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2010 budget doesn't empower Zambians - Dr Mutesa

2010 budget doesn't empower Zambians - Dr Mutesa
By Kabanda Chulu and George Chellah
Tue 20 Oct. 2009, 14:33 CAT

ZAMBIANS for Empowerment and Development (ZED) president Fred Mutesa has condemned the MMD government for coming up with the 2010 budget that does not address spending priorities aimed at empowering Zambians.

Giving a critique and a ZED perspective on the 2010 budget, Dr Mutesa said that it was disappointing to see that the MMD government's macroeconomic objectives were only referring to growth, inflation and domestic borrowing.

"There is no mention of poverty reduction, which is the biggest challenge facing many Zambian households. From this perspective, we wish to express our disappointment that the budget which is a major government policy instrument indicating public spending priorities according to policy goals falls far short of moving towards empowerment of Zambians," Dr Mutesa said.

"We should not work on the assumption that economic growth will automatically translate into poverty reduction. This has not worked in the past and it will not do so now, nor will it do so in the future. To reduce poverty there is need for deliberate and conscious measures targeted at the poor in our midst."

He questioned why finance minister Situmbeko Musokotwane focused his 2010 budget on starting new projects without completing the ones already in existence.

"Surely, what sense is there in spending money on new farming blocks when existing ones like Kanakantapa, a stone-throw away from Lusaka have gone without roads for over two decades? Shouldn't we be rationalising expenditure by doing a good job in places like Kanakantapa so that production goes up and government can broaden its tax revenue to do more?" Dr Mutesa said.

He said that after political independence and multiparty democracy in 1964 and 1991 respectively, the next task is for Zambia is to empower its people.
"We view empowerment to be an all embracing objective which includes economic, political and social spheres. From this perspective, we wish to express our disappointment that the budget which is a major government policy instrument indicating public spending priorities according to policy goals falls far short of moving towards empowerment of Zambians," Dr Mutesa said.

He said Dr Musokotwane's government cannot claim any special credit for the anticipated 4.3 percent economic growth for 2009.

"The truth of the matter is that this growth, if at all it comes, is due to the rebound in world copper prices. In other words, this is externally driven growth which is attributable to favourable trends in the global economy. The MMD needs to be judged on how much it has done to diversify the economy and reduce our vulnerability to external shocks such as the recent global financial crisis. The answer is that the MMD has failed on this account. The evidence is there for all to see: non-traditional export earnings are expected to reach US$820.2 million this year, down from US$876.2 million attained in 2008. This is not anything to be proud of," Dr Mutesa said.

Labels: BUDGET, FRED MUTESA, ZED

posted by MrK @ 5:50 PM