‘Infrastructure oxygen of development’

INFRASTRUCTURE development is a key factor in any economic development of any country, University of Zambia (UNZA) Vice Chancellor Luke Mumba has said.

Professor Mumba said infrastructure development was a major source of concern for countries all over the world. He was speaking when he officially opened the development and investment in infrastructure conference as a buildup on to the Economic Association Zambia (EAZ) summit starting today in Livingstone.

Infrastructure had a significant impact on economic growth.

Prof Mumba said it was for this reason that at the African Union level there was a programme dedicated solely to infrastructure development called (PIDA), which was being rolled out from the continental level to the sub-regional economic communities and national level.

He said that PIDA had a total of 405 selected projects around Africa in energy (54), ICT (112), transport (230) and water (nine).

The role of public infrastructure in economic growth had been a subject of discussion in economic circles. Prof Mumba said there were arguments that the development of African economies to their full potential could never be attained without adequate public infrastructure investment.

The sure way of doing this was through enhanced investment spending.

“Much of the debate on ways to spur growth, reduce poverty and achieve other sustainable development goals (SDGS) is centered on the need to promote large increases in public infrastructure investment,” he said.

“Infrastructure development cuts across almost all sectors of our economies. It has to do with the well-being of society and human welfare, which are related to health, education, sport, the environment, tourism and developmental facilities for youth and women.”

Prof Mumba said it had been estimated by the World Economic Forum that every dollar spent on capital projects - in utilities, energy, transport, waste management, flood, defence or telecommunications - generated an economic return of five to 25 percent.

“The challenge we have today, however, is how to navigate the onerous requirements under the PPP Act in order to replicate this success in other initiatives which would include student accommodation.

“In saying this, I believe I am speaking on behalf of many other public sector managers here who may be seeking private sector participation in their initiatives,” Prof Mumba said.