GOVERNMENT DEFENDS BANKNOTE CHANGE
February 18,2025
Government through the Minister of Information and Media and Chief Government Spokesperson, Cornelius Mweetwa, has clarified that the Bank of Zambia’s decision to replace banknotes is a long-planned move aimed at enhancing security and not a political maneuver.
Speaking on Hot FM’s Hot Seat, Mweetwa dismissed speculation that the change was designed to force former government officials to release hidden cash, stating that if that were the case, the notes would have been replaced immediately after the UPND assumed office in 2021.
He explained that one of the key reasons for the change is to combat the proliferation of counterfeit notes, particularly the K100 bill, which has been frequently forged.
“The new banknotes will make it more difficult for criminals to commit crimes involving the production of counterfeit notes,” Mweetwa stated.
He further noted that the current banknotes are made of poor-quality materials that wear out quickly, increasing replacement costs for the Bank of Zambia.
Addressing the mining sector, Mweetwa assured Zambians that as the industry continues to generate benefits, the economy will strengthen, creating more opportunities for growth.
He refuted claims that the government had granted tax holidays to mining companies and challenged those making such accusations to provide evidence.
On agriculture, he projected an increase in maize production this year, creating an opportunity for exports and additional revenue for the country.
He outlined the government’s target to produce 10 million metric tonnes of maize, 1 million metric tonnes of soya beans, and 1 million metric tonnes of wheat annually by 2027.
“As of two weeks ago, statistics at the Public Service Micro Finance Company show that 54 percent of women have accessed loans to invest in agriculture,” Mweetwa revealed.
Discussing the ongoing load shedding, he attributed it to the drought, stating that without it, there would be no power shortages or rising mealie meal prices.
He reassured the public that the government is implementing measures to mitigate the crisis, including opening the electricity market to private sector players and moving away from ZESCO’s single-buyer model.
“As an immediate response, ZESCO has installed diesel-powered generators in key markets across Lusaka to help cushion the energy crisis,” he stated.
Mweetwa also explained that Zambia is still exporting power due to long-standing contractual agreements with SADC member states, which the government is obligated to honor.
His remarks emphasized the government’s commitment to financial security, economic stability, and long-term energy sector reforms.
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