Metro

Zambian opposition leader says K19 billion allocated to defence in 2025 budget ‘misplaced expenditure’

Published

3 days ago

September 30, 2024

Sean Tembo, the President of one of Zambia’s opposition parties, Patriots for Economic Progress (PEP), has described the allocation of K19 billion to Defense and Public Order by the government in the 2025 budget as misplaced expenditure.

Tembo, who made his position known in a statement on Sunday, wondered why such a huge amount was being allocated to the sector when the country was not at war but had high poverty levels to deal with.

The PEP leader, who went ahead to dissect the 2025 national budget, noted that the total budget for 2025 was K217.1 billion, represented 26.6 percent of Zambia’s Gross Domestic Product (GDP).

He argued that in the 10 years prior to 2021, the national budget averaged 17 percent of GDP, while between 2001 and 2011, it averaged 14 percent of GDP, alleging that this meant there was a high appetite for over-expenditure under the New Dawn administration.

“A total of about K19 billion will be spent on defense and public order. For a country which is not at war and which has very high levels of poverty, this appears to be misplaced expenditure,” Tembo said.

He also stated that the 2024 national budget was projected to have a deficit of 11.6 percent, which amounts to over-expenditure at a time when the country does not have money.

Tembo further indicated that the 2024 budget deficit as a percentage of GDP was projected at 6.4 percent snd domestic debt was now K225.5 billion compared to K89.5 billion in August 2024, representing a 252 percent increase in only three years.

“Domestic arrears, which is money that government owes to various suppliers of goods and services in the country, is now K79.8 billion compared to K18.2 billion in August 2021,” Tembo stated.

He highlighted that this meant reduced liquidity needed for the private sector to grow, which only accounted for 36.9 percent of all credit issued by financial institutions, while the balance of 63.1 percent was attributed to government.

“2024 economic growth is projected to decline to 2.3 percent from 5.4 percent in 2021 at the beginning of the New Dawn administration,” he highlighted, adding that annual inflation was 15.6 percent compared to an average of 10.3 percent in 2021 and the local currency exchange rate to the United States Dollar averages K26.30 compared to K15.80 on August 24, 2021.

Tembo also said that the Monetary Policy Rate was now 13.5 percent compared to 8.5 percent in August 2021, indicating higher interest rates for borrowers with MPR-linked loans.

“Statutory Reserve Ratio has been increased by Bank of Zambia (BOZ) to 26 percent, from 7.5 percent in August 2024, meaning less money available to commercial banks to lend to economic players.”

Related Topics:budget Featured Sean Tembo Zambia

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Metro

Zambia: SP leader tells President Hichilema to allow Lungu contest 2026 presidency

Published

11 hours ago

October 3, 2024

Isaac Dachen

The leader of Zambia’s Socialist Party (SP), Dr Fred M’membe, has urged President Hakainde Hichilema to allow former President Edgar Lungu to contest the 2026 presidential elections as that will be a test of his popularity.

M’membe, who made the call in a statement issued in Lusaka on Thursday, said the most prudent course for the United Party for National Development (UPND) and Hichilema would be to allow Lungu to stand and work hard to defeat him in a free, fair, and peaceful election by delivering on the promises made to the Zambian people.

M’membe expressed concern that it appeared President Hichilema was determined to prevent Lungu’s name from appearing on the 2026 presidential ballot.

“The unbridled determination to block former President Lungu from contesting the 2026 elections is very dangerous and could lead to serious problems, including violations and the destruction of institutions,” M’membe said.

He argued that efforts to undermine the Patriotic Front (PF), Lungu’s political platform, had not yielded the desired results and as such, he should be allowed to test his weight at the polls.

“They have tried the destruction of PF to deny Mr. Lungu a platform for his 2026 presidential election bid, but it doesn’t seem to be working,” M’membe said.

M’membe also stated that the Constitutional Court should not be used as a tool to block Lungu’s candidacy, pointing out that the court’s decision on the matter was bound by the principle of res judicata, meaning that the case had already been decided.

“The hands of the Constitutional Court are tied by res judicata, and it is not well-placed to play this assassin role,” M’membe said.

He explained that while it might have been difficult for the court to decide Lungu’s eligibility for the 2021 elections, it would now be much easier for the court to reaffirm Lungu’s eligibility, as it had already ruled on the matter.

“A final decision was made by this court that Mr. Lungu was eligible, and it would be a gross injustice to reverse that decision.

“We see no compelling reason in this case. Simply disagreeing with the court’s decision is not sufficient grounds to overturn it,” M’membe concluded.

Metro

Nigeria to evacuate citizens from Lebanon as conflict with Israel escalates

Published

18 hours ago

October 3, 2024

Isaac Dachen

As the conflict between Israel and Iran continues to escalate, the Nigerian government has commenced arrangements to evacuate its citizens from Lebanon.

Special Assistant to the President, Bola Tinubu, on Social Media, Dada Olusegun, who made the disclosure in a post on X on Tuesday, advised Nigerians living in the war-torn middle east country to contact the Nigerian mission for documentations as a first step towards the evacuation.

“Alert! All Nigerians in Lebanon are expected to get in touch with the Nigerian mission for profiling and documentation and subsequent evacuation,” Dada wrote.

The move by the government follows an earlier call by the the Nigerians in Diaspora Commission (NIDCOM), urging Nigerians in Lebanon to consider leaving the country while commercial flights are still in operation.

In an advisory signed on Wednesday by the Director of Media, Public Relations and Protocols Unit of NiDCOM, Abdur-Rahman Balogun, the agency advised Nigerian citizens in Lebanon to consider leaving the country or to relocate to safer places over the attacks on Hezbollah and other areas in Lebanon by the Israeli military.

“Reports from the Nigerian community indicate that many citizens have already relocated from southern Lebanon and are now in safer areas,’ Balogun said in the advisory.

“NIDCOM emphasized the importance of staying vigilant and safe until a ceasefire is established.

“Fortunately, there have been no reports of injuries or accidents involving Nigerians thus far. Nigerians are also advised to maintain communication with the Nigerian Embassy in Lebanon for guidance on safety matters.

“The welfare and safety of Nigerians abroad remain a top priority for President Bola Ahmed Tinubu,” he added.

The urgency of the evacuation plans is coming following ballistic missiles launched at Israel by Iran on Tuesday evening in retaliation for the assassination of Hezbollah leaders, firing around 180 rockets.

The missile attacks have prompted threats of attacks by Israel on not only Iran but on Lebanon which has sent foreigners into panic mode.