By Chibamba Kanyama
1. I am receiving just too many questions about the appointment of Dr. Situmbeko Musokotwane as Finance Minister from local journalists and other interested parties. They want my views. This has prompted me to eat into my Facebook break just for this post.
2. Some young professionals have raised concerns about his appointment as they seek for new younger brains to take up the mantle. The argument is that the global economy has swiftly changed into a complicated ‘Space economy’ that only younger minds can competently handle. This is well understood and valid.
3. However, the nature of the Zambian economy as it stands requires someone who understands how it functions. On his appointment, Dr. Musokotwane told his technocrats at the Ministry that the economy is not as he left it. The economy has been mismanaged. Dr. Musokotwane possesses the right acumen for the task at hand. He has both the experience, and capacity to negotiate through various economic landmines we find ourselves in: low economic growth, high public debt, mismanaged resources, high unemployment, low private sector investment, high interest and inflation rates, unstable exchange rate, low international reserves (before factoring in the IMF Special Drawing Rights). With the support of competent technocrats who potentially include young brains (hope he brings them on board), these economic challenges should be history within 36 months (my expectation).
4. Musokotwane is not a talking machine. He believes in practical action. He is private sector-oriented leader. As an example, he is credited for the Maltings Plant installed in one of the Processing Zones. The journey started in 2009 when he was Minister of Finance. I led a delegation of Zambian Breweries Directors to negotiate for low excise duty (promising him those high sales volumes would compensate for any potential losses in revenues). He assigned his then Chief Policy Analyst – Budget, Felix Nkulunkusa, to work with me to find a solution (I pray Felix Nkulukusa, who was unceremoniously retired as Permanent Secretary Budget in 2015, will play a key role in the new administration).
After going through various elasticities, at times Dr. Musokotwane sitting in the Ministry of Finance Boardroom in person, he agreed to reduce excise duty on beer from 60 percent to 40 percent with four conditions: First, guarantee none loss of revenue to the treasury. Second, Zambian Breweries to source bottles from Kapiri Glass for its soft drink beverages (we could have met this condition if supplier was in a position to guarantee required quantities). Third, Zambian Breweries to source barley, a key ingredient in beer manufacturing, from the local farmers. He asked that we commission local farmers for total supply of barley within 24 months. Fourth, Zambian Breweries to commit to malting barley, at the time imported from Zimbabwe and Europe, by installing a maltings plant. His desire was that we should create jobs. Indeed, in 2017, the maltings plant was commissioned by President Lungu. The takeaway from this was that Dr. Musokotwane could easily have asked for some hefty kickback to grant concessions on excise duty. Instead, he negotiated for something that would benefit the country.
5. In short, I find Dr. Musokotwane to be an open-mind and tactful individual who should fully succeed as Minister of Finance given the task at hand. He has managed an IMF programme before and should easily negotiate for one just now. I talked to him three weeks before elections ahead of my meeting with offshore investors. On the IMF programme, he told me, ‘We will get it within three months of coming to power’. He is a known individual internationally. I had a chat with a few investors last night following his appointment and it was clear they knew what he stood for. They trust him. That alone is a leverage we should translate into meaningful investment and economic growth. I wish him well.
Issues hv been raised about the Mopani Copper Mines-Glencore metal sales audit during the Rupiah Banda administration which Dr Situmbeko Musokotwane would do well to clarify. Were appropriate decisions taken by government?
Situmbeko Musokotwane had his time at MoF and unfortunately he didn’t leave a good legacy. We’ll not catalog his various bad decisions. It’s wrong to pretend that he was a saint. Peter Ng’andu Magande was honest and that’s what we need.
Ba Chibamba is looking for a job. He needs to answer on Mopani and Zamtel issues to clear the new Ministers name.
