Govt seeks World Bank support for IMF meeting

GOVERNMENT has requested for advisory support from the World Bank to ensure that Zambia gets a positive outcome from the upcoming virtual consultative and information exchange mission with the International Monetary Fund (IMF).

And the Ministry of Finance has finanalised the procurement process for financial and legal services to assist in the liability management exercise of the country’s external debt.

Finance Minister, Bwalya Ng’andu, has appealed to the World Bank Vice President for the African Region, Hafez Ghanem, for advisory support of Zambia’s preparations for the virtual consultative and information exchange mission with the IMF to ensure that the country gets the best possible outcome and sets on a solid progressive trajectory, thereafter.

Dr Ng’andu said this recently when he held virtual talks with Dr Ghanem.

“Debt sustainability as an issue is the backbone of what has dictated previous and current engagements with the IMF,” the Minister said in a statement.

The two discussed Zambia’s macro-economic environment, fiscal health, liability management, public debt sustainability, future cooperation including possible budget support, and other matters relating to collaboration between the Bank and Government.

Dr Ng’andu underscored the self-motivated fiscal restraint and austerity measures as a good basis for discussions during the upcoming and future engagements with the Fund.

He expressed confidence that the efforts made by the Government, among others, will be acknowledged by the IMF as a sincere prudent effort towards fiscal health and sustainability.

The Minister also said

Zambia has now finalised the procurement process for financial and legal services to assist in the liability management exercise of the country’s external debt.

Dr Ng’andu affirmed that a public announcement will be made this week once all the tender and contractual arrangements have been finalized.

“The advisors will work with the Government in the liability management exercise to ensure that the country attains debt sustainability in the short medium to long term,” he said.

In response, Dr Ghanem, indicated that a progressive outcome of the country’s consultative and information exchange engagement with the IMF will be launch-pad for Bank’s budget support.

He said the World Bank will extend budget support to Zambia once the country gets on a programme path with the IMF.