UPND had illusions when it came into power – M’membe
By Thomas Ngala
WHILE the ruling UPND has continued blaming the country’s economic mess on the opposition PF, Dr Fred M’membe said everyone prior to last year’s elections knew that the previous administration drove the country into a huge debt.
The Socialist Party leader said President Hakainde Hichilema and the UPND however claimed that they would fix the mess.
He said when he featured on Hot FM’s “Hot Seat” on Thursday that the UPND had illusions when it came into power.
“We all knew that the PF had driven this country into a huge debt. We knew that. None of us didn’t know. We all claimed we have answers. The UPND claimed they had answers, they will fix it. Bally will fix it,” he recalled. “When they came into power they had illusions. They did not even want to talk to China. They were trying to play down China. Middle way, they realised they needed China. Those who wanted to give them the money they are saying go and talk to China to restructure the debt with you.”
Dr M’membe pointed out some feasible developmental projects resulting from the debt from China while wondering what the Eurobonds did.
“What was the Chinese debt? What did this country do with the Chinese debt? What did the PF do with the Chinese debt? We have [Lower] Kafue Gorge Power Station. You are earning $1 million from that every day. That debt, the power station can pay back every month or every year… We have other projects which the Chinese undertook which you can see,” he said.
“But there is a debt from the same Western countries, Western institutions. The Eurobonds, can you see where the Eurobonds went? Can you see what the Eurobonds did? Can you see what the money that came from Western lenders did into this country? Now they are failing to account for their debt, they want the Chinese to deal with that. Is that fair? We have to deal with the debt.”
Dr M’membe said the IMF loan the new dawn administration is seeking is not a debt write off.
He said the government was creating more problems by making citizens think the loan would sort out their problem.
“The IMF loan that we are seeking, it’s not a debt write off. It is a balance of payment support to the tune of $1.4 billion. Will that change everything in the country? No. And they are creating problems for themselves. They are making the Zambian people believe that if we get this IMF package then our problems are over. They will get this IMF bailout but problems will continue,” said Dr M’membe. “What are they going to say next? You are telling the Zambian people if we get this our problems will be over when they will not be over. It will actually lead to more and more problems. Already even the preparations for this loan, the conditions that we have to meet before we get this loan are already causing havoc. Part of the fuel prices increment are part of these conditions. The removal of subsidies and so on. So the IMF bailout will not bail us out.”