ECONOMIC GROWTH FOR ALL

Mon, 30 Nov -0001 00:00:00 +0000

ZAMBIA should remain focused in attaining the projected economic growth this year even in the face of adversity as expectations among citizens and cooperating partners are very high.

While the country is faced with a number of encumbrances, the Government has enough muscle to navigate through the obstacles and hit the 5.0 per cent economic growth
target for this year up from last year’s 4.3 per cent.

Yes, the country’s exchange rate has comfortably been oscillating between K9 and K10 to US$1 while inflation last month closed at 6.1 per cent with benchmark interest rate currently resting at 10.25 per cent.

With such impressive economic fundamentals, it is possible for the country to post economic growth of 5.0 per cent this year, 5.1 per cent in 2019 and 6.1 per cent in 2020 as projected by the Government.

The country should also ensure that the international
reserves are maintained at four months import cover.

As Premier Consult Limited managing consultant Professor Oliver Saasa told this newspaper, Government should capitalise on the attractive copper prices which are hovering above $7,000 per tonne on the London Metal Exchange.

Yes, Prof Saasa says the Government should focus on economic expansion and on reducing fiscal deficit by realigning the expenditure pattern.

More often, captains of industry have been emphasising the imperative need for the country to accelerate growth in agriculture and manufacturing, two sectors that are
complementary in nature.

Agriculture provides necessary raw material for the
manufacturing industry.

The tourism sector is also one that requires full exploitation and so are the construction, mining and energy sectors.

In short, the priority sectors mentioned should continue to be the driving force in a more accelerated and steadfast fashion.

In addition, the diversification from copper mining to a well-managed agriculture sector is more compelling now than ever before.

Zambia requires a robust agricultural sector to extricate itself from the snare of youth unemployment, poverty and rural urban migration.

A turn-around strategy anchored on agriculture should right away be employed for sustainable development. Agriculture has the potential to become the largest employing industry in Zambia.

The Farmer Input Support Programme needs to be improved to ensure that inputs are readily available well before the planting window while the e-voucher system
activation must be up-to-the-scratch.

It will also be prudent to redeem the State farms concept while at the same time encouraging the agriculture out-grower schemes across the country.

Peasant farmers must be supported in the crop diversification from rain-fed maize growing that proves disastrous in time of drought.

We are aware that the Government has already projected to reduce the fiscal deficit this year to 6.3 per cent from last year’s 7.0 per cent while in 2019 and 2020 it is envisioned to further decrease to 4.3 per cent and 2.6 per cent respectively.

The benchmarks are quite impressive and require that the Government moderates public expenditure on workshops and personal emoluments. A complete change of the mind-set in the civil service is acutely urgent.

It is important that fiscal consolidation under the economic stabilisation growth programme is equally pursued intently. Such attractive concepts should not just remain on paper but utilised and publicised beyond policy-makers and civil servants.

Overall, the country has had an impressive economic outlook but requires intent harnessing to translate the positive pointers into tangible benefits for the citizens.

The macroeconomic indicators have in the recent past remained buoyant and such a feat demands strict adherence to prudent economic management and fiscal discipline in public and private sectors.

Therefore, the economic growth strategy implementation requires the participation of all the people regardless of their political inclinations.

Citizens should fully understand and follow economic trends of the country and those of other nations. They should develop interest in economic issues though on face value they appear abstract.

More often, detractors take advantage and tilt economic information the wrong way, thereby misleading the citizens.

Economic growth is for all!