President Hakainde Hichilema has called on the African Development Bank (AfDB) to expedite reforms aimed at making capital inflows more accessible among African member states.
President Hichilema observes that many African countries continue to face challenges arising from high borrowing risks and disproportionately high capital costs compared to other regions, which has hindered investment and slowed development progress.
The Head of State made the remarks in Lusaka today when AfDB President Sidi Tah paid a courtesy call on him.
President Hichilema emphasised that access to affordable capital is vital for driving the global financial architecture and supporting the region’s economic transformation.
“As a member of the three-man team with my Ghanaian and Kenyan colleagues tasked by the African Union to drive reforms of the global financial architecture, one of our key objectives is to make capital bearable at the right price because Africa is paying a higher cost of capital than others, even in the same sectors,” he said.
He further stated that Zambia remains committed to working closely with the AfDB to accelerate reforms that promote fair capital inflows and equitable pricing as a means of enhancing economic growth and investment across various sectors.
President Hichilema added that the government’s focus is to achieve inclusive economic growth driven by investment in key sectors such as energy, mining, and agriculture, to improve the livelihoods of citizens.
The President also expressed concern about the way global credit agencies assess African economies, noting that the current ratings are often inaccurate and discourage investment.
“The way risk is attributed to our country is actually not correct. The risk assessments by credit agencies placed on us are something we are unhappy about,” he said.
President Hichilema congratulated Dr Tah on his election as AfDB Group President and assured him of Zambia’s full support, including through enhanced collaboration following the establishment of the Bank’s country office in Lusaka.
Meanwhile, Dr Tah commended Zambia for the progress made in restoring macroeconomic stability and strengthening investor confidence despite the challenges posed by the COVID-19 pandemic and drought.
He reaffirmed the Bank’s continued support to Zambia’s ongoing economic transformation efforts across key sectors of the economy.
And Acting Minister of Finance and National Planning, Charles Milupi, has commended the AfDB for its continued support to Zambia, particularly in the areas of energy, agriculture, and infrastructure development.
Mr Milupi said the AfDB has significantly contributed to the country’s national development agenda, thereby uplifting the livelihoods of communities.
Dr Tah was in Zambia to attend the 17th Replenishment Meeting of the African Development Bank.
WorldPopulationreview dot com says Zambia’s poverty rate is at 60% .Wake up Bwana HH do something .
Oh something will be done when their pre election strategy is rolled out albeit temporary
How much more do we want to borrow? Already we are tied with IMF
And other loans.Lets try to survive on
Our own exports.
HH should keep quiet. He has played a bigger role in the capital outflow of our assets that would have made Zambia a heaven on earth. Well, it is so for him and his team. Haven’t you seen Pilato is quiet.
AfDB’s country office was not recently established, it has been there over 10 years.