By Herryman Moono
It is time to Prioritise and Enhance ZNS Capacity:
One of the many concerns raised by those against the unprecedented 1500% increase in CDF is the capacity of constituencies, particularly rural constituencies in absorbing the K25.7 million to be disbursed annually.
Where will districts get suppliers? Contractors? Engineers? Etc to build schools, bridges, roads? Dip tanks? Boreholes? Canals? Manufacture desks? Blocks? Etc.
Since each Constituency will have the same amount of resources, where will capacity to do all these things ce from?
Hitherto, much of the above works have been done by the Aviation Industry Corporation of China (AVIC), a Chinese state-owned aerospace and defense conglomerate headquartered in Beijing. AVIC had in the last 10 years become the favourite and defacto construction company for most of Public Works in Zambia from roads bridges to Airport’s and houses.
Perhaps unbeknownst to many is that AVIC is a Chinese government company, established and managed by the Chinese government under its defense services.
So how did a Chinese Defense company become the most preferred construction company in Zambia?
Simple:
The Chinese government progressively and aggressively built AVIC’s capacity to grow its tentacles and diversify it’s product range and services beyond Aviation to construction, and its market to the developing world of Africa, Zambia inclusive.
From the above, it is therefore possible for a government to use its defense wing for commercial purposes and raise money while creating sustainable employment.
So, where will capacity come from?
Zambia National Service – this could be the new AVIC for CDF supported projects!
The Zambia National Service, ZNS, has nationwide presence and capacity to construct most of the required infrastructure through its engineering department.
Making ZNS the preferred construction company for CDF supported projects in the country will achieve the following:
- Enhanced ZNS capacity and expertise.
- Increased employment, particularly for youths in all districts of Zambia.
- Retention of finances in Zambia as there will be no need for externalisation.
- From 3 above, enhanced foreign exchange stability .
- Increased money in circulation, resulting in higher local bank book balances.
- From 5 above, reduced interest rates for private sector borrowing ‐ lower cost of doing business.
- From 6 above, increased private sector economic activity resulting in increased employment, particularly for the youths,and higher tax collections for the government.
- Increased tax collections allows for increase spending on social sectors, such as health and education.
- From all the above, the beauty of all will be increased and equitable district level economic activity, yielding enhanced local economic development throughout the country.
- In the end, we have a fast growing economy that is inclusive!
So there you have it folks – there should be no excuse for failure, because we have within ourselves the institutions that can do what we want to achieve.
My final thought on the K25.7 million is that constituencies that do not fully absorb the funds should only be topped up the difference in the next funding cycle or be funded only upto their capacity until they are able to fully expend the same, this way, we achieve equity based on absorption capacity.
Good morning and God bless you all.
Happy Sunday.