Join our community of SUBSCRIBERS and be part of the conversation.
To subscribe, simply enter your email address on our website or click the subscribe button below. Don't worry, we respect your privacy and won't spam your inbox. Your information is safe with us.
Luanshya Mayor Nathan Chanda unveiling the placard
Luanshya Mayor Nathan Chanda has warned contractors undertaking the multi-million Kwacha water and sewerage installations overhaul in the district to make sure the project is completed on time failure to which they risk being surcharged or having their contract terminated.
Mr Chanda however noted that it pleasing that the technology being used by Kruger Veolia, a private company engaged to implement the US$104 million funded Kafubu Water and Sewerage Company Water and Sewerage Infrastructure Replacement Project, was modern.
The Luanshya Mayor and District Commissioner Joel Chibuye held a meeting with Kafubu Water and Sewerage Company, Kruger Veolia top management officials at the Civic Centre, before taking a site visit to do an on the spot check on the rehabilitation works going at water and sewerage plants.
The Mayor said people of Luanshya, who are now receiving a limited supply of water and in same parts no water, have waited for clean and safe drinking water for too long after they were assured that the rehabilitation works would be completed before October and December 2017.
Apart from the Danish International Development Agency (DANIDA) funded project being implemented by Kruger Veolia, Luanshya town is expected to benefit from the US$ 450 million Kafulafuta Water Supply Project.
Luanshya District Commissioner Joel Chibuye advised Kafubu Water and Sewerage Company to see to it that the provisions of the contracts, which state that the contractor should be penalized for failing to complete doing the work within the specified time frame of the period contact are adhered to.
Mr Chibuye also advised Kruger Veolia to ensure that local contractors engaged to do some specific works were given all the necessary support and helped to develop their capacity in the manner the authorities in Zambia were patient with them.
Kruger Veolia contracts manager Nick Lawrence attributed his company’s failure to beat the October 2017 month end deadline after working in Luanshya for more than a year to a number of factors, which among others include failure by foreign suppliers to deliver the goods on time, delayed concrete cement delivery and interruptions in electricity supply by ZESCO.
Kafubu Water and Sewerage Company Regional Manager Rabson Ngulube said explained that the water rationing which was being experienced in some parts of Luanshya was a temporal measure aimed at facilitating for water and sewerage pipes replacement and other rehabilitation works by the contractor.
Mr Hichilema addressing a media conference on Wednesday
UPND President Hakainde Hichilema has directed the Party National Chairman Mutale Nalumango to immediately write to Agriculture and Tourism Permanent Secretaries Julius Shawa and Liya Mutale respectively to stop the sale of NRDC and Chichele lodge or face personal legal consequences.
Addressing the media at the party secretariat on Wednesday, Mr Hichilema said the insatiable appetite for corruption and illegalities by the PF has reached alarming levels which needed to be curtailed.
Mr. Hichilema said there is need for the country to rise and protect its abundant natural resources from the PF appetite for personal enrichment adding that there is need for the UPND to take stock of all natural resources on behalf of Zambians.
He said the PF’s intention to sale off the country’s historical and natural resources would disadvantage the UPND when it forms government as the country would be in disarray hence his directive to the party secretariat to immediately write to the Ministries of Tourism and Agriculture to stop the rot.
“I am giving Deputy SG and National Chairman up to 17:00hrs tomorrow. Write a letter to Shawa (PS Agriculture) as the controlling officer to immediately stop the sale of the historical NRDC. That is our college and any attempts to corruptly sale it to AVIC International should be met with anger from the public. Chairman, I am not asking you, it’s a directive. Follow it up with secretariat and make sure this is done before end of business tomorrow. If no action is taken by Shawa, the UPND will follow that with legal action. No more just talking now. We have to be action oriented and stop this nonsense”, he said.
He further claimed that government has through Eastern Province Permanent Secretary Chanda Kasolo confirmed his earlier statement that the PF was selling off national parks and other natural resources.
President Hichilema said Mr. Kasolo has confirmed that the PF is selling off Chichele presidential lodge in Mfuwe’s Luangwa national park.
“In today’s Mast Newspaper, Kasolo is quoted as saying the government is placing Chichele Lodge on a temporal sale. This is laughable. When I revealed this information two weeks ago, the PF and its surrogates said i was lying. We don’t just talk without research. Here it is now. They have confirmed. These people will finish our resources with their appetite for quick money. National Chairman and your team, before 17:00 hrs tomorrow, write to PS Tourism (Liya Mutale) to stop this ‘temporal’ sale of Chichele lodge or face legal action.” said Mr. Hichilema.
He said UPND lawyers worked hard during the treason and petition cases and are available again on behalf of Zambians to take the PF to court on its sale of national assets.
Mr. Hichilema also said Zambia cannot have a group of people that prides in shoddy deals.
UPND National Chairperson who has been directed to write to government to stop the same of NRDC and Chichele Lodge l addressing a media conference
Lusungu Ng’uni Mudondo’s interest in fashion started when she was a little girl “…as far back as I can remember I have had a love for clothes. As a teenager I would adjust my own clothes to suite my taste and the older I grow the love and interest in fashion keeps growing.”
She is a self-taught designer. When she first started she would use tailors to make her clothes eventually she decided to save up and buy her own machine and started teaching herself how to sew, of course with the help of the internet.
Lusungu’s clothing brand is called Miss Lu .“My style is a combination of chic, edgy and elegant. I love to work with all kinds of fabric, but being Zambian I tend to use a lot of African fabric (Chitenge) which I find very diverse and I love it.”
Lusungu is not in full time design as she does have a regular 8-5 job. “Its tough juggling the two but so far so good.”
Asked what separates her from other designers, Lusungu stated that she always brings her personality into her designs, and she’s not one to always follow trends. “I love to design clothes that even 20 years from now, someone would still want to wear it.” She said.
The married mother of one explained that her family has been supporting her right from the beginning. “I think they even believe in me more than I do in myself.”
Lusungu’s designs
At the 2017 Zambia Fashion week Lusungu’s collection got one of the biggest ovations. She had this to say about the event;
“Zambia Fashion week was amazing to say the least and the response received was humbling I didn’t expect it. I worked with a really amazing friend of mine (Tamiwe) to bring the collection to life and the preparations leading to the day were quite taxing as we had to put in a lot of financial resources, late nights and many visits to the fabric shops. On the day of the event we were so nervous because we didn’t know what to expect from the crowd”
Lusungu (left) at the 2017 Zambia Fashion week
During the Fashion week event Lusungu won the Vodafone challenge, which pitted local designers against each other to design outfits using the official Vodafone colors. “Winning the designers challenge made me feel very happy and proud of myself” she said.
