Q FM Africa's Modern Radio
Secretary to the Treasury Fredson Yamba says Government is mindful of the need to maintain debt sustainability and in addition, improve upon Zambia’s credit-rating.
Mr Yamba in a statement released to QFM News says in this regard, Government factored the new borrowing in form of the US$1.25 Billion Eurobond issued on 30th July, 2015, into its estimates and came to a credible conclusion that the country is still sustainable by all major debt thresholds.
Fredson Yamba
He adds that the use to which the resources are earmarked will in the near term result in higher growth, thereby increasing the ability to service this and other debt generally.
Mr Yamba adds that in order to ensure proper utilization of the proceeds of the $1.25 Billion Eurobond, the ministry of Finance will work with the implementing ministries in a coordinated manner to ensure value for money through improved implementation of and monitoring of projects.
He further states that the process of establishing a sinking Fund has also reached an advanced stage and will start setting resources aside for this purpose from 2016 onwards.
Government has so far issued three successful Eurobonds amounting to $750 million,$1Billion and $1.25 Billion respectively.