Rising interest payment sign govt has failed – EAZ

The Economics Association of Zambia (EAZ) says the rising interest payment being made on foreign debt is a sign that government has failed to control expenditure.

EAZ president Chrispin Mphuka says his association is also concerned that interest payments are getting a larger chunk of the national budget.

Dr. Mphuka says the EAZ however, welcomes the austerity measures announced by government recently.

In an interview with QTV News, Dr. Mphuka says it is critical that government implements these measures in order to slowdown debt contraction and government expenditure.

He adds that the EAZ is also of the view that the rates of income tax are comparatively high enough for government to make any further upward adjustment.