Debates - Tuesday, 4th March, 2014 | National Assembly of Zambia

DAILY PARLIAMENTARY DEBATES FOR THE THIRD SESSION OF THE ELEVENTH ASSEMBLY

Tuesday, 4th March, 2014

The House met at 1430 hours

[MR SPEAKER in the Chair]

NATIONAL ANTHEM

PRAYER

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ANNOUNCEMENT BY MR SPEAKER

CONSULTATIVE MEETING ON CONSTITUTION-MAKING PROCESS

Mr Speaker: Hon. Members, I wish to inform the House that I have received a request from Hon. Gary Nkombo, in accordance with Standing Order No. 36, for him to move a Private Member’s Motion on Wednesday, 5th March, 2014 which is styled as follows:

“That this House urges the Government to provide a roadmap for the enactment of a new Constitution and also to expedite the process considering that the work of the Technical Committee on Drafting the Constitution has been completed and is ready for submission.”

Further, hon. Members, you will recall that following the unprecedented protests in the House on Wednesday, 26th February, 2014 and Thursday, 27th February, 2014, we agreed that a consultative meeting between hon. Members of the Executive and those of the Opposition be held on Tuesday, 4th March, 2014 to consult on matters relating to the Constitution-making process.

I wish to inform the House that following a successful consultative meeting held this afternoon, it has been agreed that the Private Member’s Motion by Hon. Gary Nkombo shall be deferred to Friday, 7th March, 2014, to allow the parties to the consultative meeting to carry out the necessary consultations to enable them to effectively and appropriately respond to this important Motion.

I thank you.

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QUESTIONS FOR ORAL ANSWER

2013 BUDGET OVERRAN

387. Mr Mwila (Chipili) asked the Minister of Finance:

(a) what caused the Budget deficit in 2013;

(b) by how much the 2013 Budget was overran;

(d) which major projects were affected by the deficit.

Interruptions

Mr Speaker: Order, on the left!

The Vice-President (Dr Scott) (on behalf of the Minister of Finance (Mr Chikwanda)): Mr Speaker, …

Interruptions

Mr Speaker: Order, on the left.

The Vice-President: Mr Speaker, before answering the question which has been raised by the hon. Member of Parliament for Chipili, I believe it would be prudent to firstly explain what a budget deficit is.

Sir, a budget deficit is basically a negative variance between the revenue and expenditure. It, therefore, arises in a situation whereby the expenditure is higher than the revenue. In such a situation, the difference tends to be met through other alternative sources of development financing. These include borrowing, grants from co-operating partners and the enlisting of private sector participation in development programmes through public-private partnerships (PPPs) and other similar initiatives.

Mr Speaker, it is worth noting that it is normal for governments to incur budget deficits. The Zambian Government has been incurring budget deficits for a number of years.

Interruptions

Mr Speaker: Order, on the left.

The Vice-President: Sir, this has stemmed from the fact that our domestically-generated resources have not been adequate to facilitate the high expenditure needs of the country, particularly, in the area of infrastructure development.

Mr Speaker, we wish to indicate that at this stage, the 2013 Budget has not been overrun and is still under execution. However, it is projected that the end-year Budget deficit will be within 8.5 per cent of the gross domestic product (GDP). This means that the projected deficit will be within 4 percentage points above the 2013 Budget target. The House and the nation, at large may, however, wish to note that the Treasury has instituted prudent budgetary adjustments to the structure of the 2013 Budget in order to keep the deficit within sustainable levels.

Mr Speaker, key measures have been put in place to avoid a similar occurrence in future. These include the following:

(a) the removal of fuel and maize meal subsidies which was effected in May, 2013. Additionally, the Farmer Input Support Programme (FISP) has also been re-structured to make it less costly to the Government by slightly increasing the farmer’s contribution to the farming inputs which are provided by the Government; and

(b) enhanced oversight over the financial transactions of the Food Reserve Agency (FRA). It is the Government’s desire to ensure that while the FRA continues to provide a ready market for farmers, it does not monopolise the entire market. In order to allow for private sector participation, the FRA will be restricted to buying maize in line with its role of maintaining strategic food reserves. In doing so, the agency will continue to ensure that farmers in the far-flung areas of the country are well covered. This measure will enable the Government to serve substantial amounts of funds which previously went towards the buying of maize beyond the required strategic food reserves and storage capacity of the agency.

