Maravi

Fitch's comment shocks Sakeni

COMMENT - Welcome to the New World Order's version of globalisation. Ratings agencies life Fitch are in the business of jawboning and threatening countries and economies with downgrades and rewarding them with upgrades. The Koch brothers funded 'TEA Party' downgrade in the US is a case in point. The international financial system is highly corrupt - read Matt Taibbi at Rolling Stone magazine.

Fitch's comment shocks Sakeni
By Ernest Chanda
Fri 23 Mar. 2012, 12:58 CAT

HOME affairs minister Kennedy Sakeni says he is shocked that Fitch Ratings can comment on a matter that is active in the courts of law.

Reacting to the organisation's observation that the possible deregistration of the opposition MMD could increase its concerns over the Zambian government's policy direction and governance quality, Sakeni said not even himself could comment on a matter that was before court.

"This matter is before the courts of law, and how Fitch comes in to comment, I don't even understand. This country, we respect the courts and if matters are before the courts we don't expect anybody to make any comment," said Sakeni in an interview in Lusaka yesterday.

"And I wouldn't go any further than that; I leave it to the courts to actually preside on the matter. We'll accept whatever the court will rule."

Fitch Ratings which recently lowered Zambia's economic outlook citing concerns over the direction of the country's economic policy said additional strain could be placed on Zambia's (‘B+/Negative/'B') government finances and its relatively strong governance undermined if the Registrar of Societies' decision to deregister the country's largest opposition party is not overturned by the courts.

On March 14, the Registrar of Societies announced that MMD would cease to operate as a political party due to the alleged non-payment of dues over the past 20 years.

In Fitch's view, it was too early to tell if this is simply the action of an overzealous official, or whether the decision was politically motivated, with negative consequences for democracy and governance, factors which Fitch has traditionally regarded as amongst Zambia's rating strength.

Labels: BONDS, KENNEDY SAKENI

posted by MrK @ 4:19 PM