Zambia Weekly

Week 24, Volume 3, Issue 22, 15 June 2012

Theft at RB’s house:

In this issue Maybe there are 2 Thandiwes?

1

Minister apologises for fuel shortage

2

DBZ u-turns on notice of discontinuation

2

Quotes

2

Maybe there are 2 Thandiwes? This week we learned that USD36,000 had gone mysteriously missing at the house of former President Rupiah Banda. Quoting “family sources”, the Post revealed that Banda had lost the money from his bedroom, overnight, while sleeping. Banda had then sent another family member off to report the theft to police in Woodlands, but “highly placed police sources” suggested that the case had been withdrawn, apparently under pressure from Banda’s son, Andrew, who recently was arrested.

Sata in Europe: An acute sense of humour? 3 Lubinda to jump again - with Langworthy

3

UPND and its many threats

4

A whole family involved in maize theft

4

Rwandan genocide fugitives in Zambia

6

Sweden resumes health funding

6

By-election nominations - with twists

7

ZESCO short of 145 MW in June

7

Lions on the loose

7

Arsonists torch 22 Zambia Sugar fields

8

Stanbic offers lowest lending rate

8

Lusaka Stock Exchange

8

Opinions

9

Sata sues.. but cannot be sued back

9

Executive jobs

10

Phew... they beat Ghana!

11

Ben Mwila’s son dies

11

Editor’s note 1 The government has just banned dollarization of the economy, apparently in an aim to stabilise the Kwacha. Yet, many commentators have pointed out that the Kwacha is sliding due to a wealth of other reasons, many of which are linked to inconsistencies in the new government’s actions (and statements). The economy has become dollarized for a reason, simply because the Dollar, contrary to the Kwacha, is stable. There will come a day, when the Kwacha can hold its own against the Dollar, and then dollarization will disappear – all of its own account. However, this will only happen with (even) greater macroeconomic and political stability. Not by forcing Kwacha down peoples’ throats. It may work in the short term, but eventually people will find ways of circumventing the system.

Editor’s note 2 President Sata has just delivered a speech at the 101st session of the International Labour Conference (see page 3). According to the media, Sata strolled “majestically” (Daily Mail) into the assembly hall, where he gave a “moving” (Times of Zambia) speech. Free media?

Andrew denied any knowledge of the case, explaining that his father had not mentioned anything about money going missing. Banda then issued a statement, saying that “such kind of money” had never gone missing from his house “in recent times”, calling the story “a total fabrication”: “How ironic it is to have the case reported at Woodlands Police Station without the knowledge of the president’s bodyguards and indeed the VIP protection unit stationed at his house!” read the statement. Banda demanded an apology and retraction of the story. The next day, however, the Post, again quoting “family sources”, reported that Banda had differed with his wife Thandiwe over the missing money – which since had been found within the house. The sources called it a “bedroom issue”. Banda had then called on the police to interrogate members of his household, but Thandiwe had interfered, and when the police did show up, they were sent away with a request to improve security at the house in New Kasama. Another statement from Banda (which started by stating that the story was “not worth responding” to), pointed out that Thandiwe was not in Zambia but in the USA – and had been so since Banda took up his assignment with Boston University several months ago, making it rather difficult for her to be involved in a domestic brawl in New Kasama in Zambia. Four scenarios are presenting themselves: 1. The Post lies (the story is fabricated). 2. The family sources lie (the story is fabricated). 3. RB lies (the story is true). 4. A combination of the above – and Thandiwe has a doppelgänger.

RB admitted into Club de Madrid Former President Rupiah Banda has been admitted into Club de Madrid, the world’s largest forum of former heads of state and government. A total of 89 members from 58 countries seek to promote democracy and change in the international community. Banda has joined other prominent former leaders such as former US presidents Jimmy Carter and Bill Clinton; former Norwegian prime minister and director-general of the World Health Organisation Gro Harlem Brundtland, former president of the Soviet Union Mikhail Gorbachev, former German Chancellor Helmut Kohl and former UN Secretary General Javier Pérez de Cuéllar. African ex-president members include Joaquim Chissano (Mozambique), Alpha Oumar Konaré (Mali), John Kufuor (Ghana), Ketumile Masire (Botswana), Thabo Mbeki (South Africa), Benjamin Mkapa (Tanzania) Festus Mogae (Botswana) and Olusegun Obasanjo (Nigeria). PF Secretary General Wynter Kabimba was not impressed: He found it difficult to understand how RB could “have the honour of wining and dining with distinguished former leaders”, considering “there is no doubt in anybody’s mind that Rupiah Banda’s government was full of corruption”, he told the Post. An aggregate of Zambian news 1

Zambia Weekly

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Minister apologises for fuel shortage Zambia has been hit by a fuel shortage – about two months after President Sata donated 1 million litres of petrol and 2 million litres of diesel to Malawi (although, to be fair, Zambia consumes about 700,000 litres of petrol and 2 million litres of diesel daily). The shortage was apparently caused by a leakage on the Tazama pipeline at Iringa in Tanzania – exacerbated by the increased traffic to the 2014 World Cup qualifier against Ghana in Ndola. For several days, government assured that things would normalise – after the leakage had been sealed and Oil Marketing Companies had been allowed to import fuel (which had the undesired side-effect of depreciating the Kwacha even further) – but it took much longer than expected, and eventually Energy Minister Christopher Yaluma apologised: “We sincerely apologise for the inconvenience to the motorists and other users of fuel for the shortage”, he stated according to the Times of Zambia. Government also admitted that maybe it had not been such as good idea to scrap the 15day strategic reserves fund. In October 2011, the new PF government reduced fuel prices by an average of K450 per litre. In return, it scrapped the requirement that Oil Marketing Companies should store enough fuel for 15 days consumption. Instead, the government would be responsible for fuel storage – and ensure that more storage facilities were constructed across the country. Energy Permanent Secretary George Zulu told the Post that government now was considering reintroducing the strategic reserves fund.

