HH has shutdown down the economy – Silavwe
By Kholiwe Miti(The Mast)
UKA communications chairperson Jackson Silavwe says President Hakainde Hichilema has successfully shutdown the Zambian economy.
He says the UPND policy of withdrawing cash from circulation is not helping the growth of the economy.
“It is clear that President Hichilema has successfully shutdown the Zambian economy. Household poverty continues to go far higher and higher. Indeed, it is correct to assume and to state that the Zambian economy is back to the colonial era of the economy where civil servants and those with paid up jobs were the only people that had an income at the end of the month. Weak economic policies are leading to weak kwacha, unstable fuel prices, high cost of goods and services, high cost of transport, no income at households, more hardships and more desperation. More stress, more crime in our compounds and residential areas, more mental health breakdown, high suicide rates, high poverty levels and high cost of doing business is the current synopsis of a Zambian economy under President Hichilema and his new dark (dawn) administration,” Silavwe said. “On the other hand a strong economy increases income to individuals and businesses. A strong economy reduces poverty, providing jobs, increases affordability of goods and services, families are able to eat or afford a bag of mealie meal. A good economy unlocks the private sector so that people can be able to have jobs. To a large extent the high cost of living in President Hakainde Hichilema’s new dark government is traced to the two factors introduced by themselves. Number one, the perceived mopping of excess cash from the local economy which is a hoax, by increasing the monitory policy rate (MPR) and the statutory reserve ratio. President Hichlema shutdown the informal local sector in one single blow.”
He said less money in circulation has directly hit local small and medium business with very law sales.
“Households in the compounds are unable to get a piecework and afford the basics of life. Yes, the majority who depend on the informal sector can no longer afford the basics such as mealie meal hence the cries in the compounds of njala or insala (hunger). And the second reason why the cost of living and dong business has been pushed up is due to the fluctuating fuel prices. A closer look at the foreign exchange rate indicate that all major convertibles are dancing to the song of the fuel prices by the ERB,” Silavwe said. “This is extremely catastrophic in an import led economy with more than 80 per cent of the products of tuntembas (makeshift stalls), groceries and chain stores are all from outside the country. All the people in the country must dance to the high cost of doing business. This is now compounded by the long hours of load shedding. Production or productivity has been shutdown in our economy.”
He said the United Kwacha Alliance is not just an alliance that speaks “but also offers solutions”.
“Instead of sending cadres to disrupt a rally, instead of arresting leading opposition critical voices in our country, instead of now misgoverning the country based on innuendos, we wish to advise President Hakainde Hichilema and his cabinet the following: as a short term measure can you stop the monthly review of fuel prices forthwith and replaced by only two reviews in each half of the year, preferably March and August respectively,” said Silavwe. “We propose to you to incentivise small and medium business to produce and employ more locals. Small and medium enterprises form the basis of any economy. Right now they are suffocated. It will not do well for you to continue giving tax holidays to mining companies who are your friends, publicly you have said they are your friends, when a kantemba closes because they cannot afford to order goods for them to sell.”