Tue, 22 Aug 2017 10:49:10 +0000
…to enhance infrastructure development
By Bennie Mundando
THE Zambian Government is in the process of creating financing instruments which will facilitate enhanced participation of the private sector in infrastructure development, Finance Minister Felix Mutati has observed.
Meanwhile, South Africa and Zambia have expressed mutual interest to collaborate in tax administration, treasury management, revenue collection, trade and revenue leakage prevention, staff exchange programmes, and investment in the north-south corridor from Kasumbalesa-Chililabombwe to South Africa.
Addressing delegates and investors at the on-going Africa Infrastructure Financing Forum in Johannesburg, South Africa yesterday, Mr. Mutati said one of Zambia’s top priorities was to mobilise public-private-sector investment for mega projects.
He cited the planned Batoka Power Station between Zambia and Zimbabwe which is expected to produce 2,400 MW of hydro power and enhance developmental integration in the region as one of such projects that Government had prioritised.
“Unless we have power to drive industrialisation, regional integration and competitiveness will be eroded. In Zambia, we are refining public-private-partnership models to facilitate infrastructure development from design to operation and transfer, through financing instruments such as credit enhancement and contingent guarantees.
“We cannot address the infrastructure deficit in Africa if we continue with this business-as-usual approach. We also need to begin to create a sense of urgency to curb excessive bureaucracy and establish functional platforms for efficient and effective actualization of private investment,” Mr. Mutati said.
He said to address the infrastructure deficit in key sectors of the economy, there was need for ruthless prioritization of development projects, efficient resource preparation, and effective sequencing of programme implementation processes.
“I remain hopeful that despite the infrastructure challenges, working together with neighbouring Governments will enhance Zambia’s competitiveness. This year alone, investments from South Africa have reached close to US$1 billion,” he said.
Meanwhile, South Africa and Zambia have expressed mutual interest to collaborate in tax administration, treasury management, revenue collection, trade and revenue leakage prevention, staff exchange programmes, and investment in the north-south corridor from Kasumbalesa-Chililabombwe to South Africa.
This came to light yesterday when Mr. Mutati paid a courtesy call on his South African counterpart Malusi Gigaba in Pretoria.
Speaking during the meeting, Mr. Gigaba proposed an intensive collaboration programme in the near future, which will involve study tours by Zambian authorities to the South Africa.
“We need to move quickly on this initiative so that a memorandum of understanding is signed by October 2017,” urged Mr. Gigaba.