For me foreign investor this foreign investor that is utter nonsense. We now understand why foreign investors were not happy with ECL. Zambia could easilybecome another Rwanda and this is what has unsettled the western countries. We just alluded to how lately ZRA has improved on revenue collections which is a viable solution to debt repayment and all we keep hearing is that the economy has been mismagned please spare us that crap. Which economy is thriving with covid yet the statistics in Zambia dont show a collapsing economy. How can we fail to manage the economy and pay debt with high copper prices , sufficient hydro power in place, agriculture productivity on the increase with mopani and KCM in our hands? Please stop over glorifying IMF at the rate we’re going we may not even need…
them. What we are worried about are the concessions you’re are going to give those western countries sponsored investors that backed UPND and now with the Finance minister who was compromised under RB. Zambia has now the capacity to navigate its way out of heavy reliance on foreign investors and we have seen how resilient the economy has been without much of their support. What we need is to expand our economic activities in order to grow the revenue base and meet our debt obligations. This we can do with change of work culture. What Zambia needs is to improve education standards to the level of Harvard in order to compete at the global level and reorient our people to pan africanism in order to build our self identity as africans and take advantage of the Africa free trade areas.
I don’t like the presentation of Musokotwane yesterday evening to me I saw that he completely destroyed all the promises the head of state made to his electors.
Musokotwane started with IMF, when you give your country to this monster then you have no say about your government.
IMF doesn’t create jobs but retrench them, more miners will be on the streets jobs gone.
IMF monster tells you to freeze pay for civil servants, no k1500 across the board.
IMF doesn’t give subsidies with it’s loans, no reduced prices of fuel.
IMF will not allow reduced fertilizer prices from k700 to k200 only.
IMF will close some companies they consider not necessary, more workers on the streets .
IMF will not allow schools to be free by using their money to fund African child.
Ba PF you are always stuck in the past, and stuck in past scandles, for which you have no facts. You did not get anywhere with Privitizations topic. Just because one confused person mentioned about “the Mopani Copper Mines-Glencore”, you are all jumping on that story.
Why did you bring Situmbeko Musokotwane to task just after he was fired? Situmbeko Musokotwane`s task is to solve the issues created by PF government, and there is no time to going back to Mopani Copper Mines-Glencore or whatever. The same way the privatization issue with HH is now a dead topic, this case should be put to rest immediately. Unless one has facts, they should report to the relevant authorities, otherwise FORWARD IWE with Situmbeko Musokotwane !!! NO TIME for mudslinging.
Chibamba Kanyama is a sellout!!
Musokotwane indicated that forward is long gone but backward to 1991 . I don’t see any progress in the building up of the nation but stagnation and more problems from the youths who massively voted for this government, there is a danger to the safety and security of democracy as it stands , it is likely that you may see anarchy in the streets with dissapointed young people.
Musokotwane was talking about ten years but the head of state didn’t tell his electors about ten years but immediately strange indeed.
Those youths and the zeal you saw in them will not just varnish like that they want results with in a short time.
IMF will not allow their money to employ more civil servants but to reduce their numbers to a smaller payroll.
IMF is a capitalist argent who want…
IMF will pressure the government to sell the remaining mines at this time when copper is fetching more money on the world market , the investor clever as he is will down size the payroll to maximize his profits to externalize profits to do projects in other countries, more Zambians will be on the streets.
IMF is not a charity but a capitalist argent whose only motive is to make profits from the poor countries like Zambia.
I don’t see the popular slogan of forward but backwards to the misery Zambians faced from the 1991 sadness
MMD reloaded, season 2. IMF program for Zambia; no subsidies, reduce the size of the civil service, sell the remaining state companies to foreign western companies and give them concessions such as tax holidays, Mopani and KCM back into foreign hands, wage freeze and so on.
Result? contracted economy with no real growth and tight money supply. Free reign for foreign companies to simply dig our copper, sell it and deposit money in London accounts. Show me examples of countries that prospered on IMF prescriptions. As for the youth of Zambia waiting for jobs from upnd, you will have a long wait, trust me. We have been down this route before of foreign investors, it doesn’t work.
