Summary of Indaba report

The government was quick to declare the indaba that was held at the beginning of April in Lusaka a success. We pointed out that the only way to judge the success of the indaba was to first of all have a record of the proceedings, recommendations and timelines. Armed with this information, Zambians and other interested parties can then make an informed judgement. The suggestion at the time was that a website could be set up where discussions on the issues raised at the Indaba could be discussed.

The ZANIS is reporting that a full report of the Indaba has now been presented to the President. They have been kind enough to provide a summary of the report.

The report has recommended that government should expedite the introduction of discount window to enhance liquidity in the market in order to ensure short-term liquidity is available to the banks and economy at large. The report further recommend that the ministry of finance, in close collaboration with the Bank of Zambia (BOZ), should facilitate provision of the necessary financial support to efforts aimed the development of the economy.It also urged government to enhance support to small and medium scale industries and women entrepreneurs through facilitation of access to finance, provision of tax incentives and removal of discriminatory legislation.The report further urges government to pay off arrears to suppliers of goods and services within three months.It said government should re-examine the corporate tax rates in order to level the playing field in the financial markets and enact appropriate legislation to provide for the functioning of the Credit Reference Bureau.On Agriculture, it has recommended for establishment of a Livestock Bank and re-opening of the co-operative bank, to streamline and enhance access top land and processing of title deeds.It further recommended that government should embark on livestock restocking, compulsory dipping and effect more investment in livestock vaccine research and the promotion of the Public Private Partnership (PPP) in farm block development.On Tourism, the report has recommended for the review of the Tourism and Hospitality Act and Zero rating Value Added Tax (VAT) on tour packages for domestic tourists.It also recommended for the implementation of the Open Sky Policy and the review of the landing and parking fees and the simplification of licensing procedures by introducing a one stop tourism licensing centre.On mining, the report said government should consider the restoration and review of the Mining Development Agreement .It said urged government to consider a power tariff freeze and a custom duty waiver on raw materials and formulation of policies that support local entrepreneur entry into the mining industry.‘Government should set up a task force to review the entire mining industry in the light of the global economic meltdown,’ it added.And the report has urged government to develop an Energy Strategic Master Plan (ESMP) for the electricity sector that allows for better linkages with other sectors.It said government should provide guarantees so as to facilitate access to finance thereby encouraging easier entry of the private sector and the introduction of cost reflective electricity tariff levels.Meanwhile, the report has recommended that the National Road Fund Agency (NRFA) and the Road Development Agency (RDA) be merged.It said government should establish a ministry that would coordinate all infrastructure development programmes to be named Ministry of Works and Infrastructure and establish an effective and comprehensive infrastructure performance monitoring and evaluation system.Other recommendations on infrastructure are that government should develop an integrated National Infrastructure Development Master Plan and set up infrastructure Development Fund.

ZANIS

If this is indeed an accurate summary of the report then the Indaba can not be judged to have been a success! However, I shall give the organizers the benefit of doubt and wait to read the full report.

The PANEL