Kantanshi lawmaker, Mumba, faults govt plan to stop use of dollar for local transactions

Kantanshi Member of Parliament, Anthony Mumba, has criticised the United Party for National Development (UPND) for considering dedollarisation, urging the government to focus instead on reducing the cost of living and addressing load shedding.

Mumba questioned why the UPND, which had previously criticised the Patriotic Front (PF) administration for similar efforts, was now discussing dedollarisstion.

“Dedollarisation is currently under consultation by the Bank of Zambia. This means if implemented, it will lead to no transactions in dollars,” Mumba said, noting that the PF’s attempt in 2013 through SI 33 and SI 55 led to significant depreciation of the Kwacha against the dollar.

Read more:Institute of Policy Analysis outlines measures for domestic resource mobilisation

In a statement on Saturday, Mumba stressed that strengthening the Kwacha requires increased production and the banking of mineral proceeds with the Bank of Zambia.

He argued that this approach would provide medium to long-term gains for the Kwacha, rather than relying on “trial and error” policies.

“Look at our statutory reserve ratios and our failure to create appetite for the private sector to subscribe to the bond market,” Mumba noted.

He urged the government to prioritise resolving issues such as load shedding, the high cost of living, job creation, and the development of road and housing infrastructure.

WARNING! All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express permission from ZAMBIA MONITOR.