Mr Speaker, we have effected a two-year public sector …

Interruptions

Mr Speaker: Order, both on the left and the right!

The Vice-President: … wage moratorium and deferred recruitments to 2015. This measure is intended to contain the shrinking fiscal space so as to enable the Government to finance development programmes.

Mr Speaker, we are stepping up efforts to reform the Tax Policy and improve the performance of Value Added Tax and Excise Duty while rationalising investment tax incentives, promoting efficiency and simplifying tax administration in order to enhance domestic revenue mobilisation. This is central to the Government’s aim of enhancing public infrastructure development and achieving sustainable economic growth.

Mr Speaker, the Treasury has endeavoured not to derail major projects in the 2013 Budget. This has been achieved by the Treasury prioritising the releasing of funds to priority programmes such as infrastructure over administrative expenditure such as the purchasing of motor vehicles, administrative allowances, workshops, seminars and foreign travel. More needs to be done to further contain expenditure on administrative outlays.

I thank you, Sir.

Mr Mwila: Mr Speaker, do we expect any reduction in the budget deficits in future.

Mr Kalaba: On a point of order, Mr Speaker.

Mr Speaker: A point of order is raised.

Mr Bwalya: Hon. Kalaba, ikaleni.

Dr Kaingu: Give a chance to the hon. Minister.

Mr Kalaba: Mr Speaker, I rise on a very serious point of order. On Sunday, during the 1300 hours news, the leader of the United Party for National Development (UPND), Mr Hakainde Hichilema, encouraged the hon. Members of this august House, especially those belonging to his party …

Mr Livune: Question!

Mr Kalaba: … to protest and bring disruptions to the Business of this honourable House. Is the leader of an opposition political party who has never even been a councillor …

Hon. Opposition Members: Ah!

Hon. Government Members: Hear, hear!

Mr Kalaba: … in order to encourage hon. Members to come and disrupt the proceedings of this honourable House? I need your serious ruling, Mr Speaker.

Mr Speaker: My ruling is reserved.

Mr Mwila: Mr Speaker, do we expect any reduction …

Mr Bwalya: On a point of order, Mr Speaker.

Dr Kaingu: Mr Speaker, on a point of order.

Mr Speaker: A point of order is raised.

Mr Bwalya: Mr Speaker, …

Mr Musukwa: Iwee, ikalafye.

Mr Speaker: Hon. Member for Lupososhi, wait.

Dr Kaingu: Mr Speaker, the Movement for Multi-party Democracy (MMD), as a political party, is an entity on its own.

Mr Kalaba: It is finished.

Dr Kaingu: We will not accept such remarks. That is the reason I am rising on a point of order.

Mr Speaker: Who are you addressing now?

Laughter

Dr Kaingu: Sorry, Mr Speaker.

Sir, we are not in the armpit of any political party.

Interruptions{mospagebreak}

Dr Kaingu: Sir, we are going to engage with anyone because we are free to do so. I speak on behalf of my party president. We are resolved as a political party to join everybody in fighting for the country to have a new Constitution.

Hon. MMD Members: Hear, hear!

Dr Kaingu: Sir, is the hon. Minister of Justice in order to quietly sit in this House without telling the people why I met him on Sunday date?

Laughter

Mr Speaker: Why he did what on Sunday?

Interruptions

Dr Kaingu: Sir, I had a meeting with the hon. Minister of Justice.

Hon. Government Members: Where?

Dr Kaingu: Sir, is the hon. Minister in order …

Mr Livune: Hear, hear!

Dr Kaingu: … not to clear the rumours going round that I may be compromised by his political party? Is he in order to just sit there and keep quiet?

Interruptions

Mr Speaker: I have elected to respect your privacy …

Hon. Government Members: Hear, hear!

Mr Speaker: … and that of the hon. Minister of Justice. That is my ruling.

