Editor's Comment

Let’s take advantage of positive ratings


THE latest endorsement in our economy by independent agencies Moody’s Investor Service and Fitch Ratings is confirmation that Zambia is on a positive trajectory.
Moody’s outlook on Zambia has affirmed its B3 rating to stable from negative.
The Standard and Poor’s, on the other hand, last week affirmed Zambia’s rating at B with a stable outlook, an important assessment of our economy.
The ratings are an indicator that potentially, the country has what it takes to improve the economy.
The ratings make the country more attractive for investment and tourism and thereby lead to employment creation.
Investors all over the world are looking for countries where to take their money.
While there are trade shows everywhere, investors will not be swayed by advertisements on international media.
This is the gap that independent rating agencies play in guiding potential investors where to put their money and where it will have returns.
Zambia is one of the countries ideal for foreign direct investment as indicted by Moody’s Investor Service and Fitch Ratings.
The policies Government has put in place to grow the economy are on track and every effort has to be made to sustain them.
Government’s economic reforms are on course and citizens should be proud that independent agencies, which have been around for a long time, have taken note.
Zambia should now use these positive ratings to market itself more to the outside world.
It is encouraging that the country continues to enjoy positive ratings despite criticism of Government policies by the opposition.
That is why Government bonds were on Friday over-subscribed with bids totalling K3.35 billion from the targeted K1.65 billion.
The over-subscription of the bonds is a demonstration of the positive impact of Government’s reform actions.
The development underscores the confidence that the international community has with regards to our economy’s firm fundamentals and, generally, the positive prospects for business and growth.
We have to continue telling the world who we are and our aspirations.
Unlike other countries, who blow their trumpets in the international media, we have the rating agencies on our side.
We have an impeccable story to tell the world because the ratings say so.
Apart from the ratings which endorse our economy, we are politically stable despite the opposition making noise.
For the fact that the opposition has continued to make noise and going to the extent of threatening to sponsor an impeachment motion, it speaks volumes about our democracy.
We are a shining example of democracy in Africa and proudly so.
But beyond democracy, Zambia has to start growing its economy beyond what it is today for the benefit of its citizens.
This country is endowed with natural resources which investors could use to utilise.
Zambia is ready to become a manufacturing and tourism hub.
For now, Government should continue to use the indicators to improve economic performance through measures like reducing the cost of doing business, reducing lending rates, improving regulatory framework and corruption perception index.

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