Page 53 - Msingi Afrika Magazine Issue 17

Innovate Afrika

ernment had no intention of paying

image: former this particular debt but as Zambia
president, stood alone on that front at the
Edgar Chagwa time, it was a war that could not be
won. There is now an increasing call
Lungu greeting for the renunciation of Africa`s debt
Chinese civil in a campaign being led by Ghana.
engineers
Times are hard in Zambia. There is
very high unemployment, increased
since the Covid-19 pandemic,
inflation is soaring, food , fuel and
of Zambian copper were increased very old friend, China. His election electricity have gone up and millions
from little over 6% to 20% in 2015. win caused an explosively jubilant of Zambians are struggling. Food
Zambia is Africa`s second largest response from the anti-China fac- prices have risen by 33% in the last
copper exporter, the largest being tion in Washington. 12 months.
the Democratic Republic of Congo.
Despite the ups and downs of the In his inaugural speech, President The government under Edgar Lun-
selling price of copper, Glencore Hichilema promised : “We will gu has focussed on much needed
Xstrata continues as one of the foster a better democracy… rule of infrastructure. Working with China,
world`s largest commodities traders. law, restoring order, respecting hu- the friend of Zambia since 1964.
It is an Ango-Swiss MNC which is man rights, liberties and freedoms.” The country has seen an infrastruc-
registered in the British off -shore President Biden`s government has ture build that rivals anything in
tax haven of Jersey. While Zambia applauded Hichilema`s win as” the SADC region ( Southern Africa
continues to be one of the poorest a tribute to the democratic ide- Development Community).
countries in the world and the ma- als upon which the country was
jority of Zambians continue to live founded and an inspiration for the During Lungu`s administration,ac-
in poverty. democratic aspirations of people tivists from the Zambian opposition
around the world. party were always vocal in spreading
In 2011 Glencore was accused by anti-China propaganda, protesting
a number of ngo`s of crooked President Hichilema, it appears will against China`s `debt trap` and
accounting and financial manipula- be returning Zambia to the neo-co- demanding President Edgar Lun-
tion in a tax avoidance scheme that lonial fold of the IMF and its `rules gu #sayno2China. They claim that
resulted in loss of revenue to the based order` of so-called human Zambia is so indebted to China that
Zambian government to the tune of rights and democratic values which China effectively owns Zambia,
hundreds of millions of dollars. comes as a package that gives ex- hence the activists new name for
This scandal was covered in a docu- pansive IMF loans that always have Zambia- `Chambia`.
mentary by Christoffer Guldbrand- strings attached and intended for
sen,which delves into illicit financial soft infrastructure only. In return,
outflow from Africa`s resources and recipient countries must produce
in particular the case of Zambian a relaxed investment climate ( a
copper. The documentary is called liberalized economy) that favours
`Stealing Africa` and is as pertinant multi national corporations and their
today as when it was made in 2012. shareholders over national develop-
ment of the physical economy i.e
In 2015, Hakainde Hichilema hard infrastructure.
promised to reverse the mining tax
in favour of the corporations and Debt and China
foreign investors. Unfortunately, it
seems that Hichilema will now be in Zambia was the first African coun-
a position to implement his policies. try to default on its debt to the IMF
It remains to be seen if he will go as post COVID-19. The debt was in
far as to turn Zambia away from a Eurobonds. Perhaps Lungu`s gov-
image: former President Michael Sata and his Vice
president Guy Scott: mwebantu.news
WWW.MSINGIAFRIKAMAGAZINE.COM ISSUE 17 | NOVEMBER 2021 53