Mutati, Rupiah differ over single sourcing of investments

Mutati, Rupiah differ over single sourcing of investments
Written by Edwin Mbulo in Livingstone
Tuesday, January 20, 2009 7:41:06 PM

COMMERCE minister Felix Mutati yesterday said single sourcing of investments into the country is a risk, saying the government will also look at America and Europe.

Mutati’s remarks were contrary to President Rupiah Banda's statement before he left for Libya on Sunday that the government is looking to Chinese and Indian investors for investments in the mines.

During a reception after opening Investrust Bank Livingstone branch, Mutati said the government will give support to indigenous banks in order to achieve the 5 per cent Gross Domestic Product (GDP).

"Single sourcing is too risky and we will go beyond India and China and look at the Americas and Europe as a way of distributing the risk in investment. It will be difficult but we have the guts," he said.

Mutati further urged the private sector to take advantage of the government's role of creating investment opportunities.

“My role as government is to create opportunities and your role as private partners is to seize the opportunities so that we realise the vision 2030,” said Mutati.

And Investrust Bank Plc managing director Friday Ndhlovu said the financial sector had experienced tremendous challenges in the past year but remained confident that his bank would survive.

Ndhlovu said Livingstone, being a historic town, was also an important trade hub bordering Botswana and Zimbabwe.

“It is a critical entry point and trade route into Zambia with Kazungula dry port which accounts for a significant portion of import and export traffic in and out of Zambia,” he said.

Ndhlovu added that the bank’s assets had grown to K451 billion as at November 2008 as compared to K419 billion for the same period in 2007.