Acting President Rupiah Banda has reiterated government’s commitment to continue with the late President Mwanawasa’s vision of national development, planning and economic management.
Mr. Banda said the late President’s administration reintroduced national development planning which has refocused on economic management.
He said this has so far led to the country recording tremendous economic progress.
Mr. Banda was speaking speaking during his national address on the state of the nation Tuesday evening on Zambia national Broadcasting Services radio and television after the death of Dr. Mwanawasa.
This was the first national address by an Acting President in the history of Zambia since attaining independence in 1964.
On the economy, Mr Banda said government would continue with the prudent fiscal and monetary policies for macro economic stability which have made the economy to register growth rates averaging five per cent and six per cent in the last two years.
“Low inflation has also been recorded with single digit levels attained for the first time in 30 years in 2006,” he said.
Mr. Banda added that government would continue to increase exports, which, together with the debt relief, have led to a substantial build up of foreign currency reserves which now stand at US$1.4 billion.
“This position has also contributed to a stable exchange rate thereby enhancing business and economic planning,” he said.
He said Zambia’s economic strides have been appreciated in the international financial circles to an extent that the country was now poised to have a sovereign credit rating for the first time ever.
On agriculture, Mr. Banda said government would continue to maintain adequate strategic food reserves to ensure national food security.
He noted that government has already increased supplementary funding to the fertilizer support programme (FSP) amounting to K 307 billion from the budgeted K 185 billion 2008.
He explained that this would allow for an increase in the number of targeted small scale farmers from 125,000 to 200,000, with an applicable subsidy increased to 75 per cent from 60 per cent.
“This measure is intended to cushion the impact of high fertilizer prices on targeted small scale farmers,” he said.
Mr. Banda further said government would continue development irrigation in the country while farming blocks for commercial agriculture would continue to be opened up.
On the mining sector, Mr. Banda said government would carry on with the same pace of developing the sector because it still remained to be the driver of the Zambian economy.
“I want, in this regard to assure both local and foreign investors that there will be no departure from the current policies and focus in the mining sector,” he said.
He said the mining companies have also reiterated commitment to continue their operations in Zambia.
Meanwhile, Mr. Banda has directed the Ministries of Finance and National Planning and that of Energy and Water Development to sit together and examine the possibilities of reducing the prices of fuel in Zambia.
He said oil prices on the international market were reducing hence the need to consider doing so at national level.
On Commerce and Trade, Mr. Banda said government would continue with all economic programmes that the late Dr. Mwanawasa’s administration had set.
He said tourism and public service management would continue being pursued as before.
“Following the tenet of collective responsibility, we shall continue to pursue all the policies and development programmes initiated by our late President,” he said.
He said Zambia’s development agenda would continue to be guided by the fifth National Development Plan within the context of the vision to become a prosperous middle income country by the year 2030.
“Let us all in unity and fortitude preserve the peace and stability that our country has continued to enjoy since independence. Let us together make our country a prosperous nation,” he said.
ZANIS /KSH /ENDS/MM