Mr Livune: That is right, Sir.

Mr Speaker: Let the hon. Member for Chipili complete his supplementary question.

Mr Mwila: Sir, can we expect to see any reduction in the budget deficits in future.

Mr Chikwanda: Sir, that is the overall disposition of the Government. It wants to try as much as possible to reduce the deficits because they are very costly to the country. Borrowing has very severe implications such as pushing up the interest rates because you have to raise money through Treasury instruments which attract high interest rates. The Government’s overall intention is to the fullest extent possible to try to reduce the deficits going forward. I hope that all of us in the nation’s leadership will make that eventuality possible.

I thank you, Mr Speaker.

Mr Bwalya: On a point of order, Mr Speaker.

Mr Mwila: On a point of order, Sir.

Mr Speaker: Order!

A point of order has already been raised by the hon. Member for Lupososhi.

Mr Bwalya: Mr Speaker, I thank you for giving me the opportunity to raise this very important point of order. We are here at a great cost to the taxpayer. We all know that the Order Paper is circulated as well as pinned on the notice board at Parliament Motel in order to give each hon. Member an opportunity to know that a question he or she put forward will be tabled on the Floor of the House.

Sir, the paper that we use to print the Order Paper is bought at a high cost to the Zambian people. The time spent to provide the answers is equally at a great cost. Are the hon. Members of Parliament on your left, from the UPND and the MMD, in order to absent themselves deliberately, after registering their presence so that their questions can lapse? Are they in order to continue taking the taxpayers for granted? I need your serious ruling.

Hon. Government Members: Hear, hear!

Mr Speaker: Order!

Let us have order. I have obviously been taken aback by the absence of a series of questioners and my officers had no notice or explanation as to how and why the hon. Members have not been able to prosecute their questions. This is most unfortunate because, indeed, a great deal of time is taken to list these questions on the Order Paper. Further, those on the right, the hon. Ministers, are also taken to task to respond to the questions. Worse still, the questions are asked in a representative capacity. They are not personal questions. Therefore, the disservice is being done to the constituents. I hope, earnestly, that this practice, for whatever reason, will come to an end.

That is my ruling.

Hon. Government Members: Hear, hear!

Mr Speaker: Order!

Can the hon. Member for Bwacha ask his question.

Mr Mushanga (Bwacha): Mr Speaker, …

Mr Mwila: On a point of order, Sir.

Mr Speaker: A point of order is raised again.

Mr Mwila: Mr Speaker, I thank you for giving me this opportunity to raise a point of order. Parliament Motel is treated like Parliament Buildings. The conduct at Parliament Buildings is the same as that at Parliament Motel. I am forced to raise this point of order as a result of the events that took place last week.

Sir, are hon. Members of Parliament from the UPND in order to bring party cadres to Parliament Motel, including those facing charges and appearing before the courts of law? If you check the Visitors’ Book, you will find out that our lives are in danger.

Hon. Government Members: Yes!

Mr Mpundu: Fikabolala!

Interruptions

Mr Mwila: Mr Speaker, we have reported the matter without seeing any change. With what is happening at the moment, our lives are in danger. Is it in order for thugs and party cadres to be brought to Parliament Motel? I need your serious ruling.

Hon. Government Members: Hear, hear!

Mr Speaker: Please, use your Whips effectively. I have met the Whips on both sides and told them that the welfare of the hon. Members is actually a matter of my concern. So, channel some of your issues to me through the Whips and we will address them administratively. Please, let us bear in mind that points of order are meant to deal with procedural issues which are on the Floor of the House. If you are going to raise points of order on sundry issues, …

Laughter

Mr Speaker: … such as somebody parking in your lot, then there will be no end to the issues which we shall be dealing with on the Floor of the House. My office is open to the Whips. If you have matters regarding your welfare, please, bring them to my notice. However, for the time being, let us concentrate on the business which we have on the Floor of the House.

Mr Mushanga: Mr Speaker, …

Mr Speaker: I am not allowing any more points of order ...

Hon. Government Members: Hear, hear!

Mr Speaker: … until I state otherwise.

