ABOUT NAPSA & THE NDOLA LUSAKA ROAD EXPANSION PROJECT
By Miles B. Sampa, MP
May 6th 2024
The Lusaka-Ndola road has to be done as a matter of urgency and it will be a big score for the UPND if completed. It’s however not the end goal that matters, but also the means.
NAPSA is as good as government by whichever argument adopted, be it legal or common knowledge. So, if NAPSA is involved directly, then it means it is government as a custodian of pension money that is funding the project directly. It would be interesting to see to check NAPSA investment guidelines if it can invest that much money in one infrastructure sector (roads)
Public funds are being availed to a Chinese foreign company AVIC to do a road in Zambia. It would have made more sense if NAPSA was advancing money to a Zambian owned private sector company so that they can invest in the road on joint venture together with AVIC. In a PPP the government’s role is to provide land, goodwill and importantly the custodian of public interest in the venture. That amounts to some shareholding percentage in the project.
Again, please get the road works started soonest to save lives from daily road accidents and also to speed up economic activities of trucks transporting copper from the Copperbelt, effectively to China via South Africa. It is however equally important that the issue of NAPSA involvement is well structured for the good of Zambia and Zambians.
MBS06.05.2024
Ba Sampa,
PIC, in South Africa, is just like our NAPSA,here, Rather than, lecture you,on how this entity in South Africa, has made huge investments,& the huge profits it has derived from its investment, take a mile trip ba miles, go and learn,then I’m sure you will come more knowledgeable,and you will let NAPSA, do it’s business,without duress,from its critics
I can smell you are tremblimblingly cautious on writing you critique, be bold and brave and condemn the whole saga.
You sensed right! He is walking a tight rope lest the puppet master withdraws the stipend!!
The NAPSA debate makes interesting reading. SEE. I once worked for a local commercial bank in Lusaka in early 2004. A good customer of Chinese origin applied for a loan of US$ 1 Million to expand his polutry business. The customer met all the conditions and the loan was approved. The problem came in when some people ( right or wrong) raised questions as to why a local Bank should fund an investor . Others said to the customer will run away with the money and this will be a scandal. Because of these apprehensions the loan despite having been approved could not be accessed by the customer . The process took a long period of over 6 months for the bank to decide . Finally when the loan was given the bank made substantial returns in interest charges and the loan was repaid on agreed terms.This loan opened up lending to customers of Chinese origin. What Miles is raising are the same reservations the Bank had in 2004. Truth be told , this is a good project and the risks are on 1. The road project should not fail to be constructed ( delivery) 2.;When constructed the road should be of good standard and meeting the required specifications and delivered on time ( timely delivery) 3. Subsequent maintainace should always be done( state of good health) If these are well attended to, NAPSA will make a good fortune from this investment.
I don’t make assumptions. I debate on facts. This deal is shrouded in secrecy and it’s very difficult for one to make an informed position. What Miles Sampa is saying is how has this deal been structured so that NAPSA gets it’s returns on investments.
Macro Ocean is getting Finance from NAPSA , and will have this road for 25 years, managing the toll Gates during this period. The question is how much will NAPSA be getting during the 25 year period the Road will be under Macro Ocean Investments…Just a simple and straight forward question..let Milupi go to Parliament, and tell the nation what is in this deal for NAPSA. Is this asking too much from our government???
Suppose we assume and let Macro ocean borrow from their country of origin. Its common knowledge that they would have to return the principal plus interest in this case say 300m right? Would it be called externalising thus leaving us with expenditures only? Just another thought.
It is only in Africa where a foreigner who came as an investor can ask for capital in form of loan .It simply means that permits are given to them free of charge.Such people dont deserve to stay here.