Social Economist Kelvin Chisanga says Zambia’s first review of the $1.3 billion extended credit facility from the International Monetary Fund will have an immediate positive impact on the local economy through reduced cost of living, Kwacha appreciation and inflow of investors.
On Wednesday this week, the IMF announced that it has concluded its first review of Zambia’s $1.3 billion extended credit facility of which the fund’s executive board has given the country $189 million.
Commenting on this development, Mr. Chisanga notes that Zambia’s debt that was accrued has caused serious damage to key fundamentals of the economy but that this move by the IMF will assist in supporting the country’s home-grown economic solutions, create jobs, stabilize the exchange rate and reduce poverty levels.
Mr Chisanga who is also consultant for I-Netcom Business Solution Zambia Limited, has advised government to continue committing to the conditions of the IMF in order to help in unlocking the key economic activities which will bring long term benefits to the country.
He tells Phoenix News that the bailout is also an opportunity for the country to look into measures that will sustain its economic growth to avoid future debt traps.
Credit -PHOENIX NEWS