Mr Mushanga: Sir, I would like to find out if the overrun was in line with the overall objective of growing the economy of this Republic.

Mr Chikwanda: Mr Speaker, the answer is a definite yes. We borrow to finance development. We do not borrow for excesses.

I thank you, Sir.

Mr Speaker: Hon. Member for Gwembe, again.

Interruptions

Mr Speaker: Question 388 has lapsed.

Interruptions

Mr Speaker: Hon. Member for Lubansenshi.

Interruptions

Mr Speaker: Question 389 has lapsed.

Interruptions

Mr Speaker: Hon. Member for Mwinilunga.

Interruptions

Mr Speaker: Question 390 has lapsed.

Interruptions

Mr Speaker: Hon. Member for Senga Hill.

Hon. Government Members: Allowance!

Mr Speaker: Question 391 has lapsed.

Mr Speaker: Hon. Member for Solwezi West.

Hon. Government Members: Allowance!

Mr Speaker: Question 392 has lapsed.

Mr Speaker: Hon. Member for Gwembe, again.

Hon. Government Members: Allowance!

Mr Speaker: Question 393 has lapsed.

Mr Speaker: Hon. Member for Mapatizya.

Hon. Government Members: Allowance!

Mr Speaker: Question 394 has lapsed.

Mr Speaker: Hon. Member for Nangoma.

Hon. Government Members: Allowance!

Mr Speaker: Question 395 has lapsed.

Mr Speaker: Hon. Member for Gwembe, again.

Hon. Government Members: Allowance!

Mr Speaker: Question 396 has lapsed

_________

MOTION

ADJOURNMENT

The Vice-President (Dr Scott): Mr Speaker, I beg to move that the House do now adjourn.

Question put and agreed to.

___________

The House adjourned at 1458 hours until 1430 hours on Wednesday, 5th March, 2014.

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WRITTEN REPLIES TO QUESTIONS

ADEQUATE FURNITURE FOR SCHOOLS

377. Mr Hamusonde (Nangoma) asked the Minister of Education, Science, Vocational Training and Early Education:

(a) when schools, countrywide, would be provided with adequate furniture; and

(b) when rural schools would be provided with an adequate number of teachers.

The Minister of Education, Science, Vocational Training and Early Education (Dr Phiri): Mr Speaker, the ministry recently provided sufficient desks to most schools countrywide. However, the ministry is cognisant of the fact that there is still a need for the provision of more desks and chairs. Furniture will continue to be provided on an annual basis to selected schools depending on the availability of funds. Emphasis in 2014 will be placed on the procurement of furniture for early childhood education centres that are being established countrywide.

Sir, the Government in the Sixth National Development Plan (SNDP) as well as the National Implementation Framework (NIF) III committed itself to recruiting 5,000 teachers annually in order to offset the shortage of teachers countrywide. To this effect, in 2013, a total of 4,500 teachers were recruited, most of whom were deployed to rural and remote schools in the country. This programme will continue as more and more schools continue to be constructed.

I thank you, Sir.

ZAMBIA NATIONAL REGISTRATION CARDS

378. Mr Lombanya (Solwezi East) asked the Minister of Home Affairs:

(a) whether the Government was aware that the people in Luamfula, Mapande and Kapako in Chief Chikola’s area in Solwezi East Parliamentary Constituency along the border with the Democratic Republic of Congo, did not have Zambian National Registration Cards (NRCs) due to the absence of the National Registration Office in the areas; and

(b) what measures had been taken to address the situation.

The Minister of Home Affairs (Dr Simbyakula): Mr Speaker, the Government is aware that some people in the mentioned areas are not in possession of the NRCs due to their living far from the nearest registration centres. As it is the duty of the Government to attend to such matters, there are deliberate programmes which have been put in place to attend to such people during the mobile registration exercise. These are always conducted to attend to people that stay in distant places from the registration centres and are dependent on the availability of funds as the officers have to camp in those areas. Funds allowing, teams will be sent to these areas to issue the NRCs.

I thank you, Sir.

