by Mukosha Funga on 22 Sep 2018by Sipilisiwe Ncube on 21 Sep 2018by Zondiwe Mbewe on 21 Sep 2018by Mirriam Chabala on 21 Sep 2018
- Goal Diggers
by Stuart Lisulo on 20 Sep 2018by Zondiwe Mbewe on 17 Sep 2018by Mirriam Chabala on 17 Sep 2018by Stuart Lisulo on 15 Sep 2018
by Zondiwe Mbewe on 22 Sep 2018by Zondiwe Mbewe on 21 Sep 2018by Zondiwe Mbewe on 21 Sep 2018by Zondiwe Mbewe on 21 Sep 2018
- Editor's Choice
by WECREATE I ZAMBIA on 13 Sep 2018by Mukubesa Mundia on 27 Jul 2018by Percy Chanda, UPND on 15 Jun 2018by Elias Munshya on 11 Jun 2018
by Diggers Editor on 22 Sep 2018by Diggers Editor on 21 Sep 2018by Diggers Editor on 20 Sep 2018by Diggers Editor on 18 Sep 2018
by Sampa Kabwela on 8 Sep 2018by Mirriam Chabala on 2 Sep 2018by Abraham Kalito on 5 Aug 2018by Abraham Kalito on 3 Aug 2018
- Guest Diggers
by Dr Chisoni Mumba on 21 Sep 2018by Dr Felix Masiye and Dr Bona Chitah on 18 Sep 2018by Chibamba Kanyama on 17 Sep 2018by Sishuwa Sishuwa on 8 Sep 2018
Govt demanded removal of IMF representative, sources revealBy Joseph Mwenda on 27 Aug 2018
The withdrawal of the International Monetary Fund (IMF) representative from Zambia may attract consequences, well placed sources have told News Diggers!
In July, the IMF revealed that talks on Zambia’s economic bailout package, widely expected to be around US $1.3 billion, had been suspended owing to concerns surrounding the country’s debt sustainability.
Speaking during a press briefing from the Fund’s head office in Washington D.C. on July 12, IMF communications director Gerry Rice disclosed that the Fund had suspended discussions on a possible economic bailout programme because the Zambian government’s borrowing plans had compromised the country’s debt sustainability, which in-turn, would undermine Zambia’s macroeconomic stability.
Sources have revealed that since the negotiations for the said bailout package stalled, Zambia started mounting pressure on the multinational lender to withdraw it’s country representative Alfredo Baldini, on claims that he had been acting unprofessional.
Last week, the IMF gave in to the government’s demand to withdraw Baldini, whose tour of duty in Zambia has not yet come to an end.
Economist Chibamba Kanyama, in a tweet which he later withdraw, expressed fear that the IMF may not send a replacement immediately.
“IMF has withdrawn its representative in Zambia, Alfredo Baldini and does not plan to have a replacement any time soon. This happened to Ethiopia and Zimbabwe but under rare circumstances. What message is IMF sending because the resident representative is not here for bailout program only?” twitted Kanyama.
And Kanyama added that Eurobond owners could as well forget about a bailout package from the IMF to Zambia, saying there was no hope left.
“I pity the Eurobond holders who still believe that IMF programme for Zambia is still on. This level of optimism is like that of helpless congregants who still believe their bishop will come back from the morgue,” he stated.
Chief Government Spokesperson Dora Siliya argued that Baldini’s replacement will be in the country soon.
“The IMF is in Zambia for various programmes and is not leaving. However, Mr Alfredo Baldini is leaving Zambia. His replacement will be here soon. [Finance Minister] Honourable Margaret Mwanakatwe will issue a detailed statement over the weekend,” twitted Siliya.
A source told News Diggers that the recall of Baldini may come with consequences.
“It is a fact that IMF has withdrawn its representative Alfredo Baldini earlier than it was supposed to and there will be consequences to that effect. Government itself necessitated the recall and they know it. What they are not saying is that they demanded for the withdrawal of Baldini; they claimed that he was unprofessional” revealed the source.
“I can tell you that Chibamba [Kanyama] was right on this one and his fear should be shared by government as well. It is highly unlikely that IMF is going to send a replacement any time soon. The truth of the matter is that Baldini was forthright with the line ministry and he was bold in pointing out government’s lack of debt sustainability plans and continued borroing which were affecting the balance of payment. This is what was frustrating the government.”
The sources added that the withdrawal of Baldini would further add stress to the Eurobond owners who were hoping for a facility from the IMF.
“This simply aggravate the fears on the international lending market, including the Eurobond owners who were hoping that the IMF would close a bail out deal. This may further affect Zambia’s credit rating and pose doubts among foreign investors. It’s not a good sign for Zambia and there will be several consequences for this,” said the sources.
About Joseph Mwenda
Joseph Mwenda is a Zambian journalist experienced in political news writing, photography and video editing.
Email: joseph [at] diggers [dot] news
- Lungu fires Minister Kabanshi after UKAid theft exposé - 19 Sep 2018
- UK confirms freezing of aid to Zambia; we don’t tolerate fraud, corruption – Fergus - 18 Sep 2018
- Chipimo sounds alarm of systematic corruption in UNZA land scam - 17 Sep 2018
- Africa Confidential reveals more corruption, suspension of donor aid - 14 Sep 2018
- LAZ suspends UPND lawyer Martha Mushipe - 7 Sep 2018
Subscribe for email alerts
Weekly Most Digged
ArchivesOct0 PostsNov0 PostsDec0 Posts
- September 2018
- August 2018
- July 2018
- June 2018
- May 2018
- April 2018
- March 2018
- February 2018
- January 2018
- December 2017
- November 2017
- October 2017
- September 2017
- August 2017
- July 2017
- June 2017
- May 2017
- April 2017
- March 2017
- February 2017
- January 2017
- December 2016
- November 2016
- October 2016
The News Diggers
Deputy News Editor
Plot No. Lus/9812/649-MC8
off Alex Chola Road
P.O. Box 32147
Telephone or WhatsApp:
+26-097-7708285, 095-3424603, 096-5815078
diggers [at] diggers [dot] news
editor [at] diggers [dot] news
Send this to a friend