The Private Sector Development Association has urged government to address the dismantling of domestic debt seriously.

Association Chairperson Yusuf Dodia told Money FM News in an interview that the amount of money allocated in the 2020 national budget to settle the debt is too small as it comprises of about 20 %.

“When we look at the 2020 national budget, domestic debt owed to local suppliers and contractors is about 60 billion Kwacha and the amount of money allocated in the budget to liquidate the debt is 12 billion Kwacha which is 20 % of what is owed to local contractors. Mr Dodia said. 

Mr Dodia said about 60 billion Kwacha is what is owed to contractors and suppliers of which 12 billion Kwacha is what has been set aside to liquidate the debt.

“20 percent of what is owed is a small amount of money it will not change the situation of the contractors and suppliers significantly” He said.

He has observed the need for the ministry of finance to pay significant amounts to contractors and supplies so that they can become compliant taxpayers.