MUTABA LOCAL COURT

379. Mr Chitafu (Kafulafuta) asked the Minister of Justice when Mutaba Local Court in Kafulafuta Parliamentary Constituency, whose construction had been completed, would be officially opened.

The Minister of Justice (Mr Kabimba, SC.): Mr Speaker, I wish to inform the House that Mutaba Local Court was constructed under the 2010/2011 infrastructure development schedule and has not been operational due to the lack of human resource. However, presiding magistrates as well as support staff for the court were appointed on 30th December, 2013 and are currently on orientation. The court shall be officially opened within the month of February, 2014.

I thank you, Sir.

FARMER INPUT SUPPORT PROGRAMME

380. Mr Katuka (Mwinilunga) asked the Minister of Agriculture and Livestock how much money the Government had spent on the Farmer Input Support Programme (FISP) and maize purchases from 2010 to 2013, year by year.

The Minister of Agriculture and Livestock (Mr Sichinga): Mr Speaker, the Government spent the following on FISP and maize purchases from 2010 to 2013, year by year:

Year FISP (K) Maize Purchase (K)

2010 589,072,800 1,204,087,027

2011 904,085,561 1,674,000,000

2012 845,484,871 300,000,000

2013 868,008,492 1,111,189,495

I thank you, Mr Speaker.

FREE EDUCATION

381. Mr Hamusonde asked the Minister of Education, Science, Vocational Training and Early Education when the Government would start providing free education from primary school to university levels.

Dr Phiri: Mr Speaker, I wish to inform the House that for now, the Government is not in a position to provide free education beyond Grade 7 owing to the competing demands in the education sector which lead to budgetary constraints. However, the Government remains committed to enhancing the implementation of the Free Education Policy though this might take a little longer than earlier anticipated. As a first step, the Government has abolished examination fees from Grade 9. You may further wish to note that the Government has been providing support in the form of bursaries at primary and universities levels. For 2014, the ministry has allocated K19,819,799.55 towards the provision of bursary support to orphans and vulnerable children (OVCs) from Grade 8 upwards.

I thank you, Sir.

REHABILITATION OF DAMS IN CHASEFU

382. Mr I. Banda (Lumezi) asked the Minister of Agriculture and Livestock:

(a) when the following dams in Chasefu Parliamentary Constituency would be rehabilitated:

(i) Chaboli;
(ii) Jali-jali;
(iii) Luwelezi;
(iv) Kayimbonye;
(v) Dulani; and
(vi) Khulamayembe; and

(b) how many dip tanks were earmarked for construction in the constituency in 2014.

Mr Sichinga: Mr Speaker, the Department of Water Affairs under the Ministry of Mines, Energy and Water Development undertook the rehabilitation works at Chaboli Dam in 2013. Funds for the rehabilitation works for Jali-jali Dam have been made available and are scheduled to commence in 2014. With regards to Luwelezi and Kayimbonye dams, rehabilitation works were done in 2008 and 2009 by the Department of Water Affairs.

Sir, the rehabilitation of Dulani and Khulamayembe dams, however, faces a financial challenge due to the various competing national programmes that also require the Government’s limited resources. If funds allow, the two dams will be considered for rehabilitation in the 2015 Budget Cycle. A total of six dip tanks at Kamuzole, Jali-jali, Mutwale Emusa, Chungwa in Egichikeni and Kamuzala in Lusuntha will be rehabilitated in Chasefu Parliamentary Constituency in 2014.

I thank you, Sir.

CHINGOLA/SOLWEZI ROAD

383. Mr Mwanza (Solwezi West) asked the Minister of Transport, Works, Supply and Communication:

(a) what the estimated cost of expanding the Chingola/Solwezi Road to a dual carriageway was; and

(b) when permanent bridges would be constructed across Mwafwe and Meheba rivers in Solwezi West Parliamentary Constituency.

The Minister of Transport, Works, Supply and Communication (Mr Mukanga): Mr Speaker, the estimated cost of upgrading the Chingola/Solwezi Road to a dual carriageway will be known after the completion of the feasibility studies and detailed engineering designs.

