The Saudi Arabian government has halted the much talked about 20 million US dollars oil deal to Zambia due to unstable political and economic environment.
Saudi Aramco, the world’s largest oil company cannot give Zambia the 20 million dollars loan because there is no guarantee that money will be repaid due unstable political environment, Saudi sources have disclosed.
Energy Minister David Mabumba failed to clearly explain to journalists when asked how far the deal meant to reduce local fuel pump prices has reached.
Mabumba said Zambia has not yet secured the loan because the guarantee has not been given by the Bank of Zambia and Ministry of Finance.
During Campaign last year Edgar Lungu lied to the people when he said the Saudi Arabian government through the Saudi Fund for National Development has offered a 20 million US dollars revolving fund to supply cheaper oil to Zambia and reduce domestic fuel prices for the next five years.
The truth is that Lungu instead asked the Saudi Arabian lend the PF regime 20 million US dollars.
Below: which sane government would risk its money in a country with such war images ?