LUSAKA, March 28 (Xinhua) -- The business community in Zambia expressed optimism on Thursday that the attainment of a debt restructuring deal with the country's creditors will result in increased investment.
The Zambia External Bondholder Steering Committee announced on Monday that it has reached a conclusive agreement with the Zambian government on the debt restructuring. This deal follows an agreement reached last year on the restructuring of the country's external debt with official creditors.
Ashu Sugar, president of the Zambia Association of Manufacturers, said that the business community is optimistic that this development will lead to increased investment in the industry, creating job opportunities and facilitating more robust economic growth.
"We again commend the government's efforts in securing a brighter future for all Zambians, and we pledge our commitment to the performance of the economy and assure our willingness to collaborate towards the nation's prosperity," he said in a statement.
The debt situation had created uncertainties for the private sector and potential investors, but this is now likely to change, enhancing investment opportunities.
Anthony Kabaghe, president of the Zambia Chamber of Commerce and Industry, an association that represents the mining and allied industry, said that the successful debt restructuring has the potential to bring significant and positive changes to the country's economy and overall development trajectory.
However, he emphasized the need for the government to effectively manage the freed-up fiscal space by prioritizing economic policies and focusing on export-oriented growth for long-term economic stability and prosperity.
"By promoting value addition across various sectors, Zambia can bolster its competitive advantage on the global stage, attract investment and drive economic growth," he said in a separate statement.
Godwin Beene, president of the Chamber of Mines, said that this development will allow the government to focus on restoring broad economic growth that spurs development. He said the mining industry is ready to work with the government in driving tangible economic growth.