Sir, the bridges across Mwafwe and Meheba rivers were not prioritised by the respective local road authorities, hence their exclusion in the 2014 Road Sector Annual Work Plan (RSAWP) Budget. However, the bridges may be considered under the 2015 Road Sector Annual Work Plan depending on the availability of resources and the order of priority as submitted by the responsible local road authorities.

Mr Speaker, I thank you.{mospagebreak}

CONSTRUCTION OF HEALTH CENTRES IN GWEMBE

384. Mr Ntundu (Gwembe) asked the Minister of Health:

(a) when construction of the ten rural health centres in Gwembe District would commence;

(b) what the total cost of the project was;

(d) what the time frame for undertaking the project was; and

(e) how many doctors would be stationed at each health centre.

The Minister of Health (Dr Kasonde): Mr Speaker, the construction of the ten rural health posts in Gwembe District will commence within the first quarter of 2014. The Ministry of Health in January, 2014 received a no objection from the Indian Government to commence the implementation of the contracts for the construction of the health posts. The project is part of the US$50 million loan from Exim Bank. The total value of the project shall be US$55 million, with the additional funds being from the Zambian Government.

Sir, the contract for the construction of health posts in the Southern Province, and in particular Gwembe, has been given to Megha Engineering and Infrastructure Ltd. The project is estimated to be undertaken in twenty-four months. A typical health post is designed as an outpatient facility offering outreach services. As such, one polyvalent health worker at the facility is planned.

Mr Speaker, I thank you.

APPLICATIONS FOR NEW FIREARMS

385. Mr Ntundu asked the Minister of Home Affairs:

(a) how many applications for new firearms were received by the Zambia Police Force from 2011 to 2013, year by year; and

(b) how many applications were successful.

Dr Simbyakula: Mr Speaker, a total of 1,517 applications for new firearms were received by the Zambia Police Force from 2011 to 2013 broken down as follows, year by year:

Year No. of Applications

2011 479

2012 348

2013 690

Of these applications, a total of 1,353 were successful.

I thank you, Mr Speaker.

MOBILE HOSPITAL SERVICE

386. Mr Katuka asked the Minister of Health:

(a) when the mobile hospital service was last in Mwinilunga Parliamentary Constituency; and

(b) when the mobile hospital is next expected to service the constituency.

Dr Kasonde: Mr Speaker, a mobile hospital was last in Mwinilunga District from 5th to 10th May, 2013. During that outreach programme, a total of 1,396 patients were attended to and seventeen operations were conducted. A similar exercise was carried out in 2012 from 15th to 20th March in which a total of 1,791 patients were attended to and nineteen operations were conducted. The next mobile hospital outreach programme for Mwinilunga District will be from 13th to 24th April, 2014.

Mr Speaker, I thank you.

JUDGES

388. Mr Ntundu asked the Minister of Justice:

(a) how many Judges were at the following courts as of December, 2013:

(i) Supreme Court; and

(ii) High Court; and

(b) when the Government would construct additional court rooms for the High Court.

Mr Kabimba, SC.: Mr Speaker, I wish to inform the House that as at December, 2013, there were eleven Judges at the Supreme Court, three of these were in an acting capacity.

Sir, as at December, 2013, there were thirty-three Judges at the High Court, two of whom were on suspension and four at the Industrial Relations Court.

Mr Speaker, the Government intends to expand the building infrastructure for both the High Court and Supreme Court to facilitate the recruitment of more Judges.

I thank you, Sir.

MATERNAL DELIVERY BEDS AND INCUBATORS

389. Mr Mucheleka (Lubansenshi) asked the Minister of Health when maternal delivery beds and incubators would be provided to the Luwingu District Hospital.

Dr Kasonde: Mr Speaker, the Government provided four delivery beds to Luwingu District Hospital in January, 2014. The Ministry of Health is currently awaiting the delivery of equipment procured under the Strengthening of Emergency and Obstetric Care Project. Once the equipment has been received, incubators will be supplied to Luwingu District Hospital.

I thank you, Sir.

KAMBIMBA BOARDER POST

390. Mr Katuka asked the Minister of Home Affairs:

(a) how much money was spent on the construction of Kambimba Border Post in Mwinilunga Parliamentary Constituency;

(b) how much money had been paid to the contractor as of December, 2013;

(d) when the border post would be officially opened.

