ZAMBIAs President His Excellency Edgar Lungu has issued a directive triggering the set-up of a task force for the expedition of stalling infrastructure projects countrywide. This came in the wake of the head of state visit of Muchinga this week. The president stated the urgent need for streamlining of Public Private Partnership – PPPs under the Ministry of Finance to improve the pace at which projects are implemented and completed.
In attendance was Ministers of Finance -Felix Mutati, National Planning – Alex Chitemene, Higher Education – Nkandu Luo, General Education – Dennis Wanchinga, Local Government – Vincent Mwale and other technocrats to mention but a few.
The Zambian government has committed to prioritizing completion of existing projects without taking on new ones which would have implications on the nation’s debt stock. Zambia is in talks with the IMF for a $1.3billion package but has delayed on account of structural issues pointing to stressed debt levels as a result of aggressive and unplanned infrastructure projects.
“Efforts from the head of state will send the right signal to the multilaterals especially those that have expressed nervousness around Zambia’s stressed debt levels. Zambia needs to demonstrate steps towards fiscal consolidation to assist improve is Debt to GDP ratio to be considered for a bailout package” Business Times Leading Analyst said in a research note.
The team will reconvene on the 06 Feb to map out the devised strategy.
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