Tuesday, August 26, 2008

Business After Mwanawasa

23rd August marked a very important day for me yet again. This time it was the day when our late President Dr Levy Patrick Mwanawasa’s body arrived at the Lusaka International Airport after a ten hour flight from Paris, France.

The people of France had returned our fallen hero back to Zambia to be put to eternal rest at home. The French Airforce Airbus touched down at 09.00hours witnessed by a solemn crowd of Government officials led by the Vice President, and a large complement of the Diplomatic Corps.

The mood on Saturday was unified. The nation wore dark clothes signifying a dark day in the history of Zambia. Many citizens and friends crowded the Airport to receive the late President and many more people lined the Great East Road route from the Airport to Mulungushi International Conference Centre to catch a glimpse of the Hearse and to pay their last respects to our departed President as his motorcade slowly proceeded towards the Conference Centre. Nearly all the vehicles on the roads drove around with full headlights switched on in the traditional way of signalling a funeral procession. Indeed, the nation was in full mourning and united in one purpose; to lay our late President to rest in the most respectful manner that we know.

At the Mulungushi International Conference Centre, the Armed Forces silently stood at attention while their late Commander In Chief was driven passed. The casket was placed in the Main Conference Hall where he was set to Lie-in-State. It was appropriate that the Mulungushi International Conference Centre was selected as the first stop for the late President, because although the venue provided for many members of the public to pay their last respects, it is also the venue where the late President dialogued and made many national decisions that would affect Zambia’s economy. This venue was his somewhat public office where everybody and anybody would interact with the late President and his Government.

The day’s events were extremely moving, and the rest of the country will no doubt be accorded the same opportunity to pay their last respects as the late President’s body is taken from province to province across the country.

Since the announcement of the death of our President on 19th August 2008, the media has been asking questions about what legacy did he leave in respect to economic development? What happens to business now? How will his demise affect investment in Zambia? What are the prospects in the post Mwanawasa era?

The truth is nobody can foretell the future. But one thing is for sure, Zambia shall continue in one form or another. The world has not come to an end here.

Much as we mourn and acknowledge our bereavement in respect to the passing on of our late President, we must continue to live and improve our lives.

The late President was a champion of Regional Integration as evidenced in his pronouncements in his role as Chairman of the Southern African Development Community (SADC). Late President Mwanawasa supported the work of the Common Market for East and Southern Africa (COMESA) and was an advocate for the Free Trade Areas. Those of us that remain behind are challenged to continue with this legacy of working with the SADC, COMESA and the African Union to unify the continent and create a One Africa economy. Business in Zambia recognises that opening access for Zambian companies into the region will benefit the country and allow the companies to grow much bigger due to the larger regional markets.

The late President stood to attack and eradicate corruption in Zambia. The Task Force on Corruption and the various Capacity Building programs in public institutions must continue their noble work and serve the nation with the same vision that the late President held. The development of business in Zambia is dependent on clear and meaningful systems in all Government offices so that the private sector can predict what level of service they will receive. Businesses are cognisant that corruption eventually destroys an economy as we have seen in parts of West Africa, South America, and South East Asia. The short term gains of corruption are soon eradicated by the long term and irreversible losses.

It must be granted that the death of any incumbent President will cause some discomfort to the economy as a sense of uncertainty sets in. Private Business is very sensitive to political upheavals and is quite quick to pull out if uncertainty prevails for too long. Zambia must not let the late President down by causing unnecessary political tension that would lead to investor flight out of the country. A stable Government must be maintained. The Vice President must carry out his functions as Acting President diligently throughout the 90 days provided for by the National Constitution. The ensuing Presidential Elections must be managed calmly and professionally to continue to give confidence to business that Zambia is the place where to do business.

Zambian businesses must do their part too. Yes, we expect that Zambians will mourn the death of the late President. As we do so, we should continue to run our businesses and expand and create wealth and jobs as our contribution to the memory of the late President. The success of the Zambian economy will no doubt be the success of the late President’s policies.

Life and Business during Mwanawasa was a challenge. Life and Business after Mwanawasa will be a challenge too. The loss of our President ends one chapter in Zambia’s history but also marks the beginning of a new era for development. Zambia has a development plan (FNDP) and a vision (Vision 2030). The new administration will have to consider the country’s future and continue the work that was started by the late President and possibly improve on these national programs for development. The balance between budgeting for consumption and budgeting for development is always a critical mechanism. The hidden liabilities in incurring national debt must be clearly outlined to avoid getting into the debt trap once again. The challenge of spreading development across the nation and into the rural areas has always been a difficult one. The negotiation of domestic development against the impact of regional integration must be constantly monitored and intervention programs must be put in place to put Zambia in a position to benefit from the integration process rather than become a victim of it.

Businesses after Mwanawasa will be as a result of our own choosing. We can dwell on the demise of our President and fold our arms and withdraw, or we can appreciate the good work he did and set out to do, and opt to continue his legacy with vigour and dedication to his memory. The choice is for those of us that are still living. We are faced with the proverbial glass. Is it half empty? Or is it half full?


Published 26 August 2008

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