DBZ u-turns on notice of discontinuation The Development Bank of Zambia (DBZ) has filed an affidavit in the High Court to remove the notice of discontinuation – which was part of the (official) reason why President Sata appointed a tribunal to investigate three judges handling court cases against some of Sata’s allies. However, the High Court granted the three judges leave to apply for judicial review, staying the tribunal and their suspension (Daily Nation 8). ... Government has directed DBZ to start funding local Micro, Small and Medium Enterprises (MSMEs) because they are the “real drivers of the economy” - rather than simply funding large-scale projects in energy and agriculture (Times 8).

Amsterdam no longer welcome in Zambia Robert Amsterdam, the outspoken lawyer of former President Banda and son Henry, is no longer welcome in Zambia. His visa has been withheld: “He is not welcome. We do not need him as tourist. We can’t allow a foreigner to come and start engaging in our internal affairs,” Home Affairs Minister Kennedy Sakeni told the Post.

50 days more to study draft constitution The Technical Committee tasked with drafting a new constitution has extended the public consultative period to 31 July 2012. The draft was initially released on 30 April for a period of 40 days. The extension will allow for the hitherto delayed release of vernacular and audio versions. The draft constitution can be accessed on www.zambianconstitution.org.

Quotes

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In normal democracies, Presidents address the nation at the beginning of the year to outline their vision and plans. It is now nine months and Mr Sata has failed to do so. The Bible says, without a vision, my people perish! Opposition UPND president Hakainde Hichilema (Daily Mail 12). Can someone from the supervising consultants examine those cracks appearing in the floor of one of the entrances from the eastern direction (opposite the VIP Wing) and just confirm that they are after all superficial cracks. Dixon Bwalya, Chairman, Zambia Institute of Architects, Copperbelt Chapter, on the new Levy Mwanawasa Stadium in Ndola (Times 8). We have been assured by government that this time around we are not going to have a white paper and so there is no need to worry over the unknown. Constitutional Technical Committee spokesman Simon Kabanda assuring that the new constitution will be people-driven (Times 14). Those who are perpetually bitter and have axes to grind and are regrettably prophets of doom and ardent high priests of dishonesty and lies are having a field day because government’s deliberate posture is not to interfere with people’s rights and freedom to express whatever views. Finance Minister Alexander Chikwanda on good governance (Times 12). We still have many roaming our streets, and very little, if any at all, has been done to create jobs for the youths, especially those that supported the PF in its campaign. That has been an outstanding issue for the youth for a long time. So for me the PF has been doing more talking on the issue of employment than action. Caritas Zambia executive director Samuel Mulafulafu on PF’s election promises (Post 13).

”

An aggregate of Zambian news 2

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Sata in Europe: An acute sense of humour? President Sata has just been on a whirlwind trip in Europe – extensively covered by the media: He started out in London dining with Zambians living in London, who, according to the Daily Mail, are “either sweeping the streets, working in nursing homes or rare office jobs”.

ies and there is that beautiful woman sitting there, the permanent representative to Geneva,” Sata said – telling the delegates that “the First Lady can help those who have gynaecological problems” (Daily Mail 9). His remarks attracted cheers and another “standing ovation” (Daily Mail 9) – which lasted “close to a minute”, according to the Post.

The Times of Zambia reported that Sata “infuriated the crowd”, when he rejected dual citizenship: “You cannot be Tumbuka and at the same time Bemba”.

Outgoing ILO Director-General Juan Somavia praised Sata: “I have rarely seen a president with He then derided the crowd for not coming home: “Most of you are such an acute sense of humour on almost every subject that you suffering and could even be surviving on welfare handouts. Why touch. (...) you have been able to transform pronunciations into are you clinging on staying here?” Sata asked (Times 9) – and em- something that is light and profound at the same time” (Post 10). phasised that there would be “no special treatment” for “voluntary On the sidelines of the conference, Sata delivered a statement to refugees”, who choose to live as “second-class citizens” in another a Tripartite African Group meeting, where he emphasised the country (Daily Mail 9). need for strong ministries of labour in Africa (to tackle youth unThe following day, at a special session of the Commonwealth Economic Council, Sata extended an invitation to investors:

employment and social protection) and a strong African Union (to tackle labour, trade and climate change – together) – (Post 10).

“I am now inviting the Australians and Canadians, Chinese and others to come and help with investment in our country, including skills since some of our skilled people have decided to volunteer as refugees here, where they just sweep” (Daily Mail 8).

Sata also met with the Swiss African Business Circle, where he invited international airlines to partner with government: “We can’t have a country like Zambia without an airline” (Daily Mail 9).

