Suffering in the land of plenty
Suffering in the land of plentyBy Editor
Thursday June 12, 2008 [04:00]
The observation by Lusaka Archbishop Telesphore Mpundu on our economy deserves serious attention and consideration. Lately, so much has been said about how well the country’s economy is performing. We are told of how macroeconomic indicators are doing well, how the inflation rate has been managed to a point of reaching the unprecedented single digit, how interest rates have stabilised and how there is investor confidence as a result.
Without doubt, positive developments have taken place in our country. But when we look around, we see that more and more of our people live in squalor. This is true both with rural and urban areas.
Just a 10-minute drive from the city centre in Lusaka to Mazyopa compound will expose one to the excruciating poverty that our people in such areas have to endure on a daily basis. We are told that the mines are now doing far better than they performed in past years. But in Chingola where the biggest mining outfit in the country is based, there is very little proof that Konkola Copper Mines is doing well.
It is paradoxical that we have more than half of our country’s population living in abject poverty when the economy is said to be doing well. While the economy is said to be improving every day, people’s complaints of poverty are also on the rise. The education and health sectors still experience the same old complaints. Only the other day, a woman in Lusaka gave birth at City Market where she was to get on a minibus to University Teaching Hospital because there was no ambulance at Chipata compound clinic. There are complaints literary from every corner.
Clearly, it is not only Archbishop Mpundu who has noticed that much as it is said that Zambia’s economy is doing well, a lot of people don’t seem to benefit from the improved economy. Even finance minister Ng’andu Magande has in the recent past made similar observations. And we think that even most of our ministers, including President Mwanawasa, are aware about this paradox. That the improved economy has had no trickle-down effects to the common man. It appears this improvement in the economy is only benefiting the privileged few. We hear of massive job creations as a result of investor confidence, but we can hardly see those new jobs.
It will be very difficult for the government to convince the great majority of our people that things have greatly improved when the people who are supposed to benefit from such an improvement are wallowing in abject poverty. It is said that seeing is believing. Unless our people can see and feel the effects of the improved economy, it will be difficult, if not impossible, for them to believe that indeed the economy has improved.
But why is this the case? Why is it that from the figures and other economic indicators, Zambia’s record is improving but the spill-over effects cannot be felt?
Not long ago, Magande observed that economic governance is not being followed strictly by those entrusted with the administration of national resources. As a result, most resources that are meant to improve people’s welfare are either misapplied or misappropriated with impunity.
He said he was embarrassed that the government could not account for US $10 million provided by one of the Nordic countries to fight animal diseases. Today, our people in Southern Province and other parts of the country are faced with a big challenge of fighting animal diseases, diseases that have devoured most cattle in Western and Southern provinces.
Cattle rearing is one of the economic activities of the people of Southern Province. And with the dying of many animals from various diseases, one does not need to speculate on how these people are affected by such a loss. And yet, this is a problem that could have been eradicated or curbed had those who were entrusted with the administration of that US $10 million done their job with honesty and integrity.
This is one of the many examples we can give. If this economic development has to have trickle-down effects, those charged with the responsibility of running the affairs of the country must do their job with utmost diligence, honesty and integrity. In the absence of this, the improved economy will only benefit a privileged few and those investors who will find favour in Zambia’s macroeconomic indicators.
The government should start finding ways to ensure that a common man benefits from an improved economy. It is an embarrassing contradiction that our people should be subjected to abject poverty and squalor in the land of plenty.
Labels: NEOLIBERALISM, POVERTY, TELESPHORE MPUNDU
posted by MrK @ 4:30 AM
1 Comments:
It is the government's duty not only to ensure stability, and enforce business contracts, but to ensure that there is opportunity for all entrepreneurs, that there are functioning public services such as education and healthcare, that there is a functioning infrastructure, and that the means of doing business are available to all those who want to do business in the economy.
The whole 'laissez faire' attitude of the neoliberal philosophy toward the econonmy, which was supported and even demanded by the IMF, has not delivered economic development, and has not done so in a single country the IMF has advised worldwide. That alone should be enough for governments to reject neoliberal ideology. And yet, all major parties are enamored of this same economic philosophy, leaving the electorate with no choice when it comes to policy.
And yet, neoliberalism is being denounced all over the world, most clearly in South and Central America. When is Zambia going to follow?
Because there are clear policy examples of ways to develop any economy. Build up infrastructure - both to accomodate the economy through the transportation of people and goods, and to create mass employment. Create security of tenure and property ownership, and make sure property ownership is widespread, so everyone has a home or a piece of land or both. Ensure a living wage, so people can actually make ends meet when they work fulltime. Ensure universal education and access to healthcare, so people are educated and healthy enough to attain a meaningful job. Make sure farmers can do their job and get paid in full for their product. Make sure they have everything they need to farm on a commercial scale.
Protect local producers. Demand that foreign corporations use only local companies as suppliers, even if they need to help to train them up themselves. Tax the mining companies and have a transfer of share ownership. Create a national development fund that would hold those shares, and that is inspectable by any member of the public.
Have strong punishment in place for anyone who is caught abusing public funds. Follow up on government contracts.
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