Speaking about the evolution of the Zambian Fashion week she said; “The fashion week has evolved tremendously over the last few years, I remember attending one of the earlier shows when they would be held at alliance francaise and that compared to what we see today, there has been a very big improvement, even the attention the show gets has grown considerably.
In my opinion I believe the event can be made bigger, by investing in promoting the show more both locally and internationally, bringing more international designers and getting more stakeholders that have an understanding of the fashion world help with the production and planning.”
Lusungu (left) at the 2017 Zambia Fashion week
Asked about the biggest misconception about working in the fashion industry she said “I think in Zambia people have not yet reached a stage where they appreciate the work that goes into creating a garment, most people tend to look at designers as tailors and are not willing to pay the real price of a designer’s piece.”
Lusungu was asked about the biggest lesson that she has learned since she started designing. “Ive learnt that I cannot please everyone and that mistakes happen, but with each mistake lessons should be learnt.”
In the next 10 years, Lusungu hopes to see Zambian designers begin to gain the international recognition they deserve. She hopes to see more local designers running stores in the Malls, creating more jobs etc. “The fashion industry can be a major contributor to the GDP of the country!”
Lusungu
“ …Thank you for the opportunity to share my views and thoughts on this form. I hope that someone out there will get inspired to do what they really love and that a better appreciation of the fashion industry can be achieved.” said lusungu.
The proposed law to limit the number of times an individual appears on a presidential ballot has irked the UPND chief whip Garry Nkombo.
Nkombo who is also Mazabuka UPND Member of Parliament described Frank Ng’ambi, who is set to move a private members motion in the session of parliament, as ignorant.
The UPND has become apprehensive with the debate which was first started by a young politician from the MMD, Prince Ndoyi who said there was need for the country to curtail creation of dictators and anarchists within political parties.
Ndoyi also explained that the proposed law proposed law would help the nation stop power hungry individuals who continue to abuse the country’s democracy for their own selfish interest.
A private member’s motion is in the pipeline that seeks to limit the number of times a person can contest elections.
But Nkombo said that the proposed motion that seeks to limit the number of times a person can stand for Presidency is discriminatory and aimed at clipping UPND president Hakainde Hichilema from being on the ballot in 2021.
“Frank Ng’ambi has been squeaking about a private member’s motion which seeks to discriminate against certain people. The unfortunate people of Chifubu should be embarrassed to have such a representative.
“When a Member of Parliament brings a stupid motion like a motion that goes against the constitution then he is an embarrassment.”
He said: “In case you do not know, Ng’ambi runs a small company called Fatmols where prostitutes meet. Running a small company is not the same as running a party.”
Nkombo said the motion was ill founded and lacked knowledge.
“How can they get a morally and academically bankrupt Ng’ambi to move a motion? He must learn to read, if is allowed to read. Please remember discrimination is illegal in the Zambian constitution. Ng’ambi was not even using malice but just plain ignorance.
Hichilema has contested presidential elections five times and has lost all of them.
He has been the UPND’s sole candidate since 2006 when he took over from the late Anderson Mazoka.
And Hichilema today welcomed defectors at the party secretariat, urging them to fight against the reported sale of the Natural Resources Development College (NRDC) and Chichele Lodge.
Hichilema said he had directed his party secretariat to write to the permanent secretaries of agriculture and tourism to warn against the sale of the two state properties.
He also bragged that during his stay in prison he refused to budge when President Edgar Lungu offered to free him in exchange for President Lungu’s recognition as winner of the 2016 elections.
“When I was in Mukobeko, Lungu sent a note that I should read out publicly that I recognize him but I refused. I said will just rot in here. You should know where I am coming from,” he said.
Miners at Gemfields’ Kagem emerald mine in ZambiaKAGEM Mining Limited has allegedly refused to rehabilitate roads in Lufwanyama as part of its corporate social responsibility.
District Commissioner Miniver Mutesa confirmed yesterday that she received a negative response when she approached the giant emerald mining company regarding rehabilitation of the roads.
Ms Mutesa said this when Gemcanton Investment Limited donated over 500 litres of pesticides worth more than K60,000 to six Lufwanyama chiefdoms where army worms ravaged maize fields.
She said while Gemcanton had been responding positively to requests for corporate social responsibility programmes like road rehabilitation, construction of schools, and helping farmers affected by army worms, some mining companies had a negative response to such programmes.
“Last year when army worms invaded farmers’ fields in Lufwanyama, Gemcanton came to their aid by donating pesticides to them and even today you have repeated your gesture. However it is of serious concern that some emerald mining companies in the area are responding with negativity towards such programs. “I approached Kagem regarding rehabilitation of the roads in the area and their response was negative,” Ms Mutesa said.
Meanwhile, Chief Lumpuma of the Lamba of Lufwanyama district has urged Gemcanton to go beyond donating pesticides and look at other farming inputs like fertiliser, as a way of supplementing Government’s efforts.
He said Lufwanyama’s population comprised the farming community, which needed fertiliser and seed -hence it was imperative that Gemcanton and other mining companies supported them through agro inputs.
He said while Government had its own farmer input support program, the private sector needed to join such efforts.
“As we appreciate this donation, we are asking you to go further and look at donating fertiliser and seeds to the community and as a private sector you need to support Government,” Chief Lumpuma said.
And Gemcanton chief executive officer Abdu Bah said his company was looking forward to a good relationship with chiefs and the community.
Mr Bah, who spoke through the mine’s manager Mr Lungson Mukuma, said the company had decided to donate the pesticide because it had realised the damage that army worms could cause.
“Our community in Lufwanyama depends on agriculture and so we decided that we donate the pesticides to save the crop fields from being ravaged,” Mr Bah said.
President Edgar Lungu at Mulungushi International Conference for the Official opening of Ministers and Controlling officers Workshop on Prudent Financial Management Practices Theme: Promoting ethical conduct, Integrity and accountability in the public sector to enhance service delivery.President Edgar Lungu has taken a swipe at law enforcement agencies for their slow pace in investigating and prosecuting individuals cited in the Auditor General’s report.
