GOVERNMENT’s renewed commitment to strengthening governance and implementing reforms has attracted the pockets of the European Union (EU) who have resumed budget support to Zambia with a first disbursement of 20 million Euros.
EU Ambassador to Zambia, Karolina Stasiak, announced the resumption of budget support during a press conference today.
“A decade ago, the European Union had to withdraw its budget support from Zambia.
However, in 2021, with the appointment of a new Cabinet, we witnessed a renewed commitment to ambitious reforms towards strengthening governance and guiding Zambia
back onto economic recovery and social development,” Stasiak stated.
“The past few years have been particularly challenging for Zambia, with a series of crises,
including the COVID-19 pandemic, a debt default, a cholera epidemic, and drought, which
has led to a severe economic crisis. The Government has not been spared and in spite of these considerable challenges, it has
remained steadfast in its efforts to strengthen governance, restore macroeconomic stability
and promote higher, more resilient, and inclusive growth.”
Stasiak hopes the first disbursement of €20 million budget support will provide some breathing space for Government and help it mitigate the impact of the economic crisis on most vulnerable Zambians.
The ambassador further clarified that the EU budget support is not a loan but a grant that will be directly transferred to the Zambian National Treasury.
She also highlighted the importance of a strong policy dialogue between the EU and the Zambian government to ensure effective implementation of the budget support programme.
Minister of Finance and National Planning Situmbeko Musokotwane said the signing ceremony was not just a symbolic act but a “concrete manifestation of our commitment to
building a stronger, more prosperous Zambia.”
Dr Musokotwane said Government was confident that through the renewed partnership between the European Union and Zambia, it can create a future where every Zambian has access to quality education, affordable healthcare, and the benefits of a sound public financial management system.
Picture by EU media
By Moses Makwaya
Kalemba October 1, 2024
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