Govt’s continued external borrowing saddens FODEP

MacDonald Chipenzi
MacDonald Chipenzi

The Foundation for Democratic Process (FODEP) has observed that it is saddening for the Patriotic Front (PF) government to continue contracting external debts when Zambia has the potential to donate to other countries.

This follows the recent US$64 million loan agreement that the Zambian government signed with the Chinese government.

FODEP Executive Director MacDonald Chipenzi has wondered why the PF government has allegedly happily continue to borrow in the manner it is doing when it is common knowledge of how such kind of borrowing lead Zambia to be listed among the Heavily Indebted Poor Countries (HIPC) states.

Mr. Chipenzi has singled out the Finance Minister Alexander Chikwanda as one the senior officials in the PF government who is aware of the debt that lead Zambia to be listed among the HIPC countries as he served in government at the time the country contracted the huge debts from external borrowing.

The FODEP Executive Director has advised that in as much as borrowing is allowed, it is bad governance for the PF government to continue contracting debts in the manner it is doing.

He says what the country needs is the proper management of the little resources that it has as opposed to always borrowing as this will enslave future generations who will be paying for debts they did contract if the PF government fails to back.