The problem with upnd and its surrogates like Chibamba is that they believe the economy was mismanaged and they must fix it. The other problem is they believe it is only foreign investors that can do this. What they fail to acknowledge is that the economy was under shock from 4 different crises and ECL and the PF proved how resilient it is by surviving these shocks without foreign support. Both Chibamba and Situmbeko are wrong characters to take this country forward and hh will regret this decision, but sadly he is compromised looking at the group that backed his campaign.
@Isaacher, David, Nsilimubemba-Don’t forget there’s a gold mine in N/Western at Kasenseli under ZCCM-IH….
As long as it is not Mister Alex “Debt” Chikwanda or Margaret Mwanakatwe then this choice is okay.Even Magande was good too.
#12 Zambian Citizen
August 30, 2021 At 8:51 am
“The problem with upnd and its surrogates like Chibamba is that they beliee the economy was mismanaged and they must fix it. The other problem is they believe it is only foreign investors that can do this. What they fail to acknowledge is that the economy was under shock from 4 different crises and ECL and the PF proved how resilient it is by surviving these shocks without foreign support……”
Still telling lies or living in kuku land…..
Ati with out forigne support ? They borrowed until they could not borrow any more……
No government had had it so good like the PF goverments…….they have had billions like no other GRZ , other governments have had worse problems like Aids pandemic , drought , massive sell off of…
#7 general Kanene
August 30, 2021 At 8:18 am
“Ba PF you are always stuck in the past, and stuck in past scandles, for which you have no facts….”
I agree with the General.
These PF are stuck in the past, then worst of all , they don’t blame where the buck stops at……..the president at the time.
The president has the last say.
Always passing blame to subordinates.
Ba Chibamba you never studied econometric, and simple calculus will run you panting. You advise so hollow, neither qualitative nor quantitative. You can do well as Ka Busha takolwele ubuwa!
Birds of the Same feathers flock together…Musokotwane and HH both crooks and they will auction Zambia very easy…mark my words
Lots of benefactors of the previous regime confessing and hardly offering practical solutions on the way forward. The tough line, sadly, is that Zambia needs to find its own way. Right wing bigots who do not even know what they are, think Zambia’s problems will be solved by licking bottoms. Given the chance to act, all you see is cadreism and glory to the almighty President – Red or Green. Learn to respect yourself first. The world today is fraught with disillusionment wrought by the idea of grandiose living and the perceived failure of all systems to deliver. Reality be told? Get your own house in order first and you may have something meaningful to say about how Zambia may solve problems.
@11 isaacher
Well said….this government is a disaster…HH seems to be confused…Just his appointments…how do you bring old and finished people with corrupt practices…looks like it’s all about favors now…Remmy Kajoba,musokotwane all these are done..
And for the youths kikikikiki you will have to wait until 2039
Ati we voted for change and youthful leadership. Look at how f00Iish you youth look now. Hh has played you. Emplyinh fossils hahaha.
When we said he was a freemas0n, people said we are Iiars. Yet he is now wearing whlte gl0ves just as freemas0ns do .
So in Zambia we just have the same old people always moving in to take up position s….don’t we have Zambians in the diaspora who can move back to Zambia and offered positions…why the same washed out crooks….HH is a crooked businessman no wonder he identifies with fellow crooks
Applying for a job comes in different forms..this is by far the most aggressive I have seen from the maneuvering to join Zisc, to Zambrew, Znbc , imf and back home to look for another chink in the market….ask for a job as usual
The appointment of Dr Musokotwane indicates our limitation in terms of expertise. Our economy has never been managed in the right way since independence because of such appointments, although one has to admit that Dr Musokotwane isn’t there to generate money but manage what is generated in the right way. My own view is that we lack a proper system to deal with deficiencies in our government officials. Our Constitution is weak and has too many loopholes which make the President the only hope for maintaining sanity. We saw what happened with Lungu. It’ll just take another ECL and the country will be off the cliff. Let’s get the Constitution right to set our country on the right course.
