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President Sata Signs BOZ Bill
IN A key move aimed at halting illegal capital flight, President Sata has assented to the Bank of Zambia (BoZ) Bill which gives powers to the central bank to monitor transactions of investors locally and abroad.
Deputy Minister of Finance Miles Sampa disclosed this on Zambia National Broadcasting Corporation’s Sunday Interview.
He said the Bill went through Parliament during its last sitting and was assented to last week and is now law.
“The BoZ Bill that went through Parliament was signed by the President last week, so it is now law,” he said.
Mr Sampa said the Zambia Revenue Authority (ZRA) will now be empowered to work with the central bank in monitoring investors’ activities in the country.
He assured investors that the central bank will not abuse its powers because its mandate will just be to check on the monetary and financial policy.
Mr Sampa said following the assent to the Bill, Minister of Finance Alexander Chikwanda will issue a Statutory Instrument that will stipulate guidelines on how investors are going to work with the central bank.
Mr Sampa also said this regulation will increase demand for local production of goods and services because companies will be compelled to use local service providers unlike in the past when they could seek similar services abroad.
He said the enactment of the new law is not an exchange control measure but will ensure investors use local bank accounts in all their transactions.
“What we are saying is that you [investors] should use your bank accounts in Zambia. Why do you want to use accounts abroad, what are you trying to hide?
“Do your business in Zambia; this is where you are digging gold; this is where you are digging copper; we want to see finances in Zambia,” Mr Sampa said.
He said investors should always inform the central bank each time they want to externalise profits and give genuine reasons for doing so.
Mr Sampa said under the BoZ Act, investors that evade tax and externalise profits illegally can face a jail term of up to 10 years.
“If you are found taking money out of Zambia or taking goods out of Zambia without declaring, and if the law catches up with you, you could be jailed up to 10 years,” he said.
Mr Sampa said all genuine investors in Zambia should not have any problem with the new regulation and that Government has engaged them to ensure that they understand the new law.
He said investors that have always been transparent and have been doing everything legally will not have problems allowing Government to check their books of accounts.
Posted by
vic glom
April 2, 2013 at 11:56 am
that ok
majele
April 2, 2013 at 11:57 am
good development
Ex fbi
April 2, 2013 at 12:03 pm
I hav really understood the d/miniister’s interview on the boz bill the financial sector had alot of porous which only benefited the minority selfish chaps ,the nation will now hav a window of developng into a stable economy
Servant of God
April 2, 2013 at 12:12 pm
Fulfilment of prophecy!
Kajimang
April 2, 2013 at 12:15 pm
THIS SHUD BE SUPPORTED BY EVERY ZAMBIAN
Administrator
April 2, 2013 at 2:06 pm
Thats a right call
THE THINK TANK OF ZAMBIA
April 2, 2013 at 2:09 pm
This is really a positive move by the government to have come up with the law that monitor investors financial activities.
We are quite aware that, some investors activities are meant to deprive the owners of the resources (the Zambians) thru externalization of funds without justification.
swing
April 2, 2013 at 2:13 pm
ba sata has really healed, welcome to the nation again mr president ooooh, nomba aka lufumu, kwina nangu efyobaba bashikulu?
izubu
April 2, 2013 at 4:17 pm
im waiting to hear from HH
lol
April 2, 2013 at 4:50 pm
Long over due…It just makes sense anyway. Izubu, Obviously to HH this move is useless….though i think in his heart he knows its positive.
Shanty
April 2, 2013 at 7:22 pm
WAY-TO-GO BIGGY!
Also, funds meant for the next election, do you think we can divert that to buying of a combiner harvester for ZNS, or making a dual carriage along Nationalist road?
I know I have overstepped my bounds… Actually I was just trying my luck. But thanx a lot for that decision.
chilu
April 3, 2013 at 4:48 pm
We hope it will eventually stabilise the kwacha and appreciate it. Good move.
charles banda
April 3, 2013 at 10:26 pm
Mr SATA on the right track lets give him the the maxamium support after all its zambians to benefit from our GOD given natural resources.
charles banda
April 3, 2013 at 10:26 pm
Mr SATA on the right track lets give him the the maxamium support after all its zambians to benefit from our GOD given natural resources.
charles banda
April 3, 2013 at 10:26 pm
Mr SATA on the right track lets give him the the maxamium support after all its zambians to benefit from our GOD given natural resources.