Speaking during the signing of the memorandum of understanding in Lusaka today, Acting president, Alexander Chikwanda says the purpose of the DTA is to promote international and investment by ensuring the businesses are not subjected to double taxation which is detrimental to investment.
Mr. Chikwanda says the agreement is also aimed at providing enhanced certainty on taxation rights for investors when they engage in bilateral trade and investment.
Mr. Chikwanda, who is also Finance Minister, explains that the current agreement on the avoidance of DTA through Zambia and UK was signed on 22nd March, 1972; and later amended on 20th April 1981, through a protocol in order to update some articles.
He states that as at end of the 1st quarter of 2013, a decline of 4.4 percent in trade between Zambia and UK was registered at US $104.9 million from US $109.8 million recorded during the corresponding quarters of 2012.
Speaking at the same event, British High Commissioner to Zambia, James Thornton, says the UK and Zambia have a strong links as noticed by the works done by DFID in Zambia.
He adds that it is only six months ago that the Head of DFID signed an agreement for substantial support to Zambia’s education sector.