We need to reduce our appetite for borrowing. The international monetary fund’s rescue has not failed – Mutati
“On the question of fiscal consolidation, Mr. Speaker, we have already indicated and committed ourselves to the special legislative support measures. Our commitment is that the public finance law, the loans and guarantees and the pre-algorithm should be able to pass by the end of 2017. We have already said that, Mr. Speaker, this is our determination to support fiscal consolidation, which is important in addressing the whole debt problem. In addition to the speaker, we took measures to address the debt problem. We have issued a medium-term strategy focusing on the debt framework. Before starting a new project, we must focus on the ongoing project. We must reduce the appetite for our contract debt. We also have to look at other innovative ways of financing, “Mutati said.
“Mr. Speaker, we introduce the 2018 budget, we see clearly that debt levels have increased, in this budget, we say that the governance of debt and the answer is (1) focus our efforts on the domestic resources to mobilize. Attention to this speaker, we have already said that we are going to modernise the zambian tax office to ensure that we improve our tax system. Introduce automation and information communication technologies and convert them to the best… “Mutati says.
He said the government would set up a debt service fund to help deal with the maturity of euro bonds.
“But the important speaker, as we’ve said in 2018, we’re going to start creating a sinking fund that will help to deal with the maturity of euro bonds. We in the Treasury’s ability to continue to increase staff, especially in debt sector, including the ability to improve the quality of our data, the key of our debt sustainability analysis is crucial. We have said that the main basis for any new debt is the speaker, the debt sustainability. We don’t want to give it back to the next generation. We want to start by doing these things, Mr. Spokesman, and we will begin to address the key issues of debt. As you do, Mr. Speaker, you are answering the fiscal deficit, because they do work together, “Mutati said.
“Mr. Speaker, I’m just borrowing a common phrase, a common phrase called salvage. Let me make it clear in my August house that the term “bailout” has not failed. The imf’s assistance has not failed because our programme has not been brought to the board of the international monetary fund, which is the first. The second speaker, who was brought to the board, was called the fourth monitor. This is where the imf staff evaluates its economic performance, fiscal policy, contact with the government, and members of parliament. “Mutati says.
“It’s a regular practice every year. Mr. Chairman, the fourth result is very clear to us. (I) article 4 acknowledges that Zambia’s economic prospects are optimistic; (ii) commends the zambian government for the conclusion and publication of the seventh national development plan, including economic stability and growth plans; (iii) also commends the government for its decisive and bold decision on agriculture and energy policy and reform; (iv) a rise in social security levels in 2007, the key to the problem is rising debt. ”
He said the international monetary fund team would return to Zambia to help his sector meet its debt support growth measures to avoid shock to the economy.
“So, when we cooperate with the international monetary fund, they say we need to identify new debt path, in order to determine a new road, we need to work with them the information and data (IMF), they will be back in a few weeks time, so that we can have a debt in the sustainable development of the situation. Our debt situation not only supports economic growth, but also ensures that we do not have an impact on the economy. Once we have completed the speaker’s statement, we can proceed on this issue. Mr. Speaker, we are determined to do so because, at the end of the dividend of stability and growth, we will get the recognition of ordinary people, zambian ordinary people, “mutati said.
“It is our responsibility to ensure that we keep the economy in the right direction, not only to ensure stability, but also to ensure inclusive growth. That is why we emphasize that the theme of 2018 is “accelerating fiscal adjustment”. Fiscal sanity means we will focus on domestic taxes, fiscal consolidation, and ensure that your budget deficit is controlled, including ensuring that we achieve debt sustainability. That is that we are taking the direction of the speaker, and we should make a commitment to the zambian people to ensure that the economy works for them. ”
The minister said the credibility of the 2018 budget will be aided by the adoption of key legislation that minimizes misappropriation and misappropriation of funds.
“Mr. Speaker raised the issue of budget credibility. Credibility problem, Mr. Speaker, the government still CARES about budget, that is why the speaker of the us in 2018, said the credibility through key legislation, minimize embezzlement and to assist in the transfer of funds problem. So we are going to help us through this legislation, and make us more compact and close when we use public funds. Mr. Speaker, this will also include public procurement, “said Mutati.
Mr. Speaker, you know, the current “public procurement law” is “a law abiding by law, which is simply that you have to check (I) do you have an advertisement?” The answer is whether it’s not, you tick (ii) somebody responds? You tick, (3) someone sits down and can make a decision? You tick. For clarity, let’s not talk about it. Do you advertise fire fighting? The answer is yes or no, you tick. The speaker’s legislative reform will focus on value, that means we have to in a similar item price as a benchmark, so if I purchased fixed assets in the Treasury should be within 10% of community development. Otherwise the system refuses. This is what’s called a value.