PF incompetence

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Listening to the PF ministers address our economic affairs is so sad that you wonder what really goes on in their cabinet meetings. The elephant in the room is the huge debt that PF has acquired with now only 2% economic grow to show for it. The other elephant in the room is corruption because it must be shameful to the PF government that we have Eurobonds totalling US$3 billion and at the same time government is trying to ignore the financial crimes amounting to US$4.5 billion reported by Financial Intelligence Centre.

We have a clueless leader who has resorted to begging a Turkish dictator to pay off the Eurobonds. This has vindicated everyone who called PF “Chimbwi no plan” as it appears like they have only realised that they have to payback the money at the eleventh hour. It should have clicked to everyone that only a foolish cabinet can celebrate acquiring a loan as they did in 2012. Any one can only celebrate if he does not plan to pay back, right?

What is also clear is the lack of seriousness the President is treating the issue. Is his attitude inspired by his gambling history or just mere incompetence? Firstly he was on record of telling off the IMF when they insisted that government make some streamlining measures, which is only the logical thing to do when you are in financial distress. Then he dropped his finance minister in the middle of IMF negotiations and replaced him with one whose election was nullified. All this with on-going acquisition of Chinese backed project finance to which government is obvious providing some “sovereign guarantees”.

Despite the dire debt situation, the PF operatives keep down playing the consequences as we get revelations from foreign journalists despite having thousands of qualified economists. PF still treat the debt with arrogant rhetoric. Mwanakatwe a renowned banker and former CEO of a multinational bank announced austerity measures in the most half-baked manner. If the austerity measures are meant for economic recovery and stabilising the fiscal position then she should have gone further to revise the national budget, quantify the savings and make a projection of how long the measures will be applied before we get back to normal. Despite these measures, Lungu still proceeded to announce that Chinese projects would not be affected. In terms of value Chinese companies hold the bulk of infrastructure projects so it is now difficult to believe Mwanakatwe. The PF policies and corruption has been a spat on the grave of Mwanawasa who worked so hard to have the debts cancelled. It’s a slap in the face to people like Magande who worked tirelessly with the Catholics to have the debts cancelled and with a flick of a finger PF has turned us to beggars.

Zambia uses 25-30% of its budget to service debts, which means there is little room for government to improve service delivery without passing on the cost to citizens. It is hard to see the salary increments for civil servants in 2021 that Joyce Nonde is dreaming up. It is easy to see why preventing the corruption and tax evasion of US$4.5 billion could have improved our situation. It’s hard to see how cholera consumed the Eurobond money and all the other silly excuses that PF are giving. In a nutshell incompetence all over the place and the only thing this capinet has done well is dancing and lying to us.

Richard W

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One Response to PF incompetence

  1. Very good and educative article from well researched mind. The current PF Cabinet down to its supporters is a curse to Zambia. The best thing now is to share the country amongst all citizens by giving first priority to non PF members. My thought!

    Mpombo Bob
    August 4, 2018 at 5:22 pm
    Reply

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