Dr Simbyakula: Mr Speaker, a total of K2,000,000 was earmarked for the construction of the Kambimba Border Post in Mwinilunga Parliamentary Constituency.

Sir, the contractor was paid a total sum of K1,400,000 as of December, 2013. The outstanding amount will be paid upon certification of works by the Provincial Buildings Engineer, and issuance of the Possession Certificate.

Mr Speaker, the project will be completed in the second quarter of 2014. We have given this allowance because of the rainy season. The border post will be opened as soon as the Possession Certificate has been issued.

I thank you, Sir

MONETARY BASE

391. Mr Simbao (Senga Hill) asked the Minister of Finance:

(a) what the monetary base for Zambia from January, 2010 to June, 2013, was year by year;

(b) of the total amount, how much was:

(i) in circulation; and

(ii) deposited by commercial banks at the Bank of Zambia(BOZ) as reserves;
and

The Minister of Finance (Mr Chikwanda): Mr Speaker, the monetary base or reserve money was as follows:

(a) end of December, 2009: K3,975,306.72;

(b) end of December, 2010: K5,064,061.98;

(d) end of December, 2012: K8,396,019.19; and

(e) we project monetary base or reserve money to be at K7,380,538.27 by December, 2012

Sir, the currency in circulation was as follows:

(a) end of December, 2009: K2,001,245.60;

(b) end of December, 2010: K2,750,476.86;

(d) end of December, 2012: K3,843,142.94; and

(e) end of June 2013: K3,953,730.74.

Mr Speaker, the total statutory reserves (kwacha and forex deposits) in kwacha equivalent were as follows:

(a) end of December, 2009: K 985,347.73;

(b) end of December, 2010: K1,584,018.29;

(d) end of December, 2012: K1,457,417.86; and

(e) by December, 2013, we projected statutory reserves to be at K2,350,569.31.

Sir, the expected impact of the 2013 Budget overrun on the monetary base by the end of the year has increased inflationary pressure. However, BOZ has instituted measures to contain the possible rise in inflation by undertaking open market operations. With this mitigation, it is expected that the end-year inflation will be contained within the range of 7 per cent, representing a marginal increase from the initially projected 6 per cent.

I thank you, Sir.

MAKANU/NTAMBO ROAD

292. Mr Mwanza asked the Minister of Transport, Works, Supply and Communication when the Makanu/Ntambo Road, which connects Mwinilunga to Solwezi West Parliamentary Constituency would be rehabilitated following the construction of the Kabompo Bridge.

Mr Mukanga: Mr Speaker, the rehabilitation of 134.6 km of the D273/D274 West Lumwana/Ntambu/Makango Road which connects Mwinilunga to Solwezi West Parliamentary Constituency will be carried out under the 2014 RSAWP Budget. The works are planned to commence in September, 2014, after the procurement process has been completed. The works have been planned to be implemented over twenty-four months.

I thank you, Sir.{mospagebreak}

BOTTOM ROAD

393. Mr Ntundu asked the Minister of Transport, Works, Supply and Communication:

(a) when the construction of the Bottom Road from Siavonga would reach Munyumbwe in Gwembe District;

(b) what actual works were being undertaken on the road;

(d) how many local people of Siavonga and Gwembe Districts had been employed by the contractors of the project.

Mr Mukanga: Mr Speaker, the rehabilitation of 131.5 km of the Bottom Road (Lot 1) starting from Njami at the junction of Siavonga Road (M15) Munyumbwe in Gwembe District is expected to be completed in February, 2015. The scope of works of the project is, but not limited to the following:

(a) construction of bridges and other drainage structures;

(b) earth works and road pavement layers;

(d) ancillary works such as road signs and guardrails.

Mr Speaker, the estimated cost is valued at the revised contract sum of K253,543,552.82, inclusive of Value Added Tax (VAT). The total number of local people employed on the project as of December, 2013, stood at 418.

Mr Speaker, I thank you.