The Head of State is also hoping that the courts of law will expedite the process of hearing cases relating to misuse of public funds to deter would be offenders.
Speaking in Lusaka during the Ministers and Controlling Officers Workshop on Prudent Financial Management Practices organized by Ministry of Finance, President Lungu says he is concerned that the law enforcement agencies are slow in following up cases relating to misuse of public funds.
He says law enforcement agencies should not wait for him before acting saying it is not his duty to bring to book those abusing public funds.
President Lungu is also hoping that parliament will enact the Public Finance Management Bill into law in the coming sitting which will result in prudent financial management by controlling officers.
He has warned those entrusted with management of public funds that no one will find refuge in him when found wanting, saying he wants to work with honest and accountable people.
President Lungu has since assured the office of the Auditor General of his administration’s support as they try to promote prudent financial management in public offices.
Speaking at the same workshop, Finance Minister Felix Mutati says there is need to change the way public resources are utilized by way of eliminating negative vices that hinder national development.
And Acting Auditor General Ron Mwambwa says over the years, misappropriation, misapplication and misuse of public funds has continued in public offices and hopes that these can reduce going forward
Mines Minister Chris Yaluma speaking during the Mining Indaba 2017
By Economic.Governance
Ministers must be accountable for what they say
I hope the President holds each Minister accountable for the public statements that they make especially when they are close to lies. One of the problems facing Zambia today is that almost every Zambian tells lies. And I don’t mean one lie. Lies are found in almost everything that we say. From the lies that our leaders have taught us, almost every child lies. The culture of unbridled lying is growing so fast and consistently that soon no one from outside the country will take us seriously. Then there is the problem of inflating what we say so that those listening can easily support us. Leaders do not care when they are doing this to their people. Then there is the careless talk syndrome. Leaders and each one of us simply talk what we want because no one checks on us.
Zambia, one of the most favorable investment destinations?
Let me put this in context. In the Lusaka Times of 6 February, Minister of Mines and Mineral Development, Hon Christopher Yaluma said, “Zambia remained one of the most favorable Investment destination in Southern Africa.” Without figures, people listening are likely to believe or not believe. That is why leaders like Ministers should first do research, prepare statistics and consult experts before they make statements. It is good for them because they will be saying things based on informed decisions and therefore will be more specific and avoid generalizations. The Minister was speaking at a very important Africa Mining meeting in Cape Town, South Africa. To qualify his statement, the Minister said, “The country had attracted some of the worlds largest mine houses which was a good demonstration to its favorable investment climate.” That is clever talk as usual from every Zambian, in particular leaders. They will simply say whatever they want.
The problem in our country is that no one holds anyone accountable for what they say. I have tried in my articles to translate what leaders say in statements in public by using figures. And here, after reading the statement from the Minister. I did a quick research of figures. One way to test the Minister’s statement would be to go to figures showing, in the last ten years, compared to the last almost 30 years to see the trend of how much Zambia has been attracting inward foreign direct investment (FDI) in relation to other African countries. So, Table 1 below shows that in 1990, in Sub-Sahara Africa (SSA), Zambia ranked number three after Liberia and Nigeria. Then, the Minister’s statement would be supported by figures. Ten years after, in 2000, the table shows that Zambia’s ranking dropped to a shameful fifteenth. But more importantly, and in line with the period that the Minister is referring to, in particular in 2016, Zambia’s ranking dropped even further to number seventeen.
The figures don’t match the statements
Yes, as the Minister correctly states, “The country had attracted some of the world’s largest mine houses which was a good demonstration to its favorable investment climate. And, “Zambia had a favorable investment climate in Zambia and this was confirmed by existing mines and green field investments in copper production that had risen to 770,597 in 2016.” But, how do you explain your statements in light of the reality that our country has in fact been overtaken by so many small countries that are now attracting more FDI from the world than Zambia, according to statistics shown? What is the point of showing off about a favorable environment for FDI when figures show that it is other countries that are benefiting? If it were true that Zambia is favorable, the figures would logically show that the country is ranking among the top five but is number 17 in 2016 dropping from number 3 in 1990. Do leaders simply want to make themselves happy when the situation on the ground is untrue?
Table 1: Zambia’s inward Foreign Direct Investment in $ Millions in Sub-Sahara Africa
Ranking No
Country
1990
Country
2000
country
2016
1
Nigeria
1,003
Angola
2,174
Angola
14,364
2
Liberia
225
Nigeria
1,310
Nigeria
4,449
3
Zambia
203
South Africa
887
Ghana
3,485
4
Sudan (.2011)
392
Ethiopia
3,196
6
Tanzania
282
Mozambique
3,093
7
Mauritius
277
South Africa
2,270
8
Côte d’Ivoire
235
Congo
2,006
9
Namibia
186
Tanzania
1,365
10
Uganda
181
DRC
1,205
11
Congo
166
Sudan
1,064
12
Cameroon
159
Gabon
703
13
Equatorial Guinea
154
Chad
560
13
Mozambique
139
Uganda
541
14
Ethiopia
135
Madagascar
541
15
Zambia
122
Sierra Leone
516
16
Côte d’Ivoire
481
17
Zambia
469
Source: Unctastat
In Foreign Direct Investment Stock too, Zambia is not competitive
In case the argument by the Minister is to discuss FDI stock that has already been officially invested and is part of the country’s GDP, again, as Table 2 shows, if he had spoken in 1990 when Zambia ranked number 4 in SSA, the numbers would have supported his statement. But speaking in the period 2016 when Zambia’s ranking fell to 10, with FDI stock of only about $15 billion, compared to Ghana’s $30 billion, it is perplexing that the Minister should make a public statement like he did on our behalf as citizens who are worried about the country’s eroding global and regional competitiveness.
Table 2: Zambia’s inward Foreign Direct Investment stock in $ Millions
Ranking Number
Country
1990
Country
2016
1
South Africa
9,210
South Africa
136,837
2
Nigeria
8,539
Nigeria
94,184
3
Liberia
2,732
Angola
49,545
4
Zambia
2,655
Mozambique
31,830
5
Ghana
29,882
6
Congo
25,882
7
Sudan
25,467
8
DRC
21,187
9
Tanzania
19,818
10
Zambia
14,936
Source: Unctastat
The Emperor’s new suit
In the Emperor’s Suit story, two weavers tricked the Emperor in believing that they were experts who would make a wonderful suit for him that was invisible to anyone unfit for their position, stupid or incompetent. So, the Emperor allowed the weavers to go ahead and make the suit. When the Emperor parades in front of his people in the new suit at midday, there was no one who raised his voice to say that they did not see any suit on the Emperor because they feared reprisal or as stupid. Then the child shouted, “But the Emperor has nothing on his body.” The illustration of this is that we can all leave you alone and continue to say you are wearing a new suit. But there are long term consequences, perhaps too ghastly to contemplate. The best is for you to allow us to check on you and advise before you disgrace yourself in public. Instead of extolling ourselves, we should be mindful and focus on working hard so that at least we remain in the top five ranking or number 3 as was the case in 1990.
