Maravi

(LUSAKATIMES) Economic growth will shame PACT, says Musokotwane

COMMENT - " growing the economy to levels that every Zambian would appreciate and that should create jobs, reduce bank interest rates and give value to the Kwacha, among other benefits to the people. "

Typical neoliberal nonsense. There is no such thing as indirect benefit of economic growth. You benefit directly or not at all. Anything else is mere chance. And lowering inflation to single digit numbers is not 'economic development'. Measuring economic growth on GDP (economic activity within the borders of Zambia by anyone, Zambian and foreign) when the nation's economy is in foreign hands and there is no limit on the expatriation of funds, is deceitful.

Economic growth will shame PACT, says Musokotwane
Tuesday, July 6, 2010, 8:59

THE Government is optimistic that the alliance formed by the Patriotic Front (PF) and United Party for National Development (UNPD) will falter on the basis of the continued economic growth that has led to the landmark single-digit inflation at 7.8 per cent.

Minister of Finance and National Planning Situmbeko Musokotwane said in Lusaka yesterday that a record economic achievement never reached in many decades would stifle criticism by PF leader Michael Sata and Hakainde Hichilema of UPND.

Meanwhile, Dr Musokotwane has challenged the opposition political party leaders that have continued criticising Chinese investment to take time and look at how much Chinese investment was coming into Zambia.

Dr Musokotwane said the Government would respond to the unrestrained criticism by the two leaders by growing the economy to levels that every Zambian would appreciate and that should create jobs, reduce bank interest rates and give value to the Kwacha, among other benefits to the people.

Thousands of Zambians were being employed in the mines, hotels and other manufacturing companies that were being opened as the economy continues to register growth. He said while the opposition leaders had continued to criticise Government’s economic policies, the international community was praising the Government for managing the economy well.

“There is lack of understanding about the economy. That criticism by these opposition leaders does not make sense. Do they understand how many Zambian workers would have been on the streets if Lumwana and other mines were not open?” Dr Musokotwane asked.

He urged Zambians to judge the Government by the economic performance which was registering growth of around five per cent on average while the annualised rate of inflation had dropped to the single digit and the lowest in over three decades.

He said the issue of increasing tax bands on pay as you earn to relieve workers from the taxes on their salaries was still under discussion and was certain the best decision for the workers and the Government would be reached.

Government would not reintroduce subsidies in the importation of fuel because it wants to construct infrastructure to benefit the population.

Dr Musokotwane said the Government has the option of subsidising fuel and another one of saving the money to build hospitals, roads, schools and invest in agriculture. “The question is which option is the best, having no schools and clinics and take the money to fuel or having these important things constructed,” Dr Musokotwane said.

Massive construction of houses by individuals was part of the general growth benefits because it had now become much easier to purchase building materials.

On Chinese investments, Dr Musokotwane told journalists after touring NFCA Africa Mining Plc facilities in Chambishi that armchair criticism was not healthy for the development of Zambia.

There was need for the opposition political parties to appreciate the investment pouring into the country other than criticising everything.

“There is lack of understanding about the economy. That criticism by these opposition leaders does not make sense. Do they understand how many Zambian workers would have been on the streets if Lumwana and other mines were not open?” Dr Musokotwane asked.Dr Musokotwane wondered how the opposition political leaders could fulfill their promises to the electorate because they intend to chase the investors who brought in wealth.
“Zambian people should be wary of such leaders making fake promises because nobody can fulfill every citizen’s aspiration at once without serious investment,” Dr Musokotwane said.

Dr Musokotwane asked what sort of investments would come to Zambia if some vocal opposition political party leaders were voted into power because they were planning to chase the investors.

Opposition political parties needed to look at the positive side of the mining sector because it had continued to create jobs for the Zambian people.

Business levels in the next five years would increase in the country because the mining sector was expected to stimulate other activities like value addition when Multi Facility Economic Zones are completed.

[Times of Zambia]

Labels: GDP, INFLATION, SITUMBEKO MUSOKOTWANE

posted by MrK @ 1:45 PM