Economy

Policy centre wants govt to increase CDF emergency response allocation

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The Centre for Trade Policy and Development (CTPD) has called on the government to reassess and increase the emergency response allocation within the Constituency Development Funds (CDF).

CTPD Head of Advocacy and Campaigns, Natalie Kaunda, said this recommendation stemmed from the need to adequately address unforeseen crises, such as the recent unprecedented drought, which has severely impacted the nation.

Kaunda said the significant gains achieved through the CDF may be undermined by the changing economic context.

In a statement issued on Thursday in Lusaka, Kaunda noted that recent government strategies to address vulnerabilities, such as increased social support packs for households, had proven inadequate.

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“The CDF remains a viable channel to drive local development and support communities during crises. Therefore, deliberate measures to enhance the disaster contingency allocation within the CDF are crucial,” she said.

Kaunda pointed out that the current CDF guidelines allocate only five percent for disaster contingencies, which is insufficient given the scale of recent challenges.

She stressed that the socio-economic reforms undertaken by the government add to the uncertainty, necessitating a re-evaluation of this allocation.

Kaunda also mentioned that Zambia was implementing its Eighth National Development Plan (8NDP), which focuses on socio-economic transformation for improved livelihoods through an integrated, multisectoral approach.

She stated that a review of the 2023 Annual Progress Report (APR) by CTPD highlighted the government’s commendable efforts in prioritising decentralisation by devolving eight functions to local authorities.

“This has been supported by appropriate budgetary allocations to the CDF in 2022 and 2023, demonstrating the government’s commitment to reducing poverty and combating inequalities. However, despite these positive steps, CTPD is concerned that the significant gains achieved through the CDF may be undermined by the changing economic context,” Kaunda concluded.

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