Indaba report Summary

The following is a summary of the Indaba report that has since been presented to the president. The report has recommended that government:

1.     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.

2.     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.

3.     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.

4.     Government to pay off arrears to suppliers of goods and services within three months.

5.     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.

6.     Should establish a Livestock Bank and re-opening of the co-operative bank, to streamline and enhance access top land and processing of title deeds.

7.     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.

8.     Review of the Tourism and Hospitality Act and Zero rating Value Added Tax (VAT) on tour packages for domestic tourists.

9.     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.

10.   Should consider the restoration and review of the Mining Development Agreement .

11.   Should 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.

12.   Should set up a task force to review the entire mining industry in the light of the global economic meltdown,’ it added.

13.   Develop an Energy Strategic Master Plan (ESMP) for the electricity sector that allows for better linkages with other sectors.

14.   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.

15.   Recommended that the National Road Fund Agency (NRFA) and the Road Development Agency (RDA) be merged.

16.   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.

17.   Other recommendations on infrastructure are that government should develop an integrated National Infrastructure Development Master Plan and set up infrastructure Development Fund.