So, it is not true that Zambia is one of the most favorable investment destinations. And this is not being negative. Investors like the truth. They don’t like lies, dishonesty, dark cleverness, careless talk and inflating the FDI environment. The Minister can be proud that Zambia is attracting some of the best investors but they are largely in minerals. This should be complemented by investment in the manufacturing sector which, like mining can also create more and sustainable jobs. The Minister cannot be drinking champagne over lopsided investment. Equally, the dollar values are simply too low. We can be forced to believe that Zambia is the best investment destination and our children will believe that and fail to think and innovate in future. On the other hand, if we speak the truth and find solutions, I think it is better than fooling ourselves when numbers do not support our claims. We can all be loyal to our country by supporting lies. But of what use is this kind of culture which makes us gain by living a life of lies but makes us lose our soul?
I was sitting in the single cushion living room sofa chair in my Uncle Tenson and Aunt NyaZghambo’s house in Northmead. It was Friday evening and we had just finished dinner of nshima with beef and rape dende, umunani or relish. My uncle and aunt had retired to their bedroom. The servant had picked up the dishes from the dining room and put them in the kitchen sink and had locked the kitchen door for the night. He walked out of the kitchen back door to go to bed in his servant’s quarters. My niece Misozi 8, and nephew Tizaso 11, were sitting on the edge of the long sofa ready for me to tell them a story. The black and white grainy TV was switched off. They were already in their pajamas. Since it was Friday the children could sleep a little late because they were not going to school in the morning.
“This is a story about we boys digging mbeba (mice) in the village in the 1950s,” I said to both children as I shifted to the edge of my chair so that I could make hand gestures more freely when I was telling the story.
“Is mbeba the same as rats?” Tizaso asked.
“I have seen rats running away at the servant’s quarters,” Misozi chimed in.
“No, No, No,” I replied. “People who don’t know always make that mistake. Mbeba live in underground holes in the wild in the gardens. Rats live in the house and are very dirty. No one eats rats.”
“Why do they hunt them?” Misozi asked.
“People in the Eastern Province eat mice with nshima,” I replied.
Both children laughed.
“Did you eat them too?” Tizaso asked.
“Yes,” I replied. “That’s why as boys we used to hunt them. I will explain to you about mbeba first. Because you might not understand the story if you don’t know what mbeba is and how they behave. You can ask me any questions. But after I start the story, you have to stay quiet and just listen.”
Both children nodded in agreement.
“There are many types of mbeba; tondwe, kabwanda, mzumi, kapuku and tondo. Tondwe has a reddish brown back and white stomach. It makes its holes in the munda where people grow food. Kabwanda is a very small mouse that digs very deep into the ground. It has a lot of fat that people like to eat. Mzumi is a grayish mouse with large sharp teeth. It burrows endlessly long shallow holes in wet dambos and stream valleys. You could spend the rest of your life digging and you would never find it. I tried it once. I dug all day in circles and missed lunch and almost super too. “
The children laughed.
“I never caught the mouse,” I continued. “The tondo is perhaps the largest and fastest mouse. It has a long nose and makes clear paths in the bush on which it always travels to and from its hole of a house and its dining room tables in the bushes.”
“You mean they have a dining room table like ours over there,” Misozi laughed pointing to the dining room. “That’s very funny. Tell us the mice story, Uncle Mwizenge!!” Misozi said as she impatiently bounced up and down on the sofa. “I can’t wait!!”
“One sunny hot October afternoon in the village,” I began. “My friends Kajanike, Undani, Njenje and I saw blue smoke rising in the sky above the dambo valley near our village. It was luphya (someone had set the seasonal fire to the bush). We boys were about 11 years old knew the whole dambo would be clear of tall grass which would be perfect for hunting mice. I went and got my grandfather’s small hoe to dig the mice with. Kajanike brought something unusual. It looked like a cigarette some adult men sometimes smoked. But he said it was dagga, vyamba, or marijuana. He said one of the older boys had given it to him. Kajanike said the older boy had said that if we smoked dagga, we would become better mice hunters.”
“Were you afraid?” Tizaso asked anxiously.
“Yes, very afraid” I replied. “I had heard very bad things about what dangerous things can happen to you when you smoke dagga.”
“We hid behind the village nkhokwe and quickly smoked the dagga while we took turns looking out for any adults who might have been coming. Although I was afraid, I smoked it only 3 times. By the time we reached the dambo valley, we were all laughing. We walked passed a group of women who were relatives that knew us. They were drawing water from the village chisimi (open water well).”
“Mwizenge!! Anyamata (all of you boys)!” Aunt NyaBambe shouted. “You have to bring many mice home this evening! We will have the pots ready to cook the dende (relish) for dinner!!” They laughed in unison.
“You need to prove to us women of the village that you are real men!!!” another woman shouted as they all laughed joking and teasing us.
There was black suit, ashes, and smoldering twigs all over the dambo. Elders had told us that hunting for mice after a bush fire is very risky. All kinds of dangerous creatures and insects desperately escaping the inferno run into the nearest hole for safety. The hole might have hiding in it scorpions, sisinya stinging ants, spiders, iguanas, and even lizards. We were still laughing when we found this large mice hole and Udani began to dig. Njenje told me to locate the mbuli (mice small escape hole) while he went to break mphici (short sticks to club the escaping the mice with).
“Mwizenge!” cousin Kajanike said. “While Undani is kutokosa (shoving into the mice hole), you should go to the small mice escape hole. Put your hand around it and wait. When the first mouse tries to escape out, your nifty hand and fingers will be right there to swiftly grab it!! Then we will use mphici (clubs) to kill the rest of the mice”. We laughed.
