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Zambians not benefiting from economic growth - Rev Matale

Zambians not benefiting from economic growth - Rev Matale
By Gift Chanda in Kabwe
Wed 13 June 2012, 13:24 CAT

ZAMBIANS will only appreciate economic growth resulting from huge investments in the mining sector if it directly benefits them, says Council of Churches in Zambia general secretary Reverend Suzanne Matale.

Speaking at the chiefs' indaba on enhancing transparency and accountability in natural resource management yesterday in Kabwe, Rev Matale observed that the much-talked about economic growth spurred by a boom in the country's mining sector had not really translated into benefits that Zambians could appreciate.

"We are still wallowing in poverty. We know that Zambia has been declared, according to economists, a fast-growing economy. That is wonderful news, however for me the only way I can understand that Zambia's economy is growing is by what is presented on a poor persons table. Is there breakfast, is there lunch and dinner or are the children going to school? That is the only way I will appreciate that the economy is growing," she said.

"We are endowed with so much natural wealth yet we are still ranked among the poorest nations. This shows that something must be really wrong somewhere."

Rev Matale said it was important that Zambians realised actual benefits from their natural resources such as copper.

"While we are not against investors making profits, we want fairness in the distribution of resource from our mineral wealth," she said.

"God put these resources here in Zambia to benefit the locals because if He had wanted, He would have taken them to Angola but He put them here because He understood that it is for the benefit of the Zambians."

She said calls by the Church and other stakeholders for increased benefits from the mining sector were not aimed at rattling foreign investors in the country.

"The intention is not to alarm anybody. The intention is to raise the flag from where we are because as a church we are everywhere and so we are a bit informed about the poverty situation of the people in their communities," said Rev Matale adding that "All we want is a win-win situation."

But mines deputy minister Richard Musukwa said the government was alive to the fact that it was people's frustration over things like mineral wealth not benefiting them that led to a change of regime.

"We are aware that our people want development and they want it real quick, so we will not take such concerns for granted," he said.

Musukwa further said it was sad that traditional leaders, as the custodians of development, were usually left out when it comes to investments in natural resources.

He urged the meeting to identify ways of implementing the provisions in the 2008 mines Act on resource sharing with the community from which the ore is mined.

Musukwa said traditional leaders and non-governmental organisations like the CCZ could help find the missing link between Zambia's rich natural wealth and its impact on people's lives.

Poverty levels in Zambia, Africa's top copper producer, is said to be at 60 per cent in urban areas and 80 per cent in the rural areas.

The government has targeted annual economic growth of eight per cent over the next five years and wants to stabilise inflation around five per cent in the medium term as way of cutting on poverty levels although it has said it would not apply undue pressure on mining companies to pay more in taxes.

Meanwhile, chief Mumena of North Western Province said Zambia would only become a better place the moment seriousness was attached to tackling poverty.

"In Zambia we have neglected the poor due to our selfishness. Those that have would want to have and have for themselves alone while the poor remain poor," he said.

The traditional leaders' indaba comes a few days before Zambia hosts the International Mining and Energy Conference set for June 19-22.

Meanwhile, the traditional leaders are seeking full involvement in the development of the country's mining sector.

The traditional leaders made it clear during the indaba yesterday that they were unhappy with the way they are being left out in the development of the mining sector.

The traditional leaders raised concerns regarding the procedures in issuing licences to mining investors and that they were not consulted during the process.

Chief Mumena observed that traditional leaders are not consulted or involved by the government before mining licences are issued.

He said this situation was saddening because the traditional leaders who are left out in the first place are expected to find alternative land for people who are displaced by mining projects the government authorised without their involvement.

Chief Mumena said the mines and minerals Act of 2008 does not include the participation of chiefs in the mining sector development agenda.

He further raised concern at the rate licences are issued to investors in the mining sector.

Chief Mumena noted with sadness that local communities are being displaced to pave way for mining at an alarming rate, adding that no proper compensation packages are being given.

"We don't want development to be at the expense of the people. We want development to benefit everyone and this can only be done if the people at the grass root are involved," said Chief Mumena.

And chief Sinazongwe of Sinazongwe district in Southern Province expressed concern that investors were more interested in making profits and not the welfare of the local communities.

Chief Sinazongwe claimed that the mining investors had no regard for traditional leaders.

Other chiefs present at the meeting included chief Chimese of Mwense in Luapula Province, senior chief Musele from Solwezi and chief Matebo from Solwezi district.

Labels: JOBS, SUZANNE MATALE, UNEMPLOYMENT

posted by MrK @ 2:26 PM