By NKOLE CHITALA
THE Zambia Development Agency (ZDA) says the privatisation revenue account which is held at the Ministry of Finance is sufficiently funded to support the creation of the Industrial Development Corporation (IDC).
ZDA director for investments Florence Mumba, however, could not give more details on the fund as it is managed and controlled by the Ministry of Finance.
“That account is at the Ministry of Finance. As ZDA, we do not control it. Whatever money we raise from privatisation is channelled directly to the fund,” she said.
Mrs Mumba was speaking in an interview in Lusaka yesterday.
On Monday this week, Minister of Finance Alexander Chikwanda told a press briefing that Government would fund the creation of IDC from the privatisation revenue account.
“There is no problem funding the IDC. We have significant amounts of money in the privatisation revenue account.
The money is readily available. We can’t disclose to the public now how much resources are there but once all the processes are done, we will put in as much as we can,” he said.
He further said dividends from IDC are expected to be paid in a sovereign account that will be supported by statutes of Parliament.
Recently, President Michael Sata announced plans to create IDC, which will be a tool for the modernisation and diversification of the economy in order to create jobs, wealth and prosperity for the Zambian people.
The President said through the IDC, Government will maximise the value of Government assets by establishing a sovereign wealth fund which will focus on stimulating investment in strategic non-mining industries among others, thereby expanding the country’s investment portfolio and thus creating jobs.
The establishment of the IDC will also boost the contribution of State-owned enterprises to national development by placing them under one umbrella holding entity to deepen their reform, enhance efficiency and maximise returns.
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