He pointed out that Zambia is “not getting enough” from its mineral resources: “God blessed Zambia with copper and diamonds; why is it that our diamonds are auctioned in India and copper is sold here in London, far away from the people it must be benefitting?” (Daily Mail 8). But he assured investors of no restrictions on profit repatriation: “You can send profits to anywhere in the world. You can send to Timbuktu or Channel Islands. We shall allow you to do that” (Times 8). After Sata had received a “standing ovation”, the audience was treated to a video showing Zambia’s investment opportunities before ministers and other representatives gave focused presentations. Then Sata jetted off to Geneva to address the 101st Session of the International Labour Conference. Here he received another “round of applause”, according to the Daily Mail, for Zambia’s achievements in gender equality:

And insulted the Chinese: “Some of the concerns raised about Chinese investment are now under control, and we cannot do without their investment because they even invest in rural areas. But we also need your investment because you are endowed with good brains,” Sata told the businessmen. Finally the Times of Zambia explained that Sata’s many recent travels (more than those of his predecessor Rupiah Banda) were undertaken to “encourage investors to go to Zambia” – exactly what Sata used to deride Banda for. Finally, he met Zambians living in Switzerland and France, where First Lady Christine Kaseba asked Sata “a tough question publicly”: “What about the promises made?” – to which Sata replied: “We promised to reduce taxes, we have reduced taxes, and we said you will have more money in the pocket, yes, that’s why we want to create permanent jobs for our people. We want to create a stage where you will run away from here to come and work in Zambia” (Daily Mail 10).

Back in London, Sata continued his quest to woo investors in several meetings with people such as Sir John Peace, chairman “I must say the PF government has many women in prominent of Standard Chartered Bank Plc (Daily Mail 12), and Michael Slater, positions; the Inspector-General of police is a woman, the Drug Enforcement Commission has a woman, the Anti-Corruption Com- chairman of the Masdar Group (Post 13). mission has a woman, here I have two female permanent secretar-

Lubinda to jump again – in tandem with Langworthy In order to market Zambia ahead of next year’s UN World Tourism Organisation (UNWTO) General Assembly, Minister of Foreign Affairs and Tourism Given Lubinda has declared he wants to (once again) throw himself off a cliff – but this time in tandem with botched bungee jumpsurvivor Erin Langworthy of Australia. In January, Lubinda did a slide and gorge swing – to prove that bungee jumping was safe in Zambia, after Langworthy’s bungee cord snapped on New Year’s Eve. She survived with a fractured collar bone and extensive bruising. Back then Lubinda was (globally) reported as having done a proper bungee jump, when in fact not, as the bungee jump had had to be postponed due to a “crammed itinerary”. This time round, it was similarly unclear exactly what kind of jump Lu-

binda had in mind: “I want to do the second jump with a partner, the young lady from Western Australia, Erin, in order to show the world how wonderful Zambia is and how much fun bungee jumping can be,” Lubinda told the Daily Mail. He explained he had put out an all-points bulletin to locate Langworthy, whose trip would be wholly sponsored by government. Lubinda further encouraged all ministers to bungee jump. Earlier, then Southern Province Minister, now Deputy Finance Minister, Miles Sampa, said he might have a go, while then Minister of Information, Broadcasting and Tourism, now Minister of Information, Broadcasting and Labour, Fackson Shamenda said he had no intentions of throwing himself off a bridge.

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UPND and its many threats

Farming in brief

Last week’s rough approach by the police in breaking up a demonstration by opposition UPND youths was followed up by a lot of threats this week. First, however, the UPND accused Lusaka Police Chief Charity Katanga of unprofessional conduct, but Home Affairs Minister Kennedy Sakeni Katanga said she was doing her job, as the demonstrators had no permit: “It was the unruly behaviour of the crowd that compelled the police to use force,” he told the Daily Mail. UPND President Hakainde Hichilema even “stormed” Katanga’s office to demand an explanation, but she advised him to put his complaint in writing or see her supervisors. He apparently left her office with a “snide remark” (Image: Joseph Mwenda, AFP) that Katanga was too young, according to the Daily Mail. UPND then threatened to demonstrate – nationwide – against police brutality, to complain to the United Nations, and to sue Katanga – the latter together with four other opposition parties (MMD, ADD, ULP and ZDDM). Then we were treated to a bit of classic ping-pong journalism: First Hichilema called President Sata a hyena without a plan – “chimbwi alibe plan”, arguing that he had no vision for the country, reported the Post, after which PF Secretary General Wynter Kabimba declared that Hichilema was made of plastic, arguing that he did not understand politics as he had a “boardroom perspective”: ”Politics requires men of steel and not plastic,” Kabimba told the Times of Zambia. Hichilema’s remark unleashed other unspecified threats from PF’s Copperbelt Royal Youth Wing, which demanded a retraction within 48 hours, according to Flava FM. Five of the UPND demonstrators were arrested – but pleaded not guilty to idling and disorderly conduct.

A whole family of thieves Police have seized property worth K713 million from one Ndola family in connection with theft of maize from the Food Reserve Agency (FRA). Seized property included one shopping complex, three plots and six vehicles. Apparently, transporter Michael Chirwa had engaged his wife, brother and two sons in the theft of 18,170 bags of maize worth K1.3 billion. ... Meanwhile, his brother Steven Chirwa was sentenced to four years in jail for stealing 440 bags of maize worth K30.8 million from Madando Depot.

Nava Bharat to farm Nava Bharat of Singapore, the majorityowner of Maamba Collieries – and developer of Zambia’s first coal-fired power plant, is looking for 20,000 to 30,000 hectares of land in Muchinga Province for an oil palm plantation (Post 11). ... Masdar Corporate Farming intends to set up a 12,000-hectare mixed cropping operation and Kaidi Biomass Ltd is planning a 10,000-hectare bio fuel venture in Muchinga Province (Times 13).

