M’MEMBE PROPOSES ALTERNATIVE SOLUTIONS FOR ZAMBIA AFTER U.S AID FREEZE

M’MEMBE PROPOSES ALTERNATIVE SOLUTIONS FOR ZAMBIA AFTER U.S AID FREEZE

….as he urges President Hichilema to rethink mining policies

Petauke… Thursday January 30, 2025

Socialist Party (SP) President Dr Fred M’membe has proposed alternative solutions for Zambia following the decision by the United States of America to freeze aid to poor countries worldwide, including Zambia.

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A few days after the Trump administration announced a freeze of foreign aid, the Swiss government also announced cuts on foreign aid to Albania, Bangladesh, and Zambia.

Dr M’membe observed that the decisions taken by the Trump administration and the Swiss government will greatly impact bilateral and economic cooperation between these governments and the affected countries such as Zambia.

He said the broad cuts or end to bilateral development programmes will create a huge fiscal gap in the economy, eventually triggering serious problems for the people.

Dr M’membe stated that the Trump administration and the Swiss government are responsible for their own citizens, and how they choose to spend their taxpayers’ money is entirely up to them.

The SP President added that Zambia and other donor-dependent countries have no claim to their peoples’ money or resources.

He advised that Zambia should focus on taxation of its mines to navigate this abrupt change of course by the US and Swiss governments.

Dr M’membe emphasised the need for fair taxes from minerals and criticised the rush to give away minerals to foreign transnational mining corporations.

He highlighted the potential benefits of proper taxation, including employment opportunities and improved infrastructure.

Dr M’membe urged President Hakainde Hichilema and his government to revisit mining concessions and tax waivers to improve dollar inflows to the treasury and the economy.

“All these mining firms like Anglo American, Anglovaal, Glencore, Vendanta and other mining corporations are interested in our minerals because there are huge profits to be made now and in the future,” Dr M’membe stated.

“Yet when we advise Mr Hichilema and his league to revisit the mining concessions and tax waivers to improve dollar inflows to the treasury, and the economy at large, they never take advice or act on it. They know it all. But here is the reality: US$2 billion of tax waivers per annum can employ 3 million farm workers. This is the reality on the issue of tax incentives.”

He stressed that solutions to Zambia’s problems lie within the framework and borders of the country and called on President Hakainde Hichilema to act on these solutions with immediacy.