Q FM Africa's Modern Radio
Government has formally acknowledged that the continued global trade tension poses a risk to Zambia’s 2019 growth prospects.
Ministry of Finance Margaret Mwanakatwe has cited projected rise in crude oil prices due to continued geopolitical tensions and climate change related effects as other downside risks to growth prospects.
Mrs. Mwanakatwe has admitted that maintaining the fiscal deficit, weak credit growth and any failure to address domestic arrears may equally constrain growth.
In a statement to Q-News on the performance of the economy in 2018 and outlook for 2019 Mrs. Mwanakatwe says this is besides delaying implementation of reforms that will support growth.
Mrs. Mwanakatwe states that in 2019 macroeconomic stability is however projected to be sustained.
She says this is will be aided by continued implementation of reforms and policies to support delivery of fiscal consolidation for sustainable and inclusive growth.
Mrs. Mwanakatwe notes that inflation is projected to remain with the medium-term range of 6 to 8 percent.
She says growth of at least 4 percent is projected to be driven by both public and private sector investments and enhanced domestic revenues collection.
Mrs. Mwanakatwe states that government thus stands on firm grounds in its belief that Zambia’s prospects are bright.
She says it is, on the other hand, important that all stakeholders commit the legal reforms and the measures outlined in the economic stabilization and growth programme.