EDGAR FACES TOUGH ECONOMIC REALITIES
By Bruce Chooma THE biggest test for Edgar Lungu’s presidency is how he will manage the economy. The Zambian economy has suffered not only from political uncertainty but also from policy inconsistency. His decision to retain Alexander Chikwanda is an indication of continuity on the same path of economic management. Zambia’s economy has continued to grow in a broad sense. Finance Minister Alexander Chikwanda in his end of year statement for 2014 stated that preliminary real GDP growth of 6 percent was recorded in 2014 making Zambia the seventh and tenth fastest growing economy in sub-Saharan Africa and the world. The truth he forgot to mention was that the 2014 growth rate was lower than the target government had set. In addition to that the inflation target was also missed despite falling oil prices on the international market. Zambia would have attained a higher growth in GDP had it not been for policy inconsistency. It is desirable to have continued growth in the economy b...