaka times how is it possible to have more comments than views on this article and a lot of quiet new names on the street, its not the first time have noticed this, who are you trying to fool?

  26. These are diplomatic issues. Why is BOZ responding at all. Ba Mvunga, please get serious and fix our problems.
    Thank you. Cadre mentality at work.

  27. We have made history & don’t shut people from referencing to Zambia. Actually, one question in grade 7 exams should be ‘name the first country to default after the 2020 pandamic”.

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