Economic Association of Zambia (EAZ) National Secretary Dr. Nicholus Obby Mainza has called for stringent measures in curbing the issue of investors engaging in capital flight which deprives the Country of the required revenue.
Speaking in an exclusive interview with the Zambian Business Times (ZBT) Dr. Mainza said Government must ensure that the investors save their earnings within the Country, in the aspect of growing the economy.
“The business environment in Zambia is very good, and that’s why we are seeing foreign investors coming into the Country, for instance the brick molding is flooded with several foreign investors, but the only weaker point is the allowing these investors to push out their cash in banks outside the country, we must advocate that they push the money in the Zambia banks so that we stabilize the Kwacha against other major convertible currencies, and there will be enough liquidity revolving around the country, instead of them sending the money in their offshore accounts,” he said.
Meanwhile commenting on the latest Zamstats report that indicates that the first quarter of 2024 experienced a reduction of the economic growth of only 2.2 percent compared to the first quarter of 2023 which was at 4.0 percent.
Dr. Mainza said there is a need to increase productivity and enhance the measures surrounding foreign exchange. Mainza also noted the recent appreciation of the Kwacha attributing it to the marketing season which has seen exports of agricultural products and the revamping of the mines.
“The Kwacha is doing better now compared to the previous month, it’s because we are making positives in the mines and agriculture. We have seen the marketing season where farmers are offloading their produce on the market, and the banks are running around and liquidity is at large,” he said.
