The Ministry of Finance has revealed that it is working to ensure that arrears owed to contractors are cleared in the next two years.
Minister in charge Dr. Bwalya N’gandu says there is curremtly not enough liquidity on the market and hence the challenge in paying what the local contractors are owed.
Dr. Ngándu says government has not been paying suppliers for their goods and services adding that this needs to come to an end to ensure sustainability in the economy.
A Business and Financial Expert says government is being realist and honest by saying it will be able to settles the arrears it owes to the private sector in two years.
Speaking when he featured on Money FM Radio’s Policy Power and Money Radio Programme, Muyumba Mutwale of Nikiwa Capital Partners says there is need for government to ease their presence in the lending market.
Mr Mutwala says by easing the it’s presence on the lending market government will be able to cut down on expenditure and have a surplus.