OUR SOLUTION The Joracomposter an ecological revolution of your own

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An aggregate of Zambian news 4

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Zambia Weekly

Foreign affai r s

Rwandan genocide fugitives to be handed over? Aid in brief Rwanda has requested Zambia to hand over six genocide fugitives. Rwandan Minister of Foreign Affairs Louise Mushikiwabo told eight visiting Zambian MPs, all members of the parliamentarian Committee on National Security and Foreign Affairs, led by Keembe MP Ronnie Shikapwasha (MMD), that the suspects should face the law in Rwanda. In May 2010, Zambia received a similar request. Back then, Shikapwasha, then Minister of Information and Broadcasting, explained that the MMD government would not hesitate to hand over any suspects; however, in April 2011, the same government explained that extradition was no easy issue due to difficulties in identifying the suspects. According to the Post, Mushikiwabo smoothed her request by commending Zambia for arresting Jean-Paul Akayesu in 1995, which made Zambia the first African country to extradite criminals to the International Criminal Tribunal for Rwanda. Akayesu was later sentenced to life imprisonment on nine counts of genocide and crimes against humanity. The Zambian parliamentarians also met with Rwandan Minister of Disaster Management and Refugee Affairs Marcel Gatsinzi, who requested them to help implementing the cessation clause (see box), under which Rwandans can no longer claim refugee status. There are about 6,100 Rwandan refugees living in camps in Zambia. The committee said its study tour had proven that Rwanda is a safe place to return to: “We were duped by some refugees’ rumours that Rwanda is a place where returnees are killed, imprisoned for nothing or enslaved, but now we can confirm that those allegations are categorically unfounded,” Kaputa MP Maxas Ng’onga told Rwanda Focus.

FACT BOX: Cessation clause The 1951 Geneva Convention stipulates that refugee status can be lifted under certain clearly defined conditions, on an individual basis or as a blanket measure for all citizens of a country, under the cessation clause. In 2011, the UN High Council for Refugees (UNHCR) decided that conditions in Rwanda had improved enough to apply the cessation clause. From 30 June 2013, Rwandans will no longer be considered refugees and receive UNHCR support.

Sweden resumes funding Sweden has just released K33.5 billion to the Ministry of Health towards procurement of essential drugs, maternal health and infrastructure programmes – thereby closing the chapter on corruption in the ministry. In 2009, the Anti-Corruption Commission unearthed a scam involving K10 billion in the Ministry of Health, where senior employees had made multiple fraudulent allowance claims. As a result both the Netherlands and Sweden froze their funds to the health sector, while the Global Fund to fight AIDS, Tuberculosis and Malaria directed its funding through other channels. Swedish Ambassador Lena Nordström said Sweden is satisfied that the Ministry of Health has improved accountability and transparency since 2009: “I am delighted to be able to make this vote of confidence to the Ministry of Health”, which has “worked very hard on setting things straight” she said.

Germany increases aid Germany has increased its support to Zambia, to K550 billion in the 3-year period 2011-2013, up by 17.5% from 2008-2010 (Times 14).

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By-election nominations – with 1 or 2 twists

News in brief

A total of 11 candidates have successfully filed their nomination papers for the 3 parliamentary by-elections set for 5 July – albeit with some interesting twists:

Tujilijili trader jailed

The PF, in the shape of PF member Maureen Sense, filed an injunction to restrain the MMD from contesting the Muchinga and Chama North parliamentary by-elections, arguing that the MMD is an illegal organisation after it was de-registered earlier this year. The by-election in Chama North Constituency, Muchinga Province, was brought about by the nullification of last year’s election of Darious Mumba (MMD). Subsequently, Mumba defected to the PF, which adopted him as their candidate for the same seat, only to realise, at the last minute, that Mumba is disqualified from contesting elections for five years – after all the court ruled he had won his seat corruptly. The PF instead adopted January Zimba, but forgot to inform Mumba, who showed up to file his nomination papers – in vain. The returning officer also turned away UNIP’s candidate, 80-year-old Herbert Zimba, because his papers were not endorsed by party leadership, but he came back later in the day. Nominations in Muchinga Constituency, Central Province, were accompanied by many VIPs. The seat fell vacant with the death of former Vice-President George Kunda (MMD). His son, Howard, was accordingly adopted as the MMD’s candidate – and he filed his nomination papers accompanied by his mother Irene Kunda, Chitambo MP Musheli Malama, MMD Chairman for Elections Gabriel Namulambe, Central Province Chairman George Kangwa and other party officials. The delegation of PF’s candidate, Jeliaty Ntembwa, included VicePresident Guy Scott, Defence Minister Geoffrey Mwamba, Central Province Minister Philip Kosamu and other PF officials. Livingstone Constituency attracted five candidates, including three independent ones. The PF fielded Joseph Akafumba, who was accompanied by PF Secretary General Wynter Kabimba and “hundreds of party supporters”, according to Times of Zambia. UPND’s Howard Sikwela, who is backed by the MMD, arrived together with UPND President Hakainde Hichilema. In a province otherwise dominated politically by the UPND, the Livingstone seat was held by the MMD, until earlier this year, when the election of Lukolo Katombora (MMD) was nullified by the courts. Katombora’s election was petitioned by Akafumba, together with UPND’s losing candidate Frederick Chunga. Party PF MMD UPND UNIP

Chama North January Zimba, 44, former accountant in the Ministry of Justice Yotam Mtayachalo, Copperbelt Information and Publicity Secretary

candidate

Livingstone Joseph Akafumba, Southern Province Chairman

Muchinga Jeliaty Ntembwa, 34, local businessman Howard Kunda, 37, son of late Vice-President George Kunda

Reverend Howard Sikwela Herbert Zimba, 80, former miner

NAREP

Kenneth Ngosa, former senior private secretary of late Vice-President George Kunda

Individual

Zondhwayo Soko, who also stood as an independent candidate in 2011 Stephen Zulu Joseph Mwanza

ZESCO in June

Kafue Gorge Kariba North Victoria Falls Lusiwasi TOTAL

Installed capacity / MW (As at Feb 2012) 990 720 108 12 1,830

... Maxwell Malichima, 35, of Nkansu Village in Kapiri Mposhi District, has apparently died after drinking 13 Tujilijili sachets. The police found 2 boxes, each containing 200 sachets of the banned alcohol in his house (Times 9).

