Govt allocates K87 million to set up an infrastructure Fund

Mukuli Chikuba

Government has allocated about 87million Kwacha to set up an infrastructure Fund.

Ministry of Finance Permanent Secretary Mukuli Chikuba says the Infrastructure fund will be used to finance projects with financing from the infrastructure bonds, development banks and private funds such as shares.

Mr. Chikuba was speaking at the Zambia Mission in Pretoria South Africa when he paid a courtesy call on Zambia’s High Commissioner to that country Emmanuel Mwamba.

He says the introduction of the Fund in Zambia is important adding that financing projects such as roads and rails will be easily done without any challenges.

He adds that during their meetings with the Development Bank of South Africa (DBSA) and the Industrial Development Cooperation (IDC), and Landbank, it was agreed that the South African government and Zambia will co-invest in the fund and advised how the infrastructure Fund could be operated.

The signing of Memorandum of Understanding (MOU) regarding the operationalization of the Cooperation is expected to be signed during the state visit of President Jacob Zuma in October 2017.

And Zambia’s High Commissioner to South Africa Emmanuel Mwamba says infrastructure development is key in every developing country as such the move was welcome.

He says the African union and SADC agenda of industrialization will only be realized when Infrastructure such as roads, rail, ports and airports are built.

Mr. Mwamba says about 70% of Zambia’s Foreign Direct Investment comes from South Africa adding that the bilateral relations between the two countries cannot be ignored.

This is contained in a statement issued to QFM News by Zambia’s High Commission to South Africa First Secretary Press and Public Relations Naomi Nyawali.