Maravi

Economic growth should benefit ordinary people, says Illilonga

Economic growth should benefit ordinary people, says Illilonga
By Joan Chirwa
Tuesday January 15, 2008 [13:00]

Economic interests of foreign companies have continued to overshadow the welfare of Zambian consumers, Zambia Consumer Association (ZACA) executive secretary Muyunda Illilonga has observed. And Illilonga has advised the government to be cautious of its dealings with multi-lateral lending institutions such as the World Bank and the International Monetary Fund (IMF) during the 2008 fiscal year. Illilonga, in an interview, said his association would not change its stance against the exploitation of Zambians by foreign interests regardless of their origin.

“A number of foreign companies have been enjoying a lot in this country and yet citizens are not benefitting much from most of the investments we have,” Illilonga said. “Government should put Zambian citizens at the centre of its vision of economic programmes for overall economic growth.”

Illilonga said the government should this year endeavour to pass on the benefits of the recorded economic growth to ordinary citizens.

“The much talked about economic growth has remained illusive for consumers. Government should this year try to bring down the benefits of economic growth to the people. It is not enough to just have economic growth on paper,” Illilonga said.

“Economic growth should be seen through infrastructure, the welfare of people and the provision of basic services. Economic growth must lead to happiness and not misery among people. We need to see improvements on roads and other critical infrastructure for the economic growth to be well translated.”

Illilonga further said there was no justification for economic growth since people’s purchasing power was constantly declining.

The government last year forecast a seven per cent growth in Gross Domestic Product (GDP) although the country ended the year slightly below the target.

In its 2008-2010 Medium Term Expenditure Framework (MTEF), the government has again projected a seven per cent growth in GDP owing to the massive investments in key sectors of the economy, especially mining.

And Illilonga said much as the government is in need of adequate financing, it needed to refocus its methods of sourcing for resources especially from multi-lateral institutions.

“It is time for the government to start deciding on its own. We have had a lot of things done in an improper manner because we prefer to listen to the World Bank or the IMF,” Illilonga said.

“The Bretton Woods institutions have contributed greatly to some economic problems we are experiencing today, for example, the concessions given to the mining companies.”

Labels: ECONOMY, IMF, MUYUNDA ILILONGA, ZACA

posted by MrK @ 2:55 AM