FARMS

394. Mr Miyanda (Mapatizya) asked the Minister of Lands, Environment and Natural Resources:

(a) how many farms in Zambia were owned by foreigners;

(b) what the total hectarage of the farms was;

(d) what the total hectarage of the farms at (c) was;

(e) what measures the Government had taken to address the problem of undeveloped farms countrywide; and

(f) what measures the Government had taken to empower youths and women with land ownership.

The Minister of Lands, Natural Resources and Environmental Protection (Mr Kalaba): Mr Speaker, currently, it is difficult to know how many farms in Zambia are owned by foreigners due to the unreliable land information system my ministry is currently using. The information system is unable to disaggregate data and information in order to give various statistics on land usage in the country.

Sir, due to the above-stated reasons, it is not possible to give the total hectarage for the farmlands owned by foreigners in the country. The Government will soon embark on the National Titling and Land Audit Programme that will generate information on land usage and utilisation patterns. For the reasons which have already been given, the ministry is unable to give statistics on how many farms, which are owned by Zambians, are on title.

Mr Speaker, the measures the Government has taken to address the problem of undeveloped farms countrywide are as follows:

(a) regular inspections of farms by councils and the Office of the Commissioner of Lands to ensure that undeveloped farms are identified; and

(b) advertising undeveloped land for repossession.

Sir, the measures the Government has taken to empower youths and women with land ownership are as follows:

(a) ensuring that, at least, 30 per cent of land across the country is reserved for women;

(b) ensuring that a quota of all land is reserved for the youths;

(d) developing a Security of Tenure Bill which will soon be tabled before this august House which will protect the interests and rights of the vulnerable groups including women and youths who reside on customary land.

I thank you, Sir.

THE DEMOLISHING OF SCHOOLS BUILT TOO CLOSE TO MAIN ROADS

395. Mr Hamusonde asked the Minister of Education, Science, Vocational Training and Early Education whether the Government had any plans to demolish schools built too close to the main roads.

Dr Phiri: Mr Speaker, the Government has no immediate plans to demolish schools built too close to the main roads. However, where a school is too close to the road such that the lives of the pupils are in danger, the Government will consider building boundary walls and create access to the schools away from the main roads. The ministry complies with the laws governing the construction of learning facilities.

I thank you, Sir.

WITHDRAWAL OF SOILED NOTES

396. Mr Ntundu asked the Minister of Finance:

(a) when the Bank of Zambia (BOZ) would commence withdrawing from circulation the soiled K5 and K2 notes;

(b) what the cost of printing new notes was; and

(c) whether a company, to print replacement notes, has already been identified and, if so, what the name of the company was.

Mr Chikwanda: Mr Speaker, in its implementation of the Clean Note Policy, BOZ withdraws soiled banknotes from circulation on an on-going basis. A total of 14.6 million pieces of soiled banknotes were withdrawn from circulation in 2013. These included 6.6 million K5 pieces and 8 million K2 pieces.

Sir, a major challenge in withdrawing high velocity circulating low value banknotes (K2 and K5) from circulation is that the public rarely deposit these denominations with commercial banks. These denominations are mostly retained by the public and business community for the purposes of change.

Sir, in the interim, BOZ has addressed the issue of high soiling of the K2 and K5 as follows:

(a) varnishing (waxing) the banknotes in order to increase their resistance to dirt and humidity; and

(b) exchanging of soiled banknotes for clean ones at commercial banks. In December, 2013, the bank undertook campaigns on television and various community radio stations in English and the seven main local languages, to encourage the public to exchange soiled banknotes for clean ones at commercial banks nearest to them.

Mr Speaker, the total cost of printing the new Zambian currency is K191.8 million. Of this amount, bank notes account for K159.1 million (Euro 21.2 million) while coins account for K32.7 million (US$5.8 million).

Sir, the Government has not yet awarded a contract for the next supply of the Zambian currency. The bank will be enter into another three-year procurement cycle for the supply of the Zambian currency from 2015 to 2017. The bank will float a tender for the supply of the national currency.

I thank you, Sir.

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Debates - Tuesday, 4th March, 2014

parliament.gov.zm