“I was ready crouching down with my right hand and fingers around the small mice escape hole, when Undani shoved the stick into the other end of the hole. I saw the tip of the mouse’s nose in the hole. As soon as its head was about to emerge out of the hole, with my quick reflexes, I grabbed it. As I pulled the mouse out, to my utter shock it got longer and longer. It was a big snake. I was grabbing and was squeezing the mbobo most poisonous snake around the neck just below its mouth. It was furiously wriggling and coiling its body around my small arm.”
“Ma! Ma! Ma!” Tizaso yelled as he squeezed his eyes shut, contorting his face while vigorously shaking his head, and placing each of his hands on each shut eye.
“Amama ineeeeeeeee!!!” Misozi’s eyes bulged out as she cried out rapidly flapping her hands on her rigid wrists up and down as she bounced up down on the sofa.
By Mwizenge S. Tembo, Ph. D.
Professor of Sociology
2018 CENTRE FOR TRADE POLICY DEVELOPMENT RESEARCH WING PRODUCTION
Zambia is moving towards the reestablishment of a national airline with the aim of boosting its tourism and export sectors. There appears to be a number of good reasons why the government and other stakeholder are pushing for the relaunch of Zambia Airways but many critics believe the move is politically motivated, economically unsound and a misplacement of priorities. In this opinion piece, CTPD considers some important questions which need to be answered around this policy debate. In doing so, both supporting and opposing views will be presented; highlighting the possible pros and cons, before giving our opinion on the matter.
What exactly is a National Airline?
A National Airline, also called a National Flag Carrier, is an airline owned by or strongly identified with a particular nation. Such an airline enjoys special privileges in international relations because it is an extension of the nation to which it belongs. It must be noted that a country can establish a national airline with or without the need to be a majority shareholder in the company. If Zambia was to own 55 percent stake in an airline, the airline would be deemed a national airline by virtue of ownership. This notwithstanding, the reality is that a national airline is really one that is identified with a particular country and not only owned by it, forinstance, the Kenyan Government’s shares are below 20% in Kenyan Airways and the Mauritian Government has about 15% in Mauritian Airways (Nkonde, 2017). These are among many examples of Public Private Partnerships (PPPs) which have established national flag carriers.
What are some of the reasons behind the reestablishments of Zambia Airways?
The move towards the reestablishment of Zambia Airways was initiated by the late president, Mr. Michael Chilufya Sata. He appointed a technical committee comprising of Zambia Airforce staff, former Zambia Airways staff, and civil servants from the ministries dealing with Transport, Commerce, Finance, and Tourism (Nkonde, 2017). This Technical committee presented the following as possible benefits for the reestablishment of Zambia airways before the Cabinet in 2014:
(a) Gains in the Tourism Industry
It was documented in the Technical Committee’s report, that the demise of Zambia Airways in 1994 left a big void in the local aviation industry, giving leeway to mainly foreign airlines to explore the investment potential of the country. As a result, this situation affected the various sectors of the economy such as tourism and agriculture. It was proposed that the national airline would bring gains in many strategic sectors of the local economy especially the tourism sector through boosting tourism arrivals, via reduced local and international transportation costs and thus help in realizing the 1 million tourist annual arrivals target (Kabaila, 2014). According to the Ministry of Tourism and Arts (2015), out of 53.3 million tourist arrivals in Africa, Zambia only receives about 1.7 percent of this number In terms of contribution towards GDP, Zambia’s Tourism sector contributes about 3.4 percent to GDP with total annual earning of about US$ 400 million in the year 2015. There is therefore scope for significant improvements in this sector.
(b) Increase in Non-Traditional Exports
The withdrawal of British Airways from Zambia, which provided transport for most of the country’s Non-Traditional Exports (NTEs) such as fresh fruits, vegetables and flowers, negatively affected Zambia’s NTE export potential (Kabaila, 2014). Zambia’s Non-traditional exports declined from about US$ 2.4 million in 2014 to about US$ 1.9 million in 2015 (ZDA, 2016). The decline in NTEs was attributed to an increase in the cost of production due to high shipping costs, among others. It is highly anticipated that the rebirth of the national airline will help ignite this sector and stir up activities such as agro processing and value addition solely for the export market (Kabaila, 2014).
(c) Employment Creation
The Technical Committee also highlighted that the resurgence of the national airline would also create employment and increased contributions to Gross Domestic Product (GDP) through foreign exchange earning which would in turn strengthen the kwacha against other international currencies (Kabaila, 2014). The liquidated Zambia Airways had about 1, 200 employees and thus there may be potential to generate even more employment this time around (Mwale, 2015). The presence of a national airline would also help in returning the country’s pilots and technical staff that have left for greener pastures abroad.
What are the reasons against the establishment of Zambia Airways?
A number of stakeholders including Civil Society Organizations, leading economists, and opposition political parties have raised concerns with some strongly condeming government’s intention to re-establish an airline. The following are some of the reasons why many believe the setting up of Zambia Airways is a blunder in the making:
(a) Opportunity Cost
The economic concept of opportunity cost is the basic postulation that resources and time always have alternative uses and thus using them for one purpose implies that they cannot be used for another purpose. The fact that government does not possess an unlimited supply of funds implies that using US$ 30 million in setting up Zambia Airways would mean that some other projects will be deprived of both the funds and attention of the State. The questions therefore are; Is there something else that can be done with US $30 million which would yield more benefits than the projected benefits of the national flag carrier? Is the setting up of the airline in line with government policy towards fiscal consolidation and prudent debt management? Is this move going to benefit the general poor population?
Some critics believe that the money can be better spent on expanding the agricultural sector seeing that the Democratic Republic of Congo (DRC), for example, is a ready market for Maize and other products. Spending on improving medium scale value addition factories or on loans for entrepreneurs seems to be a more viable alternative to a number of local businessmen (Chisala, 2017). In other words, Zambia has numerous more pressing needs at the moment to dedicate it money and efforts to the airline business in search of the merge of national pride and tourism gains.
(b) Huge sustained industry losses
The African Airline Industry is simply a complex business and characterized by huge losses. It has been projected by the International Air Transport Association (IATA) that the African airlines will make a combined loss of about US$ 100 million in 2018 (Chishala, 2018). If this projection comes to fruition, Zambia risks losing its investment among these losses. Industry losses or profits are computed by summing up all profits or losses of the players, in this case airlines, in the industry. A situation of huge industry losses means that the majority of the airlines will be making losses in 2018. This is not surprising because currently, all African national airlines apart from Ethiopian Airlines are making losses. These include Air Namibia, Air Botswana and Air Zimbabwe. South African Airways (SAA) has been bailed out several times due to sustained losses. In 2017, the South African government announced that it had provided funds to help repay loans of about US $ 176 million to Standard Chartered in order to keep the airline afloat (Chishala, 2107).
