Zambia Republican Party (ZRP) leader Wright Musoma has challenged those senior officials who have applied for loans from the Public Service Micro-Finance-Company (PSMFC), a scheme set up to help highly indebted civil servants to obtain low-interest financing, to search their souls and do the right thing.
This follows reports that some ministers have allegedly taken advantage and are unduly benefitting from cheap government loan schemes. According to sources at the Ministry of Finance, on Thursday, a named minister obtained a K1.5 million loan from the micro finance firm meant for lowly paid civil service workers.
The source also explained that other senior officials have also applied for cheap interest loans, a development which will disadvantage the supposed real beneficiaries, the civil servants in low salary bracket.
Mr Musoma said ministers are the least expected to benefit from a scheme for lowly paid civil servants adding that it’s not fair for a group of individuals that are highly paid by taxpayers and receiving other incentives to start preying on schemes meant for poor workers.
“It baffles me that the same group of individuals the Zambian people are paying handsomely, are the ones scrambling for cheap loans meant for poorly paid civil servants,” he said.
The Public Service Micro Finance Company is wholly owned by the Government and is mandated to provide affordable loans and other innovative financial solutions to the public service workers across the country. Through the scheme, Government has also been helping low-paid civil servants, especially those in rural areas, with loans at five percent interest rate.