Muteka dies Robiana Muteka, who had a 14-kg tumour removed from his back, after President Sata ordered him evacuated from Livingstone, has died. He was 24. Muteka died of respiratory and cardiovascular failure due to the cancer spreading (Daily Mail 14).

Kenneth Konga discharged Former Energy and Water Development Minister and current Chavuma West MP Kenneth Konga has been discharged from hospital. He collapsed about two weeks ago while being interrogated by the unofficial Taskforce on Corruption. Rumours had it that he had suffered a stroke (Times 11).

Fishermen detained in Namibia Hardly had 13 fishermen been released from DR Congo, before another 97 were detained by Namibia for straying into that country’s fishing territory in the Zambezi River. The fishermen were part of a large group rounded up, including about 200 Angolans. 22 of the Zambian fishermen were later released as they held the mandatory fishing permits, but the Zambian government said it would engage its Namibian counterpart for the release of the remaining 75 fishermen without permits (Times of Zambia).

Lions on the loose

ZESCO will be short of 145 MW in June (see table) – which will be partly alleviated by buying 54 MW from Lunsemfwa Hydropower Company. The rest will be covered by load shedding. Power Plant

One person has been jailed for 6 months and 11 others fined, all in Lusaka, for violating the recent ban on selling Tujilijili alcohol sachets. The 11 paid fines ranging between K500,000 and K2 million, while the one person, who is now in jail, failed to pay his fine (Daily Mail 10).

Available capacity / MW (In June 2012) 960 510 108 7 1,585

Forecast demand / MW (In June 2012)

1,730

In Mkushi, several lions have been spotted in several areas close to the Boma, such as Ilume and Ross Farm. The lions have apparently also killed two cows. ZAWA confirmed their presence, explaining it would track down the animals to ensure human safety (Times 13). ... A lone lioness, spotted in Ndola’s Itawa area, turned out to a Sitatunga antelope. An aggregate of Zambian news 7

Zambia Weekly Arsonists torch 22 sugar fields 22 of Zambia Sugar’s sugarcane fields have been burned in the latest development since its salary negotiations collapsed. In May, the company referred the negotiations to the Industrial Relations Court – after it failed to agree with the National Union of Plantation, Agriculture and Allied Workers (NUPAAW). The union demanded an increase of 35%, while management offered 15%, but a freeze on education, leave and other allowances. This week, at least 3,000 workers downed tools. Zambia Sugar warned that the strike was illegal, as confirmed by NUPAAW, and that workers not returning to work immediately would be deemed to have dismissed themselves. Mazabuka District Commissioner called the arson “economic sabotage”, appealing to government to intervene. Zambia Sugar offered a reward of K10 million for information about the arsonists.

Stanbic offers lowest lending rate Stanbic Bank has lowered its base rate to 9%, the lowest in Zambia – becoming the first bank to align itself to the Bank of Zambia’s policy rate of equally 9%. However, only companies with a low-risk profile can borrow at 9%. Usually, commercial banks offer loans at a base rate plus a margin based on a risk premium, which in some cases can increase the rate by up to 10 percentage points (Times 8).

Mine in national park sparks protests The Zambia Community Natural Resources Management Forum and the World Wide Fund for Nature (WWF) on behalf of over 100 natural resources and environmental organisations and individuals in Zambia have objected to the Kangaluwi mining project inside the Lower Zambezi National Park, proposed by Mwembeshi Resources Ltd. The forum’s national coordinator, Vincent Ziba, said the Environmental Impact Assessment (EIA) prepared by GeoQuest Ltd was flawed, as two of its authors were from government statutory bodies. Furthermore the EIA did not highlight the project’s socio-cultural and health costs: “While we appreciate the role of mining in economic development, we strongly feel that it should not be allowed in protected areas especially those ecologically delicate like the Lower Zambezi National Park,” he told the Zambian Watchdog.

bus in e ss Lusaka Stock Exchange week-on-week Company

Symbol

African Explosives Zambia British American Tobacco Zambia Cavmont Capital Holdings Zambia Copperbelt Energy Corporation Farmers House Preference Shares First Quantum Minerals Investrust Bank Trust Lafarge Cement Zambia Metal Fabricators of Zambia National Breweries Pamodzi Hotel Puma Energy Zambia Real Estate Investments Zambia Shoprite Holdings Standard Chartered Bank Zain Zambia Zambeef Products Zambia Bata Shoe Company Zambia National Commercial Bank Zambia Sugar Zambian Breweries ZCCM Investment Holdings

AELZ BATZ CCHZ CEC FARMPREF FQMZ INVESTRUST LAFARGE ZAMEFA NATBREW PAMODZI PUMA REIZ SHOPRITE SCZ CELTEL ZAMBEEF BATA ZANACO ZSUG ZAMBREW ZCCM-IH

Closing price (14/06/12) 3,400 1,598 5 690 4,700 4,750 17 7,915 600 8,000 600 1148 3,500 54,999 2.9 710 2,651 200 159 261 2,651 12,500

Another IFC loan to Zambeef The investment wing of the World Bank, the International Finance Corporation (IFC), has invested another USD30 million in Zambeef Plc, this time to increase production and processing capacity, the number of retail outlets and to improve efficiency. In 2010, IFC injected USD10 million in Zambeef, divided between debt financing (USD7 million) and equity (USD3 million), to support Zambeef’s expansion programmes in Zambia and Nigeria (Daily Mail 8).