(c) Trend towards Privatization
The Aforementioned huge industry profits have triggered a recent weave of privatization in the African airline industry. The Botswanan government decided to start privatizing its national airline, Air Botswana, after giving up on supporting it from the treasury. African governments have opted to privatize their national flag carries due to the cost of bailing them out. The Government of South Africa recently used National Reserve Funds (NRS) meant for exceptional expenditure to bail out its National airline after doing so several times using other forms of government funds. SAA is said by experts and rating agencies to be a threat to the South African economy. Consequently, SAA is headed for privatization because of its deteriorating financial position (Sanchez, 2016). According to Debrah and Toriotich (2005), Kenyan Airways faced managerial and financial problems from the period it was set up until its privatization.
(d) Potential Political interference
National airlines have been said to fail because of political interference in their management. According to experts, the ingredients of failed national airlines include the following: a blotted workforce, overpaid staff, low productivity, appointment of incompetent managers, acquisition of wrong aircrafts and overcapacity or competition saturation (Nkonde, 2017). A number of local analysts believe that the setting up of Zambia Airways is politically designed to advantage the party in government. They predict the use of the airline to transport government official at subsidized rates or no cost at all during elections for campaigns and personal businesses, the employment of unqualified party carders into important position in the management of the airline leading to overcapacity and government interference in the purchase of airplanes (Chishala, 2017). If these predictions turn out to be true, CTPD foresees the airline becoming grossly inefficient and projects that it will definitely begin to make losses in the already loss prone African airline industry.
How does Zambia wish to set-up and operate the new National Airline?
According to the then acting Minister of information, Mr Stephen Kampyongo, the government of the republic of Zambia (GRZ) seeks to set-up the air line through a partnership with the only African National airline currently making profits, Ethiopian Airline. The choice of the partners is indeed commendable since it is expected that this airline has sound management and business strategies. Under this partnership, the government of Zambia will have 55 percent stake in Zambia Airways while the Ethiopian Airline will have the other 45 percent. However, it is not clear exactly how much will be spent on the relaunch of Zambia airways.
There minister of Transport and Communication, Mr Brian Mushimba, stated on December 19th 2017 that cabinet agreed to set aside US $ 30 million for the project in 2018 but later clarified, more than a week later, that the US $ 30 million will be the total equity contribution for the two equity holders. The Zambian government will contribute US $ 16.5 million (55 percent) while Ethiopian airlines will contribute US $13.5 million (45 percent) during the first year. Following the latter explanation, the Zambian government will only spend US 16.5 million during the first year because this will make up 55 percent of the total US $ 30 million project. This 55 per cent equity shareholding by GRZ will be held by the Industrial Development Corporation (IDC).
Mr Stephen Kampyongo also stated that the government will not interfere in the operations of the airline. He explained that the government observed the mistakes of the past which led to the failure of Zambia Airways and will therefore not be involved the running of the new face Zambia airlines. Zambia has spent over US$ 1 billion since 2012 in its efforts to develop the aviation industry. The setting up of the airline is just one aspect of this broader vision which has seen massive expansion and facelift projects targeting airports and runways throughout the country. These include the Kenneth Kaunda and Copperbelt International airports expansion projects aimed at making Zambia a Southern African Hub for aviation transport.
CTPDs opinion on plans to relaunch Zambia Airways?
Having considered the proposed and perceived benefits and possible challenges in re-establishing Zambia Airways, our opinion may be in order. The Centre for Trade Policy and Development thinks that although the idea to have an airline is not a bad one, it actually does offer an opportunity to grow some of the sectors already highlighted in this piece, the timing is wrong. There is need to expand the tourism sector and improve Zambia’s foreign currency earnings. Furthermore, the Zambian government has chosen a strategic and reputable partner for the setting up of the airline. It must be noted however, that the African airline business is complex and has been experiencing industry losses.
CTPD also think that the country is currently facing pressing challenges that need to be prioritised because of their far-reaching consequences, key among these include the following
(a) Zambia’s Public Debt situation
The Zambian government set aside about US $1.4 billion for repayment of both its external and domestic debt in 2018. This amount is greater than the allocation to health infrastructure and school infrastructure combined. The huge debt that Zambia has is indeed robing the nation of the much needs improvements in many sectors. In light of this, it may seem prudent to reduce government borrowing in order to reduce allocations to debt servicing. This notwithstanding, Zambia wishes to borrow about US $ 2.1 billion in order to finance the 2018 national budget and thus add to the existing US $10 billion public debt (US $ 7.2 billion external debt and US $ 3.8 billion domestic debt) (Mutati, 2017). CTPD thinks that relaunching Zambia airways will create an avenue for further borrowing in the event that the airline makes losses.
It must be noted that a great portion of Zambia’s external debt will be maturing between 2020 and 2024. The redemption profile for public debt from 2016 to 2021 is maintained at around US$280.0 million per annum. However, in 2022 and 2024, public debt service is projected to quadruple to about US $ 1 billion per annum due to maturities of the three Bonds issued on the international capital market. Thereafter, debt service smoothens and is maintained around US$120.0 million per annum, that’s assuming no huge borrowing between now and 2022. In other words, Zambia will be paying an average of US $ 1 billion dollars per year towards its debt from 2022 to 2026. Stakeholder have long advised the government to setup a sinking fund to help with these forthcoming repayments but no funds have been set aside. The investment in a National airline is therefore untimely and misguided.
(b) Unclear Source of Funding
There is no direct allocation in the 2018 national budget for the reestablishment of Zambia Airways. Although the Zambian government allocated at total of about US $ 90 million to international airport, it is not clear whether the funding for Zambia Airways will be derived from this amount. According to the minister of Finance, Mr Felix Mutati, the said allocation is meant for the completion of the Kenneth Kaunda International Airport and the Copperbelt International airport construction works. If the required US $ 16.5 million is gotten from this line item in the budget, the two projects risk not being completed in 2018. The government should prioritize the finalization of infrastructure projects which they have already commissioned.
