PRESS STATEMENT FOR IMMEDIATE RELEASE.
Pretoria -Thursday, 12th July, 2018
Zambia has expressed happiness with the improved economic growth it has continued to record since 2016.
Secretary to the Treasury Fredson Yamba says the improved economic growth the country has recorded was as a result of increased investor confidence and recovery of global commodity prices.
Speaking at the Southern African Development Community (SADC) macroeconomic peer review mechanism panel meeting in Johannesburg, South Africa, Mr. Yamba said other factors that have contributed to Zambia’s improved economic growth were the improved performance of the agriculture sector and hydro –power generation, which had previously been hampered by adverse weather conditions.
Mr Yamba noted that the stringent monitory policy pursued by government through the Bank of Zambia has resulted in the appreciation of the kwacha against major convertible currencies as well as deceleration in inflation rate.
He observed that Zambia has continued to improve its fiscal deficit which stood at 7.6 percent of Gross Domestic Product (GDP) in 2017 from 9.4 percent of GDP in 2015, as such, government would endeavour to limit the growth of public debt by improving debt management.
Mr. Yamba said this will be achieved by altering the debt structure to achieve 60 percent domestic and 40 percent external debt.
He said other measures that government will endeavour to implement in order to reduce fiscal deficit will include acceleration of economic diversification process, integration of economically marginalised rural areas into dynamic of the economy and strengthened revenue mobilisation methods among other measure.
And Mr. Yamba disclosed that a team from the International Monetary Fund (IMF) was next week expected in the country as a continuation of the consultative process.
He said the IMF’s mission visit to Zambia follows the successful submission of data that the fund had requested for.
Mr. Yamba said the meeting was expected to reconcile figures between the two parties and find the best way forward.
Mrs. Naomi Nyawali
First Secretary Press and Public Relations.
Zambia’s High Commission, South Africa.