Revamp private  sector to grow  economy, Govt urged

Fri, 07 Apr 2017 09:52:11 +0000

 By MAILESI BANDA

 GOVERNMENT should avoid borrowing and work towards empowering the private sector to create a strong financial system that will grow the economy, says the Jesuit Centre for Theological Reflection (JCTR).

JCTR programme manager Faith Kalondawanga said Government should look inwards and work towards creating wealth within the country and not depend on external debt.

Ms. Kalondawanga said there was need to reduce debt by not borrowing and creating more money internally by strengthening the existing systems.

“The Government needs to look inwardly in the creation of wealth by involving the private sector and avoid excess borrowing as this will collapse the economy once it reaches extremes,” she said.

She advised Government to stop depending on external debt to finance their projects.

She explained that there was need for debt relief as the country was moving from unmasking more debt, adding that there was need for the Government to be in constant check of the budget set aside for spending towards the social sector.

She said there was wastage in the handling of public resources and that this was evident in the Auditor General’s report.

“There is wastage in the handling of public resources and the Auditor General’s report in November confirmed this as we saw irregular payments increasing by 114 percent from the previous year. This gives the picture of how resources are being handled,’’ she said.

She said there were visible challenges of curbing excess expenditure, adding that this would lead to economic hardship.

Ms Kalondawanga explained that while the Government put in place an economic recovery programme, it was worth noting that one of the pillars of the recovery programme was budget integrity.

She said there was need for discipline in the handling of public resources.