(c) Terms of the Stakeholder agreement
The stakeholder agreement between the Zambian government and Ethiopian Airlines stipulates that the Zambian government will be a majority stock holder. This will both increase the power of the Zambian government in the management of the airline and also reduce the incentive for success on the part of Ethiopian Airlines. Owning a majority stake in the airline and promising to eliminate interference is simply not palatable. If this move is indeed economically motivated, there is no need to be a majority stockholder when owning less stake is more prudent, makes the government realize all its economic goals and indeed less risky. If the government interferes in the management of the airline, history may repeat itself.
(d) Type of Aircrafts bought
According to online media and other news platforms, In July, 2017, the government of Zambia is cited to have completed a deal for the purchases of 5 Russian made Sukuhoi Super jets 100 (SSJ100) airplanes at an approximate cost of about US $ 30 million each (Lusaka Times, 2017). The Jets, to be delivered to Zambia in early 2018, include 4 jets with 98-passenger capacities and 1 VIP jet meant for the President. These jets are simply too big to be used for local travel in Zambia for the first year before embarking on international travel. Owing to the fact that Jet fuel is more expensive in Zambia as compared to other neighbouring countries, it is highly doubtable whether Zambia Airways will succeed. In passing, it must be noted that the cost of relaunching Zambia Airways has been greatly underestimated. The government should have also added the over US $150 million used in purchasing the jets and clarified that the US $ 16.5 million is only and equity contribution meant for setting up operations in 2018.
In conclusion, it is our opinion as the Centre for Trade Policy and Development, that the move to relaunch Zambia airways at this time is a bad investment decision, it is actually more of a blunder than a blessing. We foresee the costs of owning an airline, for Zambia’s case, outweighing all perceived benefits. Zambia needs to focus on pro-poor policies which will benefits the majority of its people. Politically motivated investments such as this one will end up reducing government allocations to key sectors like health and education. In light of Zambia’s huge debt and soon maturing Eurobonds, the government needs to pursue fiscal consolidation and not expanded government expenditure on new projects.
Bibliography
Chishala, M. (2017). Relaunching Zambia Airways is the worst Business decision . Retrieved from Lusaka Times : www.lusakatime.com
Debrah, Y. A., & Toraitich , O. K. (2005). The Making of an African Success Story: The privatization of Kenya Airways . International Business Review .
Free Dictionary . (2018). National Airline. Retrieved from www.freedictionary.com/national+airline
Kabaila, M. (2014). National Airline Benefits-Plenty. Retrieved from Lusaka Times : www.lusakatimes.com
Lusaka Times . (2017, December 28). Brian Mushiba on About US $ 500 million revenue to be retained in the economy once Zambia Airways launches. Retrieved from Lusaka Times : www.lusakatimes.com
Lusaka Times . (2017). Dr. Mphuka on Revived Zambia Airways should be run profitably as a commercial entity. Retrieved from Lusaka Times: www.lusakatimes.com
Lusaka Times . (2017, July 22). Government buy 5 Russian Super-jets, one for President Lungu . Retrieved from Lusaka Times : www.lusakatimes.com
Lusaka Times . (2017). Mutati Felix on Zambia’s Total external debt jump to US $ 7.2 billion. Retrieved from Lusaka Times: www.lusakatimes.com
Lusaka Times. (2017 , December 18). Stehpen Kampyongo on Ethiopian Airline to own 45 percent of the soon to be launched Zambia Airways. Retrieved from Lusaka Times : www.lusakatimes.com
Lusaka Times. (2017, December 19). Brian Mushimba on Cabinet approves Zambia Airways rebirth as it sets aside US $ 30 million for the airline. Retrieved from Lusaka Times: www.lusakatimes.com
Ministry of Tourism and Arts. (2016 ). 2015 Tourism Statistical Digest . Lusaka.
Mwale, C. (2015). The Fall of Zambia Airways . Retrieved from Daily Mail : www.daily-mail.co.zm
Nkonde, K. (2017). Why Zambia Should not Start National Airline: SAA gets state bail out and Air Botswana on sale. Retrieved from Lusaka Times : www.lusakatimes.com
Sanchez, D. (2016). South African Airways is headed for privatization with a new board of directors . Retrieved from Africa Insider : www.afkinsider.com
Zambia Development Agency . (2015). Non-Traditional exports record decline . Retrieved from Daily Mail : www.daily-mail.co.zm
Ndola Central Member of Parliament Emmanuel Mulenga and his Chifubu counterpart Joseph Ngambi have been accused of orchestrating the latest schemes to discredit Copperbelt Minister Bowman Lusambo.
Meanwhile, Lamba Chiefs are believed to be planning to officially complain to President Edgar Lungu over what they term as continued victimisation of Mr Lusambo by some Ndola based Members of Parliament.
A plot to discredit Mr Lusambo when President Lungu visits the province this weekend has been unearthed in which some Councillors want to portray Mr Lusambo as highly unpopular with the view to have him fired by President Lungu.
Some Councillors who opted to remain anonymous on Monday issued a statement on Radio Phoenix claiming that all Councillors in Ndola had passed a vote of no confidence in Mr Lusambo and were appealing to President Lungu to fire the Kabushi lawmaker for allegedly blocking development in Ndola.
The Councillors claimed that President Lungu risks losing the support of many voters on the Copperbelt if Mr Lusambo continues as Copperbelt Minister.
The statement was however quickly rubbished on Tuesday by Ndola Deputy Mayor Kennedy Kasaba on Radio Phoenix who stated that there has not been any such resolution by the Ndola City Council to revolt against Mr Lusambo.
Mr Kasaba who is also the Acting Ndola City Council Mayor said the statement attributed to some Councillors should be dismissed with the highest contempt as it was meant to bring confusion in Ndola.
But information has emerged that the Councillors who issued the statement on Monday have been paid by Chifubu Member of Parliament Frank Ng’ambi and Ndola Central Member of Parliament Emmanuel Mulenga to work against Mr Lusambo.
A source within the ruling PF in Ndola identified the Councillors working against the Copperbelt Minister as Pamodzi Ward Councillor Manase Siwila and Councillor Gilbert Musonda of Twapia Ward.
The source said others are Oscar Himanga of Kamba Ward and a Councillor Musonda.
It has been established that the two MPs have released money to print banners, placards and thousands of T-shirts denouncing Mr Lusambo which they will distribute to cadres to wear and display when receiving President Lungu on Friday at Simon Mwansa Kapwepwe International Airport.