13.33 0.13 6.48 0.11 7.55 0.26 6.06 5.32 0.63 -

↑ ↓ ↑ ↑ ↓ ↑ ↑ ↓ ↓ -

The LuSE All Share Index (LASI) closed at 3,872.95 on Thursday 14 June, up by 0.02 from last week’s close of 3,872.26. Winner: African Explosives - last week’s loser (+ 13.33%) Loser: Metal Fabricators of Zambia (- 7.55%)

Year to Date Performance ZCCM-IH REIZ NATBREW FQMZ CEC ZAMBREW LAFARGE BATZ PUMA BATA FARMPREF CCHZ ZSUG LASI ZAMEFA SHOPRITE ZAMBEEF PAMODZI AELZ INVESTRUST ZANACO SCZ

Lumwana slays Barrick CEO? Barrick Gold, the owner of Lumwana Copper Mine, has fired its president and CEO Aaron Regent less than four years into the job, a period during which the company’s shares barely moved on the Toronto Stock Exchange despite a huge rally in the price of gold. We “have been disappointed with our share price performance,” Barrick’s founder Peter Munk said. Barrick’s shares have been hit hard after its USD7.3 billion acquisition in April 2011 of Equinox Minerals, including Lumwana, which has struggled with high costs and operational hiccups. Barrick replaced Regent with its Chief Financial Officer Jamie Sokalsky.

Change (%)

-100%

-80%

-60%

-40%

-20%

0%

20%

40%

The Year to Date ranks shares according to their performance since start of 2012.

FIGURES: Tax collection The bulk of Zambia’s income tax revenue (about 75-80%) comes from large taxpayers, although the large taxpayer office at the Zambia Revenue Authority (ZRA) comprises 3.3% of total ZRA staff. The medium taxpayer office is roughly 10% of total staff, but manages to rake in 18-23% of total income tax revenue collections. The small tax payer office has the largest number of staff (14%), but only collects 2% (Zambia Institute for Policy Analysis and Research).

An aggregate of Zambian news 8

Zambia Weekly No difference! Sheila Kaela Kambobe Jesuit Centre for Theological Reflections The Post

Do soldiers have to be academics? Professor Owen Sichone Lecturer at University of Pretoria Daily Mail

Only 1 in 50 football fans has a car? Dixon Bwalya Chairperson Copperbelt Chapter Zambia Institute of Architects Times of Zambia

Employment: Better to be exploited than unexploited Murray Sanderson Executive Secretary Institute for Public Policy Analysis Times of Zambia

opini o nS Last week, police in Lusaka fought running battles with UPND youths and arrested a number of them, for defying an order by the provincial police command not to demonstrate. The UPND and other political parties are calling for the resignation of the Director of Public Prosecution Mutembo Nchito. A few weeks ago, PF supporters were allowed to demonstrate right within the High Court premises demanding that Chief Justice Ernest Sakala resigns. How different was their cause to that of the UPND youths? It would appear that the rules are skewed in favour of the ruling party. Recently, the Zambia Army called for courageous young people to enlist as soldiers and officers. Surprisingly, the main qualification, other than patriotism and good health, for both ranks was a Grade 12 certificate. When I left school in 1975, only officers required the equivalent of Form Five certificates. A Junior Secondary School or Form 3 certificate was adequate for enlisted men. Speaking from my own experience, just because I have a distinction in geography does not mean I will shine at map reading and orienteering in the field. A merit in physical science does not automatically translate into proficiency in ballistics. If you want to recruit street sweepers give them a street-sweeping test and not a spelling test, is all I am suggesting. What follows next is a class-divided society in which courage, patriotism and the opportunity to serve Zambia as a soldier will be the exclusive preserve of the English-speaking classes, and peasants’ children will be excluded from mainstream society. The main reason why the armed forces (and for that matter the schools) should be kept open for everyone is that the armed forces are in and of themselves education and training institutions. The army ought to be able to recruit an illiterate villager and teach him or her to be a competent truck driver, nurse or musician. The military provides the last hope for children of low-income families for who the doors of learning have been closed by market forces. Designers of the Levy Mwanawasa Stadium have allowed a total of 796 parking slots. As we are told the stadium has a seating capacity of 40,000 spectators, this number works out to be about 1 parking slot to every 50 spectators. Now, the recommended formula by FIFA is 1 slot per every 6 spectators. Even if we use a minimum formula of 1 parking space to every 15 spectators, the Levy Mwanawasa Stadium would have required parking spaces of approximately 2,700. In some countries a stadium would be serviced with such public transport as buses or indeed trains. In the case of the Mwanawasa Stadium, access to the stadium will most likely be by car. The allowed car parking spaces seem to be inadequate, which was evident at the football match played on 19 March 2012, where most vehicles were parked along the Ndola-Kitwe dual carriageway. Zambians whose memories go back to the 1980s will recall that price controls on consumer goods boosted demand, but greatly reduced supply. Shops became surrounded by long queues. A similar situation now applies to jobs. Laws which raise wages through setting minimum levels increase the demand for jobs, while reducing their supply, causing unnecessary unemployment. Young people especially face great difficulty in finding jobs. They have little or no training in skills required by employers, and of course no track record, let alone testimonials from past employers. If, however, such young people were exempted – at least for a period – from minimum wage requirements, that would enable them to get a foot in the door. Maybe by permitting youngsters to enter employment, perhaps on an officially registered two year contract, at whatever wage was agreed between them and a potential employer. It would give them a chance to demonstrate aptitude, industry and reliability, and to establish a track-record. Then, at the end of the contract period, it could well be attractive to the employer to take them on permanently at, or even above, the minimum wage. Another possibility which deserves serious consideration is to reintroduce the apprenticeship system. This was abolished in the Kaunda era as ‘colonial’. However, on-the-job training can be of great value, and it is appropriate to pay low rates to trainees. It will, of course, be objected that any waiving of minimum wage requirements would open the door to exploitation. Such objections are natural, but they are not realistic in a situation of mass unemployment. Most unemployed people would regard it as better to be exploited than to remain unexploited! We should leave the choice to them.