Saulosi – You want a position from diaspora you want someone from ZDA to come to the US to come knowing on doors looking for this blogger behind the name saulosi…this is what pisses of a lot Zambians posts like yours. Lazy Lungu was the biggest crook there is photographic evidence of himself with a Drug Kingpin Findlay and an Arms Dealer Zingiman.
Chibamba Kanyama is also being strategic with his post remember he is a freelance …. there is nothing tactical about wanting the best for Zambia, this is simply a cost benefit strategy…ZB wanted reduced excised duty and the govt wanted its people to benefit. So what has happened to those polices is ZB still getting its bottles from Kapiri …last time I checked they were getting bottles from RSA. Anyway we have been accustomed with too much mediocrity over the last 10 years that a Chink can come into Zambia not pay tax for years, come with his own drivers and the PF Politician will dance that they have created employment when its just casual staff.
Zambians like to experiment with fire. I hate the term we told you so but we have to live with it. It is shocking that we sing and dance when outsiders speculate our economy especially the chief bootlicker being Bloomberg. It’s a bit like the UK media, they build you up and then slap you back down when you disagree with them. Why do we always expect different results from a monster that’s always inflicted pain on us? KK warned us on these chaps we have been glorifying because of the hardships they caused from way back. Even a documentary on unfair practices for poor countries on debt featuring our own country Zambia has been long forgotten. We want to go back to IMF? Is Zambia’s resources really worth less than our debt?
Here we go again with moderation. I see LT may be controlled by Bloomberg and IMF because this happens every time I mention their names.
@ 22….. you’ve got him figured out. His modus operandi is to state that there have been numerous requests from ‘people’ who have asked him for his opinion and that’s why he’s chosen to speak on a certain subject.
@Tarino Orange
You sound a little bit disappointed too my brother with HH…just voice it out…..I know your comments very well…been on LT since 2008 so I know each and every single blogger on LT whether they switch names etc……I know you sound a little bit frustrated with his appointments and the way he is doing things and the slow pace….this is definitely what you expected just like alot of Zambians back home whom I have spoken to in the last few days…and these are die hard UPND supporters
Saulosi – If you know me very well you should know the reason I switched names; too many impostors and clones who lack basic creativity unfortunately this is a common trait in Zambia. (With other names it was just hardwork running two names with opposing views lol)
As for me being disappointed …yes I am disappointed with Chibamba he is very reserved in his posting maybe its his social media post. Bo Situmbeko is a good appointment who would the President pick who is more experienced, is an MP, has struggled with the party through challenging PF oppressive era…I remember seeing picture of him campaigning deep in rural Western Province swamps. It is also not balanced to omit his corruption scandals connected to his now multi million farm business now run by his 28 year old son and…
llion farm business now run by his 28 year old son and the bicycles found at his house after MMD lost…yes PF investigated his in 2011 and was cleared.
You are very right Mr Chibamba Kanyama. Never send a boy to do a man’s job! Dr Musokotwane is exactly the right man for the job at this time. Small boys who don’t understand Zambia’s real economy and the interplay between the economy and the existing social political dynamics won’t help Zambia at this point! Experimental Shopping Mall economists are not what we need right now. Dr Musokotwane is a very safe pair of hands.
On Musokotwane and Kajoba……ni DUNUNA REVERSE !!! Soon there will be another DUNUNA REVERSE when Mutati is appointed .
Hehehe……
I have to laugh to my self with glee and self satisfaction……
The same old PF rats who supported a failed corrupt clueless lungu and gang of theives and stone throwers now know better about how a GRZ should be run ?????
Sit down and wait your turn……..let’s us work and correct your mess
@Tarino Orange
Read every word that blogger FutureZed writes…and then picture HH and his administration….HH is a total disaster and most people are already sensing danger…the youths have already been forgotten….FutureZed is very Patriotic
Saulosi – With all due respect to the blogger you have mentioned…I have read his comments and I find them to be not consistent…end of the day its his opinion!!