President Lungu is due to arrive in Ndola on Friday ahead of the Provincial Fundraising Dinner Dance slated for Saturday which is aimed at raising funds for the construction of the first ever PF Provincial Secretariat.
“What is happening is that these two MPs (Hon. Ngambi and Hon. Mulenga) feel that Bowman (Mr. Lusambo) is not working very well with them and so they have sponsored this revolt to show to the boss (President) that the Minister has failed and push for his dismissal. The story on Radio Phoenix is just part of the plan, in fact they plan to run some more negative stories on SUN FM using the same Councillors such as Siwila, Musonda and the group,” the source said.
The source said the two MPs want to frustrate Mr Lusambo because has taken a tough stance against illegal land allocation and several other irregularities in Ndola.
“Just ask yourself, Bowman is a Minister for the entire Copperbelt Province, how come these attacks only come from Ndola? This is not the first time that the same group has attempted to embarrass Mr. Lusambo through the media or during the time that H.E (President Lungu) is visiting,” the said observed.
Meanwhile, Lamba Chiefs under the Lamba Royal Establishment are said to be planning to officially complain to President Edgar Lungu over what they term as continued victimisation of Mr Lusambo by some Ndola based Members of Parliament.
The source said the Chief will make their feelings known to President Lungu in form of a petition asking why Mr Lusambo whom they consider to be their Son is being victimised by other MPs.
“Apparently, there are moves to have a petition presented to President Lungu when he gets here that the schemes by some MPs to work against Mr Lusambo will not be tolerated in the Province. The Chiefs feel that Mr. Lusambo is their true Son since he hails from the area and he is the only Lamba in Cabinet and removing him will make them so upset. So they are drafting some kind of petition to the boss (President Lungu), the source said.
Efforts to contact Mr Lusambo were futile by the time of publishing while Mr Mulenga asked to be called again after which he switched his phone.
Lusaka Province Minister, Mr. Japhen MwakalombeLusaka Province Minister Japhen Mwakalombe says Zambia’s Nuclear Science and Technology programme will spur industrial development.
Mr. Mwakalombe says the programme will result in the establishment of the Centre for Nuclear Science and Technology and the development of the Nuclear Power Plant in Zambia.
He says the Nuclear Energy programme is envisaged to address the power deficit that Zambia experienced in 2016.
Mr. Mwakalombe was speaking at the Nuclear Energy and Technology dissemination meeting at the Lusaka Provincial Administration offices.
He called for more sensitization and awareness programme to clear the misunderstanding that the public have on nuclear energy.
Mr. Mwakalombe has since urged the members of the public to support the Interim Secretariat on Nuclear Science and Technology in their awareness programme.
And Interim Secretariat on Nuclear Science and Technology Scientific Officer Bright Mweetwa said the benefits of the nuclear energy to the nation are enormous.
Mr. Mweetwa said phase one of the project will see the construction of the Nuclear Center for Science and Technology and this is expected to be done in a period of five years.
Meanwhile, Ministry of Information and Broadcasting Services Director, Press and Media Development Isaac Chipampe said the proposed site for the project is in Chongwe district – Lusaka Province.
Zambia National Broadcasting Corporation(ZNBC) says it has a bloated workforce which has presented challenges for the institution to pay salaries for workers since 2010.
ZNBC Director General, Richard Mwanza says a consultant has been engaged to do a work study to determine the relevance of the current operational structure and establishment, against which restructuring will follow as well as resource management.
He said this when he appeared before the Parliamentary Committee on Media, information and Media policy led by Chairperson George.
And Mwanza informed the committee that the institution has a five-year strategic plan on how to make the national broadcaster viable.
Mr. Mwanza further explained that the digital migration is currently in phase two and is expected to be a good investment once works are completely done.
He added that more than 33 transmitters have been installed and that studios are almost operational.
And on social media, Mr. Mwanza has called for guidelines, which includes safe-guarding the children, who he said are subjected to certain materials not suitable for them.
Meanwhile Times of Zambia Managing Director, Bestone Ng’onga told the parliamentary committee that his institution is trying to remain profitable by working with social media.
Mr. Ng’onga said the print media is faced with challenges of lack of investment and capitalisation, which has affected its balance sheet.
He explained that Times of Zambia pays its workers but that it is in arrears.
Meanwhile, Information and Broadcasting Services Minister, Kampamba Mulenga says the Ministry is working towards ensuring that Zambia News and Information Services (ZANIS) has its own television channel.
Ms. Mulenga said ZANIS will soon have a 24-hours channel and government is only awaiting equipment meant for the studio.
She told ZANIS in an interview that government is working round the clock in ensuring that ZANIS has its own stand-alone channel to accommodate the Zambian populace.
The Minister explained ZANIS has presence in all the 10 provinces and covers the whole country hence its strategic usage in terms of news and current affairs programmes if a channel is established.
She said this following calls from members of the public that ZANIS news bulletin which runs on Zambia National Broadcasting Corporation (ZNBC) is televised daily and not three times in a week.
Ms. Mulenga pointed out that there is not enough space on ZNBC for the bulletin to be transmitted on a daily basis hence plans to establish a channel for ZANIS news.
Meanwhile, Ms. Mulenga said the construction of six provincial television stations is on course in Mongu, Kasama, Chipata, Mansa, Kabwe and Chinsali districts.
Ms. Mulenga said her ministry is just waiting for funding and equipment to actualize the vision of government in line with the digital migration process that government has embarked on.
Roan Member of Parliament Chishimba KambwiliPolice in Ndola have recorded a warn and caution statement from expelled Roan Member of Parliament Chishimba Kambwili for proposing violence against Chinese investors in Luanshya.
Copperbelt Province Police Commissioner Charity Katanga says Mr. Kambwili recently told his supporters that they should stone any Chinese national in Luanshya because they are employing people outside the district.
Mrs. Katanga says a warn and caution statement has been recorded from the lawmaker and Police will continue investigating the matter.
She says Mr. Kambwili and four others were planning to hold a meeting which Police have advised not to go ahead for fear of violence breaking out.
Mrs. Katanga has further confirmed that two National Democratic Congress -NDC supporters have been detained for unruly behavior when Mr. Kambwili, who is also NDC Political Consultant, appeared before the Police.
The Police chief has named the two as Gershom Sinufya and John Chama.
