The Centre for Elections and Governance (CEG) Zambia has added its voice in supporting the decision to sale 75 percent shares in the state-owned Zambia Telecommunications Company (ZAMTEL).

CEG Trustee Gershom Musonda says the move is the only way to save the ailing firm from total collapse.

He has observed that most parastatals and other statutory bodies in the country are riddled with financial mismanagement, corruption and lack of innovation.

Mr. Musonda, in a statement released to ZANIS in Lusaka today, said this has led to perpetual losses and loss of government grants.

He noted that parastatals only served the public well in the first few years following the nationalization of private companies in the early 1970s during the One Party State.

Mr. Musonda said this is because they created more jobs and industries, especially in the rural areas and helped address social problems like unemployment, poverty and rural-urban migration.

Mr. Musonda however observed that parastatals had their own problems as inefficiency and corruption crept-in.

He said this resulted in loss of state funds as government continued to fund a chain of loss-making parastatals.

Mr. Musonda said in this modern era, partnerships are helping attract additional resources to improve infrastructure, technology and skills of employees, thereby turning companies round and making them competitive.

He stressed that governments can no longer afford to continue subsidizing these companies and other non-profit making Statutory Bodies.

Mr. Musonda said the role of government is to facilitate economic activity by creating a conducive environment for business to flourish leading to more jobs and wealth being created, reduction in poverty and widening of the tax base.

“Like a surgical doctor, government needs to carry out and extensive operation on the sick company of ZAMTEL, cut it open and allow private capital and initiative to go in. Later, ZAMTEL’s wounds from this operation will heal and get the company back on track and in better shape,” he said

Mr. Musonda said those opposing the sale of ZAMTEL should instead be demanding for proper use of the funds to be realized from this transaction and ensuring the affected ZAMTEL workers are not left in the cold.

He maintained that government should remain a facilitator of economic development and let the private sector drive the national economy forward.

ZANIS

OPPOSITION members of Parliament (MPs) yesterday opposed the Tazama Bill, which seeks to protect Tazama assets from execution of any judgment saying only core assets should be protected.

Presenting the Bill for second reading, Energy and Water Development Minister Kenneth Konga said that Tazama was important to Zambians and that its benefits to the country overrode those of any person who may obtain judgment against the company.

Mr Konga said that the pipeline was the fastest, safest and most cost effective way of transporting feedstock to Zambia.

He said that Government wanted to protect the company’s assets from any seizures just as it had done to hospitals, universities and councils.

He said Government wanted to protect the company from people who had connived with lawyers to rob the people of Zambia.

But Mazabuka MP Garry Nkombo (UPND) said that although the committee that scrutinised the Bill that supported the protection of Tazama assets, it was against the idea of protecting all the assets.

Mr Nkombo said that some witnesses who opposed the Bill said it would give a comparative advantage to the company since it was a commercial entity and felt that only core assets should be protected.

Kankoyo MP Percy Chanda (PF) said the Bill that would protect Tazama was biased because parastatals such as Zamtel and Zesco also needed the same immunity to their assets.

Monze MP Jack Mwiimbu (UPND) said that only core Tazama assets should be protected because Tazama was a commercial entity which should be left to operate on the market.

Mr Mwiimbu said that protecting all the assets would promote inefficiency, as it was the case with councils and the universities because they could not be compelled to pay their debts.

Lusaka Central MP Guy Scott (PF) said that protecting Tazama assets would affect Zambia’s credit rating especially that the minister had not stated the reasons for the decision.

He said Parliament needed to be informed if Tazama was found in default by any court or if there were any reasons for the move otherwise the Bill should be withdrawn in the interest of the national credit rating.

Works and Supply Minister Mike Mulongoti said that the Government was just trying to protect the national property because replacing it was costly.

Local Government and Housing Minister Benny Tetamashimba said that Government was not protecting the assets alone because Tanzania, which was also a co-owner of the company was alive to the decision.

[Times of Zambia]

President Rupiah Banda says agricultural growth offers a solution to stimulating the economy amidst the multiple global crisis.

Mr. Banda said thus the government would continue focusing on strengthening the agricultural sector.

The President said this at the 83rd Zambia Agricultural and Commercial Show in Lusaka today whose theme is ” Challenge of Change.”

Mr. Banda said government’s strengthening the agricultural sector is because the sector has potential to help the country overcome the challenges the country was facing.

He also said Zambia has the resources and political will to turn things around to achieve the number one objective of attaining the food security for both rural and urban areas.

Mr. Banda said stimulating growth in the agriculture requires stepping up production and productivity.

He said this could be done through increased financial resource allocation to the agricultural sector by government in partnership with the private sector and cooperating partners.

He added that government in partnership with the private sector was actively promoting investment in the agricultural sector so that the sector could significantly contribute to improved food security.

“This would help us reduce hunger and extreme poverty in our country,” the President added.

Meanwhile President Banda was happy to note that the country is expected to produce 1,888,773 metric tones of maize this season.

He also noted that other food crops, such as rice, wheat, sorghum, millet, sweet potatoes and cassava have improved.

And to sustain the increased production of food, Mr. Banda said government would continue with the fertilizer Support Programme (FSP).

“Am glad that the programme has received an overwhelming response from our small-scale farmers, he said.

He also noted that the programme was undergoing review to improve beneficially- targeting so that inputs are given to the right people.

However, Mr. Banda has directed the Food Reserve Agency (FRA) to step up the crop marketing exercise because right now it needs much attention.

He has since urged the private sector to offer cost-effective prices so that farmers in the country could remain motivated to produce more.

And Mr. Banda said government was committed to the control and the eradication of the livestock diseases adding that government was working towards the creation of disease free zones in some parts of the country to enable Zambia’s livestock and livestock products access markets outside borders.

And President Banda also said government shall continue to pursue initiatives aimed at promoting economic diversification and create a user friendly, conducive environment for private sector partnership.

However, Mr. Banda said government shall continuously review the Zambia Development Agency (ZDA) act in order to address the weakness in the country’s investment regime.

Speaking earlier Zambia Agriculture and Commercial Show Society Chairperson Paul Mumbuluma said the agriculture sector plays a vital role to the development of the economy of the country.

Mr. Mumbuluma called on the government to ensure that it puts in more efforts in improving the agricultural sector in the country.

He also mentioned that there was need for the diversification of the country’s economy if the challenges were to be tackled efficiently.

ZANIS