SME-focused strategy will aid double digit growth, not just external debts restructuring

Zambia’s economic recovery should not be restricted to the foreign debt restructuring as the financial needs of the people are domestic.

This means that the economic needs of the people which are domestic should be addressed as such without tying them to foreign debt restructuring, says Financial Economist, Trevor Hambayi.

“Our two- year debt service relief that is a result of a “default” should act as a platform to utilise available resources to drive economic recovery, as the true agenda we should push for is a double-digit Gross Domestic Product (GDP) growth,” Hambayi said in a statement issued in Lusaka on Tuesday.

Hambayi said local needs included employment creation and poverty reduction as he linked this to driving growth of the country’s Small and Medium Enterprises (SME).

He said the growth of the SME sector could be done through practical approaches and providing critical analytical economic analysis as an alternative to the current tactics.

“The country has created positive sentiments on the international market to attract Foreign Direct Investments (FDI) whose flow has been hindered by the prolonged foreign debt restructuring negotiations.

“In my valued professional engagement as an advocate for local SME growth I have stated categorically that as a country we must drive the growth of our local SME sector that constitutes 96 percent of the private sector,” Hambayi said.

Meanwhile, Hambayi said it was unfortunate that Zambia had continued on a political trajectory even after elections that painted everyone as a cadre.

He said President Hakainde Hichilema had the constitutional prerogative to appoint individuals he believed would support him to deliver the country’s economic agenda.

“When a party is elected into office it becomes a government of the people elected by the people and we all have a collective responsibility to support its success as this represents the direct success of the people.

“The President appoints the individuals he believes will support him to deliver the country’s economic agenda for which everyone will have a say at the next ballot as to their views of the success and/or failure of the government in office at the time. He has the constitutional prerogative,” Hambayi said.

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