Sata sues... but cannot be sued back This week, the public media acknowledged that President Sata has been busy suing a whole range of people, including opposition UPND party president Hakainde Hichilema and his advisor Douglas Siakalima, Daily Nation proprietor Richard Sakala, Zambian Watchdog proprietor Lloyd Himaambo, UNZA history lecturer Choolwe Beyani, former President Banda’s lawyer Robert Amsterdam and HOT FM, all for defamation and libel, in connection with various articles and broadcasts (Daily Mail 9). ... A consortium of Zambian academics, led by Copperbelt Energy Corporation chairman Hanson Sindowe, has submitted to the Constitutional Technical Committee that clause 96 in the draft constitution, which seeks to protect the president from being sued, should be extended to say that “the head of state shall also not institute or continue civil proceedings against any citizen”. The members of the consortium include Mbita Chitala, Joe Chisanga, Emmanuel Hachipuka, Abel Mkandawire, John Mulwila, Mike Mulongoti, Dante Saunders, Julia Chaila, Sylvester Hibajene, Jacob Njovu, Lawrence Chiinda, Mavis Chisanga, Musopelo Chilongshi and Irene Ng’andwe (Post 11).

GBM sues Daily Nation Minister of Defence Geoffrey Mwamba (GBM) has sued Daily Nation proprietor Richard Sakala for defamation, claiming damages for an article, in which the newspaper alleged that Zambia’s fuel donation to Malawi had been transported in Mwamba’s trucks (Daily Mail 11).

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Zambia Weekly

e xe cuti ve j o b s

POS ITION AVA I LA BLE TITLE: LOCATION: ASSIGNMENT LENGTH:



Associate I, HIV Program Lusaka, Zambia One year, renewable by mutual consent and availability of funding.

GENERAL MANAGER/ACCOUNTANT

JOB DESCRIPTION: The Population Council is seeking an experienced researcher within the medical or public health sciences with quantitative research skills for the position of Associate I in the HIV Program to be based at Council country office in Lusaka. The successful candidate will be expected to lead and carry-out projects as part of the Council’s male circumcision and most at-risk population portfolio of research and evaluation. The candidate will participate in all phases of the study process, including the design, implementation, analysis, and dissemination of results. The candidate would work closely with Council and partner co-investigators and represent the Council at donor, government, and technical working group meetings. The candidate would also participate in fundraising, including the development of grant proposals.

RESPONSIBILITIES: 1. Serve as an investigator and implementation research and evaluation projects. 2. Assist in the planning and management of fieldwork 3. Produce study reports and papers for refereed scientific publications. 4. Contribute to the Council’s HIV program strategy and implementation through: • Intellectual leadership in the area of HIV public health research. • Fundraising and donor stewardship. • Management of projects. • Mentoring of Council staff and capacity building of counterparts. 5. Collaborate with senior Council staff and other key partners and stakeholders in the design, synthesis, and utilization of research. 6. Represent the HIV program and the Council to the research and public health communities and in media and public policy forums.

A well established Automotive industry based in the Copperbelt is looking for a General Manager. Accounting knowledge/background is an added advantage. Remuneration will be negotiated based on experience. Position available immediately. Valid permits required. Please send your CV to [email protected]

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QUALIFICATIONS: 1. Medical degree or doctoral degree in the fields of public health or epidemiology preferred. MSc or Masters in Public Health with extensive research and evaluation experience will be considered. 2. Record of scholarly research relevant to HIV prevention, care and treatment 3. A minimum of three years post-degree relevant work experience. 4. Experience in conducting and managing research and evaluation projects 5. Quantitative skills, preferably with training in biostatistics 6. Track record of collaborations with investigators, policy makers, program managers, and donors 7. Excellent diplomatic, representational, problem solving, management, and interpersonal skills. 8. Demonstrated experience in capacity building. 9. Excellent written and oral English-language communications skills. 10. Willingness and ability to travel within and outside of Zambia.

