New Heritage Party Leader Chishala Kateka has expressed concern about government’s reliance on the International Monetary Fund –IMF’s- extended credit facility without a defined roadmap for debt repayment.
During the Monetary Policy Rate presentation, Bank of Zambia Governor Denny Kalyalya disclosed that despite the pressures, the central bank reported a modest increase in gross international reserves, rising from US$2.7 Billion covering 2.9 months of import at the end of June to US$2.9 billion equivalent to 3.2 months of import cover by the end of September, attributed to the second disbursement under the IMF extended credit facility and other factors.
Ms Kateka says it is dangerous to anchor the country’s economic growth solely on IMF support without a clear plan to manage debt obligations and worries about the country’s heavy reliance on the IMF-supported program to bolster international reserves.
She has pointed out that despite the significant debt burden inherited by the current régime; government had not adequately managed the debt issue to facilitate a rapid economic recovery.
Ms Kateka has since intensified calls for the formulation of a comprehensive debt management policy roadmap that ensures accountability and garners support from all citizens.