CONGRATULATES PRESIDENT HICHILEMA ON DEBT RESTRUCTURING
… Establish a debt sinking fund (SF)
27th March, 2024
As Golden Party of Zambia, GPZ we wish to congratulate President Hakainde Hichilema and his administration on the successful debt restructuring.
As Zambia is currently cash strapped, we urge the President to establish a sinking fund (SF) to secure debt payments for these long term bilateral and multilateral debts as and when they fall due in 8 and 15 years time.
The low hanging fruit available to the new dawn administration is to remove the tax holidays from the mines and multi national companies (MNC’s), raise the taxes a little bit more and channel that revenue to the SF.
We agree with the Minister of Finance, Dr. Situmbeko Musokotwane that “Government’s firm commitment towards restoring long term debt sustainability and achieving long-term sustainable economic growth” is the way to proceed.
Silavwe Jackson
President
GPZ.
The suggestion of a sinking, find is a good one. This should be effected as a matter of urgency. Let us not squander the opportunity to build reserves to honour our debt obligations when they become due. It was disgraceful for Mr. Lungu’s PF to default on our debt in 2020 and there should be no repeat of this shameful act.
Further, as we work towards clearing our debt, we should also enhance loan accountability systems to ensure that we donot borrow recklessly like the notorious PF did. We owe it to posterity.
We must never fall into the debt trap again.