Zambia needs effective economic policies

Lubasenshi Member of Parliament has attributed the high cost of living in Zambia to the lack of effective economic policies.
Lubasenshi Member of Parliament has attributed the high cost of living in Zambia to the lack of effective economic policies.
He said that abrupt decisions such as the removal of fuel subsidies has had a ripple effect on other areas of peoples’ lives.
Patrick Mucheleka, said that the increase of fuel subsidies has affected all other areas because the sales people for fuel also want to make money from their businesses.
So whenever there was a reduction on the price of fuel subsidies there was an increase in the price of other products countrywide.
He also added that with the many projects that have popped up where will the money to fulfill the projects come from and that these are some of the contributors to budget overrun.
He said that the country may end up in short term borrowing, internal and external but this borrowing comes at a price because the lenders of the money want to make sure that they will get their money back which will lead Zambia into another debt crisis.
Mucheleka also challenged the government to explain what the proceeds from the subsidies will be used for to help people understand the transformation going on.
He said that to help in make the lives of Zambians better some of this money can be used in the 2014 budget to allocate funds to areas such as agriculture which was this year allocated six(6) percent but should be  have 10% funds.
If this is done it will encourage many people in the agriculture sector, which is most of rural Zambia.