The Zambia Association of Chamber of Commerce and Industry, ZACCI, has observed a slump in demand for Zambian products on the global export market due to the current global economic recession.
ZACCI Chairperson, Hanson Sindowe, has advised government to increase its focus on diversification of the economy to increase the product range and value for exports in order to cope with the effects of the global financial crisis.
Mr Sindowe said this in Lusaka today in reaction to the 2009 budget which was presented last week.
He said although the country faced challenges of reduced earnings from copper sales, high inflation, and the depreciation of the Kwacha last year, it managed to grow the economy by 5.8 per cent.
He, however, said government, in the implementation of the 2009 budget should strive at reducing inflation and strengthening the Kwacha against major international currencies.
Mr. Sindowe has since commended Finance and National planning Minister, Situmbeko Musokotwane for selecting the theme of ‘enhancing growth through competitiveness and diversification’ for this year’s national budget.
He said this year’s budget is an extraordinary one as it seeks to address major issues seen by allocating more resources to the agriculture, economic, education, and health sectors.
He also said the country needs to reverse the downward trends in tourists arrivals, maintain current employment level in the construction sector and encourage additional value for goods meant for exports and also explore new markets for new products.
Mr. Sindowe said the government should also revisit the measures taken on duty on imported mobile phones saying this will make local cell phones expensive and will also encourage smuggling.
He also said ZESCO should first perform effectively before it can consider increasing electricity tariffs.
ZANIS/GP/ENDS/SJK