PF CABINET SURRENDERS TO IMF LOAN CONDITIONS, TO START AUSTERITY MEASURES SOON
Sources in the Ministry of Finance and Bank of Zambia have informed the Zambian Watchdog that President Lungu and his Cabinet have resolved that Zambia should voluntary be put on an IMF programme.
The PF plan to use the IMF on the coming austerity measures which will include cutting the salaries of civil servants, restructuring of grant aided institutions mostly through merging them and retrenching excess staff, removing subsidies on fuel and electricity and many other tightening the belt type of measures.
A team of technocrats has been in Washington DC the last two weeks and the deal is waiting for the Minister’s signature. Minister of Finance Bwalya Ng’andu will fly to Washington anytime from now to go sign the deal.
But this deal doesn’t come with money immediately, our sources explain.
The money can only be released after the agreed criteria are meet mostly like after 18 months around early August 2021. Our sources also indicated that the money is unlikely to be released during the height of campaigns meaning the loan is likely to be come in September 2021.