Chikwanda spells out IDC inclusion guidelines


FINANCE Minister Alexander Chikwanda has said that not all quasi-Government institutions will be incorporated in the Industrial Development Corporation (IDC).

Mr Chikwanda said in an interview that parastatal companies that were incorporated under the Act of Parliament and those performing well would not fall under the IDC.

He cited the Patents and Companies Registration Authority and the Zambia Information Communication and Technology Authority as some of the establishments that would not be incorporated under the IDC.

Mr Chikwanda said subsidiary companies that had ‘bad books’ would be cleaned up to allow them make a contribution to the economic growth of the country.

He appealed to the public to give President Michael Sata a chance to appoint a board of directors and management to put things in place for the corporation to start operations.

Last week, President Sata announced the incorporation of the IDC following the allocation of K20 million for the implementation process.

The IDC is a 100 per cent Government-owned entity that would be the holding company of State-owned enterprises incorporated under the Companies Act or the Banking and Financial Services Act.

Mr Sata also directed the establishment of a Sovereign Fund in which 75 per cent of dividends from the IDC and its subsidiaries would be deposited.