Guys, guys you can now see what predicament h² finds himself.
First things first, I hate niggaz who think IMF and World Bank will develop Zambia or the use of their money will spiral development for Zambia. The memories of our previous date with these white niggaz put Zambia in an awkward position.
Second things last, Musokotwane is a failure. The two, h² and Musokotwane circle around an intersection location called privatizers in chief.
The so called messed up economy is the bed stone that they used andt still use to bring capitalists in the aforementioned chancers of our Copper and Gold mines. Youths f.vck.ed us big.
Chibamba is a lazy talk talk empty economist.
You may think that you the great economists in CK – chibamba kanyama but they are as incompetent as the people they try to support. When citizens raise serious concerns, they use theories to justify their baseless economic know-how. Given tge job to prove themselves, they end up quitting for overseas jobs.
We don’t expect hh to change his mind over his choice of Minister of Finance. However, his inability to change his mind could as well help shape of disgruntle his plan for that high office. We again did expect him to settle for a trainee seeing that he himself is a trainee. Mwana akalila bonzo, iwe, mwanamupase.
@Isaacher, David, Nshilimubemba, I want to reiterate with your sentiments 100%
With the infrastructure development that has been rolled out for the past 10 years, service delivery has been improved and by extension the cost of conducting business in our country.
With the improved ITC implementation within the ZRA system, revenue collections has evidently been enhanced and this provides a viable solution to debt repayment
With the commissioning of power plants solar, coal or hydro powered, sufficient power is now in place; agriculture productivity is likely to be sustained on an upward trajectory as observed in the last three years
…Continued
Mopani and KCM are in our hands and all we need is to find an equity partner to provide funds for reinvestment into these mining facilities. It shouldn’t necessarily be IMF or World Bank – “It does not matter what color of the cat for as long as it catches mice”
The fact that the new ruling clique are looking to IMF as the savior, tells us that they don’t have a home tailored resurrection plan for Zambia. This instills fears for old guard like me as it invokes memories of the Structural Adjustment Plan of the early 90s:
– Labor rationalization (retrenchment)
– Wage freeze for public service employees to free funds for debt servicing
– Institute cost reflective prices for petrol and electricity tariffs
…Continued
– Removal of subsidies on the agricultural inputs
– I fail to see the Harvard trained scholars at IMF or World Bank to advocate and support free education for an African child from primary to tertiary stage for a country so indebted!
Like someone has observed above we have seen how resilient the economy has been without much of foreign support (remember IMF has been stalling on loan disbursement and even went further to deny Zambia Covid19 assistance). With accrued benefits from the envisaged prudent plans to cut off unnecessary expenditure and the control and or elimination of inflated contract and supply prices, we surely should have the capacity to navigate our way out of heavy reliance on foreign investors. Anyway the vultures will take advantage and claim it’s…
This Thorn in the A$£ – Oh yes we all detest the IMF and WB but we are in this situation because the govt you supported went on a shopping spree borrowing unsustainably in the last 10 years from China and Eurobonds. Most of these projects like KKIA, Lusaka-Ndola Highway etc were greatly inflated you called us names including the man you used to call 5 times loser when we told you it was unsustainable. Did you not hear the President tell you that there is no money in the treasury 5 days ago? You ate everything you come here …saying I hate IMF as if you can produce 2 billion dollars just like that!!
…Continued
Their “expertise” fixing the economy forgetting that the discerning Zambians know that corrupt or authoritarian, they laid the foundations!!
Musokotwane is corrupt. He always interferes with BOQ. I know him. Musokosokotwane should show which successful economy he managed. Zambia has never been a successful economy! He will be leading the same bureaucracy that failed with him
By Moombe Hamobola
The ambia Revenue Authority -ZRA- has collected one point four billion Kwacha in the last three months at the Kazungula One Stop Border Post .
