ACTIONAID Zambia country director Nalucha Ziba says as 2018 comes to a close, her organisation remains concerned with the huge debt the country has contracted in recent years.

In ActionAid 2018 reflections, Ziba said not having restrictions on debt contraction would throw many Zambians deeper into poverty because the government would concentrate on debt servicing while neglecting key sectors of the economy.

“It is our hope that government will prudently implement the debt management strategy so that it does not affect social sector funding,” she stated.

She noted that 2018 could be said to have been one of the most difficult for Zambians.

Ziba stated that the cost of living remained too high for most citizens.

According to the Jesuit Centre for Theological Reflections’ food basket, a family of six now needs about K5,400 to survive in a month. “Evidently, very few citizens can afford this amount, and worse still those of our people who do not have any sources of income,” she stated. “The economy remained depressed, as unemployment levels increased. Businesses were not spared, especially with the historical fuel increases during the third quarter of the year. Additionally, in the first quarter of the year, the nation witnessed removal of vendors from the streets, the majority of whom are women, which had a toll on their livelihoods.”

Ziba noted that the rising debt levels had put more pressure on the treasury in terms of debt servicing.

“Zambia’s debt levels increased tremendously in 2018. As of June 2018, external debt rose to US$9.4 billion from US$7.56 billion in August 2017. The increased debt portfolio has been a source of concern by many stakeholders, including the IMF,” she stated. “The IMF had urged the Zambian government to be cautious of its growing debt distress and have solid debt management plans. Zambia has been seeking a financial bailout from the IMF. However, the Fund has expressed concerns about the government’s borrowing plans that have compromised the country’s debt sustainability. With a high debt portfolio, more resources are being channelled towards debt service instead of providing adequate financing to key social sectors such as health and education that benefit more people.”

Ziba stated that 2018 was also a year in which several taxes or levies were imposed on the local people.

“These included Internet tax; the borehole tax while the health insurance tax was approved and will be implemented next year. It should be clearly pointed out that these were rushed without adequate consultations. The taxpayers must never be left out when coming up with such policies, as stakeholder consultation is critical in any democracy,” Ziba stated.

She also noted that the country had continued to witness divisive politics since the 2016 general elections, which left the country more polarised.

“It was therefore incumbent on the governing party to take deliberate measures to ensure that Zambians embraced the true ‘One Zambia, One Nation’ motto. It is sad to note that some people lost their jobs because of their perceived political affiliation and in some circumstances on the basis of their tribe,” Ziba stated. “As we close the year, we would like to appeal to President Edgar Lungu to take deliberate measures aimed at uniting Zambians. We remain deeply saddened about the political violence that the country has been witnessing over the years, especially during by-elections. Politics should be a competition of ideas and not of character assassination. The high cases of political violence in the country during election time have partly led to the limited participation of women in politics.”

Ziba also stated that her organised believed that dialogue would go a long way in ameliorating tension in the country.

She stated that the country could not afford to get to the 2021 general election with the political tension.

“The country has been anxious about the long-awaited national dialogue, especially between the leaders of the two leading political parties (PF and UPND). We are therefore happy with the recent revelation by the three church mother bodies that an initial meeting was held for the two leaders (Edgar Lungu and Hakainde Hichilema),” Ziba stated.
“We urge all the political leaders to commit themselves to this very important process.”

Ziba expressed concern about police brutality.
She noted that rule of law and Constitutionalism remain the bedrock of any functional democracy but it was sad that in 2018, the culture of impunity, especially among politicians, continued.

She also noted that those close to ‘powers’ that be continued to flout the law without recourse while political parties cadres continued to take the law into their own hands.

“While other citizens are required by the law to notify the police for any procession, we saw in how Patriotic Front cadres continued to demonstrate without such notification,” she stated. “Furthermore, in 2018, the Constitutional Court ruled that Ministers pay back the money they received when parliament was dissolved before the 2016 elections. However, despite the Constitution Court ruling, ministers have not paid back the money. To date, Zambians are still waiting for the ministers to pay back the money received at the time Parliament was dissolved as directed by the Constitutional Court.”