If interested, email your CV to: [email protected]

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Zambia Weekly Phew... they beat Ghana Zambia breathed a sigh of relief, when the Chipolopolo managed to beat Ghana 1-0 in their second 2014 World Cup qualifier – after last week’s humiliating 0-2 defeat to Sudan. However, the match ended on a bad note, when Ghana complained over the referee. Beforehand, however, Ndola was painted in national colours – with fans trooping to the brand-new Levy Mwanawasa Stadium as early as 9:00 hours. After warming up, as the players from both sides returned to their respective dressing rooms, the wonders of the new stadium were demonstrated, when the computerised sprinklers were switched on briefly – much to the delight of the crowd. Hitches included lack of accommodation in Ndola, lack of parking at the stadium (see opinions – page 10) and severe traffic congestion (it took two hours to clear the stadium, as one lane had to be closed on the adjacent Ndola-Kitwe dual carriageway?. Zambia’s single goal was scored by captain Christopher Katongo in a first half dominated by Zambia. Things evened out in the second half, and coach Herve Renard admitted that the Chipolopolo’s performance had not been “spectacular”: “We were just efficient”, he told Super Sport. Minister of Sports Chishimba Kambwili was more optimistic: “I told the whole world when I was interviewed last week that losing the first game was not the end of the world. Usually a bad beginning makes a very good ending. The sky is the limit,” he stated in the Times. However, hardly had the match finished before the Ghanaians went for Tunisian referee Med Saidi Kordi, accusing him of being biased. According to ghanasoccernet.com, Kordi had shown a lot of bad refereeing, including having overlooked the ball hitting a Zambian defender’s hand in their box and giving Ghanaian Christian Atsu a yellow card after he was brought down at the edge of the box. It all got very physical at the tartan track, with police having to intervene – rather roughly, argued Ghana Football Association, which complained to FIFA over midfielder Derek Boateng and striker Ben Acheampong being assaulted by the Zambian Police. Boateng claimed he was punched in the face by an officer from behind while Acheampong’s shirt was seen held by a policeman. For now, however, Zambia is looking forward to its third qualifier in March 2013 in Lesotho. The winner of group D will advance to a third qualifying round of 10 African teams who will be paired in home and away matches with first legs scheduled for October 2013. The 5 winners from the third round will qualify for the Brazil World Cup to be held from 12 June to 13 July 2014.

Ben Mwila’s son dies Former MMD Defence Minister Benjamin Mwila’s son, Yoram, has died in a traffic accident – while his daughter Lilly is admitted at the University Teaching Hospital in a critical condition. The accident happened around 3 o’clock in the morning on Saturday 9 June on the Great East Road in Lusaka. The siblings were in a BMW, driven by Vincent Chishala, accompanied by John Nkuwa, who escaped unhurt, while Chishala was treated and discharged. Chishala has been charged with causing death by dangerous driving. The BMW apparently hit the curb, then a tree, before falling into a ditch, severely damaged. Yoram, 22, was a footballer who had also captained the Under-17 National Team. He had only just arrived in Zambia from the USA, where he is studying. Yoram was put to rest at the Old Leopards Hill Cemetery after a church service attended by former President Rupiah Banda, former Vice-President Enoch Kavindele, FAZ President Kalusha Bwalya and many others.

spo rt s Essa still leading African Rally Zambia’s Mohammed Essa finished fourth in the KCB Safari Rally in Nairobi, putting him firmly in the lead of the eight-legged African Rally Championship with 64 points, ahead of Carl Tundo (Kenya), Mark Cronje (South Africa) and Jess Watson (Zimbabwe), all on 25 points. The Safari Rally, which formed the fourth leg of the African Rally Championship, was won by Carl Tundo (Times 11).

Powerhouse new rugby champions Powerhouse Lusaka has dethroned defending champions Green Buffaloes 21-0 to become the new Heroes Sevens rugby champions. The final was played at Green Eagles Rugby Club in Kabwe (Post 11).

South African polo player shot in Lusaka The Safari 2012 Polo Tournament was marred by a shooting incident, when a visiting polo player from South Africa got shot in the leg by an unnamed Lebanese in a drunken brawl at the Lusaka Polo Club in the Showgrounds. The incident was apparently not reported (Post 12).

Zambia 2nd in golf in Africa The Zambia women’s golf team finished second at the just-ended AllAfrica Golf Challenge in Botswana, with a total of 452 strokes, behind South Africa (428), but before Zimbabwe (464), Tanzania (467) and Namibia (469) – Post 9.

Olympic squad gains 1 – and loses 1 Another Zambian, runner Tonny Wamulwa, has qualified for the 2012 London Olympics. He joins US-based runners Prince Mumba and Gerald Phiri, Algeria-based judoka Boas Munyonga, light-welterweight boxer Gilbert Choombe, and swimmers Zane Jordan and Jade Howard on wildcard entries. Judoka Mathews Punza’s qualification has been nullified by the Africa Judo Union (Daily Mail 12).

Golf: Zambia Open starts 144 local and foreign golfers are participating in the 2012 Indo-Zambia Bank Zambia Open Golf Championship at the Lusaka Golf Club. Prominent golfers include Titch Moore of South Africa, title-holder Doug McGuigan, two-time winner Steve Basson and Zambia’s own Madalitso Muthiya. The 4-day, 72-hole competition offers prize money of USD190,000 plus a USD65,000 Jeep Wrangler to the first professional to shoot a hole-in-one (Daily Mail 14).

Zambia Weekly Zambia Weekly is a free e-zine that provides an effortless way of keeping up-to-date with current affairs in Zambia. Feel free to share Zambia Weekly with colleagues and friends. Comments, criticisms or suggestions are always welcome! Editor: Camilla Hebo Buus [email protected] | Mobile +260 977 461 877

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