ZRA Corporate Communications Manager Topsy Sikalinda has told journalists in Kazungula that the amount was collected from May 11, 2021 to August 25, 2021
Mr. Sikalinda says the one point four billion is a huge improvement compared to last year the same period where ZRA collected four hundred million.
He attributed the increase in revenue collection to the enhanced trade facilitation measures that have come with the benefits of the One Stop Border Post.
Mr. Sikalinda says the authority has continued to do exceedingly well and beyond expectations despite being affected by the COVID 19 pandemic
#46 This is the formula for sustainable debt repayment not ifyo fya groveling before IMF and foreign investors.
I entirely support the argument by David N. Very accurate analysis .
The same Chinyama Kabamba who once claimed no Tonga can be president of Zambia! Some of these turncoats stink!
Yes indeed we should tell these characters that we have been around long enough to see what the IMF can do to any country crying for their help they don’t go there to help but to destroy them even further, what these guys don’t know is that with the increased un employment there are vast chances of having riots in the country and probably people dying if the police act with force, the same brings danger to democracy as the president would like to be at the top of things so dictatorial characteristics will come into play.
The plain truth is that the long list of lies that drove people to vote for UPND are the same dynamics that will drive the country into chaotic situation as all these promises are a huge failure and recipe for anarchy.
The young people will be referring to…
You leaders just be courageous enough to use home grown strategy to grow the local economy and forget about IMF as we all know nothing helpful comes IMF , but IMF only comes to destroy what is remaining and create more problems, you know what we went through from 1991 leaders must learn from history if it didn’t work in 1991 how can it work now.
Someone said this is an economic warfare and it is accepted world wide, Zambians must be brave enough to take the bull by the horns, than building castles in the air thinking IMF is now your friend to play with.
@nshilimubemba, #6… mate all those things you list will require money from the govt. Unfortunately you have to tighten your belt and suffer a little before you see positive results. if you are a kind who gets another credit card to pay a massive debt balance on another credit card, you are not solving any problems. Where do you think the money will come from to pay for all those subsidies?
You owe on a credit card, you tear it off; stop ordering take away and coffee… and start saving to pay it off. When you have it all off, then you can start spending on luxury wants.
When it comes to kissing up no one does it better than Chibamba Kanyama.
This place is lit with bitter losers, they now use this place to cry and vent. No more mediocre appointees.
Someone should investigate the President’s taxes. Why should he continue avoiding taxation by maintaining offshore business dealings.
Imwe bantu please napapata IMF and World Bank ufcked us seriously in the 90s.
Zambia please watch your Gold, Copper and many other interests.
MMD did a lot of evil things in the name of K5 to a US$1 but whilst the business community was jubilant, the country suffered run down infrastructure like war torn one just to please the whites.
Upndeconomics = Mmdeconomics.
Number 52 . This is not the time to campaign , campaign days are gone we have to save our people from western monster created to kill Africans, well I don’t live in Zambia by this time however I do have my family there I feel I have to fight for them so that what happened to us in 1991 doesn’t repeat it self.
If we know what is coming is bad for the nation it is just right to give good advice to those people in leadership, it is being selfish not to expose what is dangerous to the people you love if IMF was a good thing we would have all the same advised the powers that be.
I have a choice to make as someone who seem to be in a better place concerning the economy, Zambia Is my home and my people are there.
When some of us write this we are not part of the political system but…
My nigga Tarino aka jay jay can you please shut your trump.
Are you nuts?
How can borrowing be an answer to borrowing. Stfu!
Hehehe………
Is it not funny that the same people who defend PFs borrowing for infrastructure development now say we don’t need to borrow money from the IMF to repair the economy……..?????
It was OK for lungu to borrow us into debt but not OK for HH to borrow to repair the damage that debt caused ????
When UPND was voted in, immediately Capitalism crept in. IDC, mines, FISP and all will be gone.
Government must not do business, but allow for conducive private business. Socialism is gone and all citizens must fend for themselves.
Welcome to the reality.