Lusaka ~ Fri, 27 Nov 2020
By Brightwell Chabusha
Economics Association of Zambia (EAZ) president Lubinda Haabazoka says the move by Zambia to default on its debt repayments is part of the debt restructuring process.
He said it is because of this that the local currency hasn’t gone berserk.
Dr Haabazoka has said even the international markets understand that it is part of debt restructuring because the country had engaged an international firm to help in restructuring.
“The international market understand that this is part of the debt restructuring process and that is why the kwacha has not gone berserk,” he said.
Dr Haabazoka said the country could have easily paid off the $43 million debt stock without trouble because it has $1.3 billion in reserve.
Meanwhile, Dr Habaazoka has expressed concern that some citizens are coniving with international forces on what he terms “evil” to paint the country bad.
11 Comments
adviser
Sycophants will not get it Habazoka when you remind them that the country has $1.3 billion in reserves and therefore, how can it fail to pay $43 million – even their leaders.
Next King
So why have we defaulted and are now even seeking debt relief. Only fools believe the story of reserves blah blah.
PF is at the Bank of Zambia everyday looking for any crumbs to cleanout…
Frank Chombela
This is Habazoka’s own speculation. He doesn’t speak for government. Let the government speak for itself.
Arm chair coach
No Haba-whatever. Debt default is failure to pay agreed instalments to creditors. There’s no honour in this!
Nelson Tembo
Come on ! how does that explanation help We hv lost 70% value wise, Commodities hv tripled Big Mess still counting The cost for voting P F
HH forward
KANINDA
I AM EXTREMELY DISAPPOINTED BY Economics Association of Zambia (EAZ) president Lubinda Haabazoka ….DEFAULT MEANS FAILURE TO MEET YOUR FINANCIAL OBLIGATION. SECONDLY IT MEANS ZAMBIA’S CREDIT RATING HAS TO DROP, IT MEANS CROSS DEFAULT ON OTHER DEBT ONLIGATION – HOW CAN SOMEONE OF YOUR CALLIBRE LIES TO ZAMBIANS – SHAMLESS PRESIDENT
ShiBwalya
Yes, I agree with Lubinda. Many people not only in Zambia fail to grasp long-term view. Zambia is being a pioneer in the new debate on debts restructuring. The creditors and debtors must start talking to each other so that they can find a common ground. Because these two parties need each other. And in a new world where you’ve China also looking for resources, the West has to moderate its way of bullying defaulters, less they find themselves without raw materials. Zambia is prepared to talk, so opening the debate is not a bad idea.
And those who are paintming the word “default” s
hould be reminded that today even rich and big countries can default. Take Kuwait and China for instance. I can go on…
New generation
Have you seriousllly already forgotten Hippic call nditions we had to go thru
Frank Chombela
How do u restructure debt which u hv failed to service? Habazoka’s talking nonsense here. And he’s under-estimating the damage that the default will cause. And who will help u restructure as if u owe the debt to an affiliated party? You owe independent parties who can choose not to cooperate.
George Mainza
In the bible there is a chapter which says, God’s People Perish Just becouse of lucky of knowrage, bakalulu baletulila amasuku pamitwe,ifwe tuli tondolo!!!bushe kapatulula kamitundu a kalenga tuleculefi ? umubemba alesonta umu tonga, umu tonga alesonta uwaku chipata, naena uwa ku chipata, alesonta umulozi, bushe nikwisa tuleya bamuninane? natubombele capamo bonse tuli bamo muli Yesu Kristo.
Weeds
I agree with you